About Credit Rating Australia

Veda Advantage and Dun & Bradstreet are the two main credit reporting and scoring agencies in Australia. In Australia, a credit report has to be provided free of charge upon request. While there are many ways to get hold of your personal credit rating Australia, a simple online procedure can be followed to get a copy. Just go to MyCreditfile.com.au and click on the “My Credit file” section. Find the free version of the credit report. Then apply following the simple instructions and provide identification details via an attached document. A report is supplied within ten working days. This credit history will be based on Veda Advantage data. If one does not wish to wait ten days or so, they can always pay to get quicker service.

Historically, credit reports in Australia were only allowed to report the standard identification details and credit applications, but not mention if they had been approved or not, nor mention any negative incidents like defaults or bankruptcies. As of November 2010, however, new guidelines regarding credit rating Australia have been accepted and reports now include the type of credit (credit card, personal loan, mortgage, etc.), if it was approved or not, date of opening, limit of the account, and if the account has been closed, etc. This brings Australia in line with most of the rest of the developed world. Generally, these reports are used by lending agencies to minimize their risks when approving loans and allows for better customer relationships. The reports also allow individuals to better manage their credit.

Keeping an Eye on My Credit Rating

It is a good practice to keep a check on the credit rating, just as one keeps an eye on one’s bank or credit card statements. It is a common practice for businesses to seek a customer’s credit rating before entering into a relationship with a company or an individual. The individual credit history is more important now than at any time in history. Besides causing embarrassment, refusal as a customer can lead to inconveniences and having to make other time consuming arrangements.

Maintaining a good credit rating Australia is totally in the benefit and control of the individual. Each time a bill becomes too far overdue, or worse, is not paid, the information is uploaded to a central system and is collected by agencies like Veda Advantage. Businesses that are clients of Veda Advantage can access this information to decide if a customer is creditworthy or not. To maintain a healthy credit history, one can do several things. First and foremost, payment of bills on time is absolutely essential. If there is any problem, no matter how insignificant, it is a good idea to call the credit providers and sort it out as soon as possible. Keep a check on personal credit ratings to make sure of its accuracy. Monitoring one’s credit file regularly also ensures against fraudulent use of one’s identity. Keeping an eye on one’s credit history is also a good way of finding out who has been accessing the information.

Since applying for any type of credit, even a contract mobile phone or an interest free store offer, guarantees that there will be a credit check, it is important to keep the credit history as clean as possible. In case of credit being declined, ask why this happened, because it may not be the rating but a business policy at the time of the application. Details of long overdue accounts and defaults stay on the credit history for five years, even if the bill was paid later! In other words, one mistake will cost five years in terms of a tarnished record.

As of November 2008, there were over fourteen and half million credit files in Australia and some 3.4 million negative listings (Veda Advantage). It is possible to have unfair or disputable listings removed from credit reports Australia and thus do some repair work. While some credit reporting agencies may deny this, it does happen and it can be removed legally. The benefits of having such negative reports removed include a reduction in interest rates and reduction in upfront and ongoing fees, lower repayments and savings of thousands over a period of time. To save money and one’s reputation, the credit report must be watched closely.