How to manage your credit score

Credit score, the best practice is to check your at least once every 12 months and you must go through your credit report before apply for a loan, to ensure you understand every entry. It is not uncommon to spot a few errors in your credit report. If not detected as early as possible, these mistakes can lower your chances of getting the best credit deals.

Some of the mistakes to look out for include:

  • Loans that display as ‘unpaid’ in the report even though they have been paid
  • Reporting of current debts as being up for collection
  • Incorrectly captured addresses and personal information
  • Someone else’s information appearing on your credit report because of mixed files

In addition, malicious and fraudulent credit applications could have been made in your name without you being aware. As you go through your report, you will be able to single those out if any.

No one will penalize you for requesting and checking your credit reports. You can do it as often as you please.

What To Do If You Have a Poor Credit Score

poor credit score you could be classified as a sub-prime borrower. This means you may either be denied car finance or offered a deal with a higher interest rate. However, there is a way out! Before you opt for financing, run your credit report to find your scores and the entries made on the credit report.

Check for errors, don’t apply for multiple credit lines, keep your old credit open, pay bills on time and close any bad joint accounts. This will help you boost your credit score. If you are not yet registered to vote, do so as this can also up your score. Lastly, when shopping for car finance for example, use a service that can help you sample a wide range of car finance companies that fit your profile.

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If you would like to explore the possibility of applying for a new loan, please feel free to use our complimentary Finance Assessment tool.

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