There have always been people that have struggled when it comes to their credit but now more than ever people have become aware of how important it is to keep track. There are several ways you can keep track of and improve your credit rating, its much easier than most people probably think. Below are some tips that can help you keep a close eye on your credit rating:
Checking Your Credit History
You can check your credit history through the credit reference agencies these companies keep track of all your credit transactions. If you wish to gain access to your credit score you simply have to apply directly to the credit reference agency and they can give you the information they have. This information will usually include:
- Proof of where you live and how long you have lived there.
- Court Judgements - This is where you have had a money judgement made against you through the courts. This information is then passed on to a company that registers the amount and will hold this debt on file for up to 6 years or until the courts are satisfied the debt is settled. The company that registers this information can then inform the credit reference companies about the debt, which will affect your credit score.
- Previous Credit Account Information - The details in this section may include things such as whether you keep up to date on your repayments and whether you have any outstanding arrears on any of your accounts.
Even though the credit reference companies may have lots of details on you credit history they will not be able to tell you why, if you were, refused credit. They should be able to give you your credit score, the higher the number of points the better your score, a low credit score will reduce your chances of gaining credit.
Problems With Your Credit
There are a number of things that can affect your credit rating and score without any influence from your personal credit history. These things can include:
- Another member of your family has a poor credit rating.
- Someone living at the same address as you has a poor credit rating.
- Someone living at your previous address has a poor credit score
- If you have paid off a debt but that information hasn't been passed on to the credit reference company. This would still be showing as you having a debt outstanding, when in fact you have paid it.