This was sent to me by Alphera Financial Services and Im posting it here verbatim to let you all know about the changes to our credit check system in Australia. The idea is that youll soon be able to prove you are a good credit payer for loans etc. the draw back is if you go overdue on payments for loans and bills it could effect your ability to borrow. Heres what they sent.... From 12 March 2014 there will be some changes to the Privacy Act affecting how we as a financier collect and share an individual’s credit related information with credit reporting bodies. It is important that individuals are aware that failure to make repayments on time may affect their ability to obtain credit in the future. What do these changes mean for me? The following information will be stored and reported to credit bureaus: Account commencement and closure date Type of credit account such as credit card or personal loan Credit limit; the maximum credit value available Monthly repayment history; relating to credit accounts such as mortgages, personal loans and credit cards. This will reflect whether the minimum required payment on your financial commitments have been received on time The new comprehensive credit reporting system will give Australians more power to demonstrate credit worthiness and manage their credit profile. Credit providers will have greater transparency on customer repayment conduct including limits on their financial commitments. Once monthly repayment history information is included in your credit report, it will be updated regularly and can affect your credit score (a numeric summary of the information on your credit report). By meeting your commitments as they fall due, the reform will be of great benefit as it demonstrates to a credit provider your ability to meet your financial obligations and improves access to affordable credit. For credit providers it removes uncertainty and streamlines the decision making process. For further information relating to the introduction of comprehensive credit reporting, please refer to the Credit Smart website: creditsmart.org.au How can I prepare for the new Comprehensive Credit Reporting System? To ensure minimal impact to your credit score and subsequent future borrowing capacity: Ensure all bills and loans are paid on time Keep track of your credit commitments In the event of a late payment, contact your credit provider to discuss your options Obtain a copy of your Credit File and monitor it regularly veda.au dnb.au experian.au
Posted on: Mon, 10 Mar 2014 00:17:24 +0000
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