Product category:
Banking / credit / debt
News Release from: Moneysupermarket.com | Subject: Credit rating
Edited by the Insidemoneytalk Editorial
Team on 19 March 2008
Protect your credit rating like the
crown jewels
A good credit rating is the must-have accessory for 2008 Equifax sees a 45 per cent uplift in credit checks
Forget Facebook and ignore the iPhone, today's must-have accessory is less than trendy - it's a good credit rating The days of 'cheap credit for all' are over and consumers are starting to recognise a good rating is absolutely vital in today's economic climate
This article was originally published on Insidemoneytalk on 19 Dec 2007 at 8.00am (UK)
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Tim Moss, head of debt at moneysupermarket.com, said: "People are really becoming aware of the importance of a good credit score.
"Credit agency Equifax has actually seen a 45 per cent increase in people checking their profile in January and February, and moneysupermarket.com's SmartSearch facility has had a fourfold increase year on year.
"A fair or poor credit profile can make obtaining credit for everything from mobile phone contracts to mortgages much harder.
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Those that are accepted are likely to be offered a poorer rate." To maintain your good credit score or to improve a fair or poor rating, some or all of these eight tips can help.
1.
Check it.
You can't keep on top of your credit profile if you don't know what it is.
So make sure you get a check done at least annually with annualcreditreport.co.uk or with Experian and Equifax.
2.
Fix it.
If you find an error in your report, immediately write to the credit agency to ask for it to be corrected.
If you don't get even minor mistakes changed, they could all count against you when a company uses your credit report to make a lending decision.
3.
Be on time.
Always try and make your payments on time - even the smallest ones.
If you think you're unable to make a payment, contact your lender as soon as possible and ask them for advice on choosing the least damaging option.
4.
Home is where the heart is.
Without being able to find you on the Electoral Roll, any company will struggle to make a credit decision about you - even if you have a better credit record than Alistair Darling.
5.
Happy and settled.
If you've fully paid a County Court Judgement or your bankruptcy has ended, make sure this is shown on your report.
6.
Honesty is always the best policy.
Always complete applications for credit accurately and honestly.
Lenders will be able to discover lies or half-truths easily and decline the application.
7.
Ready, aim, fire.
Don't use a scattergun approach when applying for credit.
Multiple applications to several lenders within a short period will show up on your credit profile and may lead to some lenders refusing you credit.
8.
Be smart.
moneysupermarket.com's SmartSearch facility helps people search and apply for the best credit cards and loans for their credit profile.
Where people are worked out to be a slightly higher risk, they will be guided towards the best-value products to suit them and their credit rating - greatly increasing their chances of being approved.
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