The days of easy credit are long gone – if they ever existed. Now, you need a really good credit rating to be in with a chance of getting the best deals. These money saving tips could help you.
- Understand how lenders make decisions. They calculate your credit rating (or score) by giving a value to pieces of information from your application and your credit report – the history of your credit cards, loans and mortgages plus your repayment record and other details that help them to decide whether you can afford to borrow and will make repayments reliably. The total is your rating.
- Check that all the information on your credit report is up to date and accurately reflects your circumstances – even a simple error could depress your score. See your free Experian credit report with a 30-day trial of CreditExpert and learn what lenders see about you.
- Set the record straight. Challenge any entries you disagree with – for example, accounts listed as active when you know you’ve closed them – by contacting the relevant lender and asking for a correction.
- Make repayments on time, every time. Missed payments stay on your credit report for at least three years and will damage your rating. If you’re in trouble, talk to your lenders and ask to reschedule your debt.
- Close unused credit accounts. Lenders tot up the amount you could borrow, when they calculate your credit rating, so get rid of those just-in-case cards.
By following our expert money saving tips you can protect your finances today.
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