There’s a lot of confusion and misconceptions about credit scores. It’s time to finally set the record straight. Here are 4 credit score myths busted!
Have you got a few bad habits when it comes to your finances? We’ve compiled a list of things to leave behind.
Whether it’s applying for credit or filling out paperwork, you’re probably going to have to provide your full name, address, date of birth, maybe even your driver’s licence number and credit card or bank account details and this puts you at risk of having your identity stolen.
When you apply for a credit product, a credit enquiry is recorded on your credit file by that credit provider. This can include any credit card, loan or utilities applications you may make.
One of the best ways of monitoring your credit reputation is to track your credit score and check your credit file regularly. That way you can take steps to correct any errors and also understand what might be affecting your score.
Setting a little bit of money aside each month for emergencies can save you from needing to take out a personal loan or maxing out your credit card to pay for unforeseen expenses. Life is constantly changing. If something unexpected happens, you want to be prepared.
When you check your own credit score through a credit reporting body, you are accessing it through what is called a ‘soft enquiry’ and this has no impact on your score. It’s a good idea to see where you stand and track it over time, so you can see if anything has influenced it. Plus, you’ll get a heads up if someone has used your identity.