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What affects your Credit Rating.
rizla01
Posts: 7,260 Forumite
in Credit cards
According to moneynet.co.uk these are some of the myths regarding credit.
Hope you find them enlightening.
Myth 1: Previous occupants at my home affect my credit rating
Pub bores often put this nonsense about and 71 per cent of you believe it - but it's completely untrue. The previous occupant of your house or flat could have been a millionaire or a bankrupt but that makes no difference to lenders at all
Myth 2: Family and friends living at my address could harm my credit rating
Until a few years ago, lenders checked the credit reports of others living at your address. They could then take their position into account when deciding whether to offer you credit - and according to a survey by CreditExpert 63 per cent of people think that's still the case.
Myth 3: Credit reference agencies decide your credit rating
No, they don't - but 53 per cent of people think they do and also make the decision whether or not to lend to you
Myth 4: Your credit rating is poor because you're on a blacklist
There's no such thing as a credit blacklist, even though 41 per cent of people blame this if they're refused credit
Myth 5: You have only one credit rating
[FONT=Arial, Helvetica, sans-serif]You can have many different credit ratings, depending on who you apply to, what you apply for and your circumstances at the time you apply. Still, 29 per cent of people think that they have a single score that applies to every type of credit, from a store card to a mortgage
[/FONT]
Myth 6: Past debts don't count
Unfortunately, they do, even if you're financially fit today. In this area, most people are pretty realistic - just 12 per cent of us believe that an old debt doesn't matter.
feel free to comment.
Hope you find them enlightening.
Myth 1: Previous occupants at my home affect my credit rating
Pub bores often put this nonsense about and 71 per cent of you believe it - but it's completely untrue. The previous occupant of your house or flat could have been a millionaire or a bankrupt but that makes no difference to lenders at all
Myth 2: Family and friends living at my address could harm my credit rating
Until a few years ago, lenders checked the credit reports of others living at your address. They could then take their position into account when deciding whether to offer you credit - and according to a survey by CreditExpert 63 per cent of people think that's still the case.
Myth 3: Credit reference agencies decide your credit rating
No, they don't - but 53 per cent of people think they do and also make the decision whether or not to lend to you
Myth 4: Your credit rating is poor because you're on a blacklist
There's no such thing as a credit blacklist, even though 41 per cent of people blame this if they're refused credit
Myth 5: You have only one credit rating
[FONT=Arial, Helvetica, sans-serif]You can have many different credit ratings, depending on who you apply to, what you apply for and your circumstances at the time you apply. Still, 29 per cent of people think that they have a single score that applies to every type of credit, from a store card to a mortgage
[/FONT]
Myth 6: Past debts don't count
Unfortunately, they do, even if you're financially fit today. In this area, most people are pretty realistic - just 12 per cent of us believe that an old debt doesn't matter.
feel free to comment.
"Unhappiness is not knowing what we want, and killing ourselves to get it."
Post Count: 4,111 Thanked 3,111 Times in 1,111 Posts (Actual figures as they once were))
Women and cats will do as they please, and men and dogs should relax and get used to the idea.
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Comments
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Well I for one didn't think that a PAID OFF debt from, say 10 years ago, would have any bearing on my borrowing, if I am fiancially secure, now.
I am not sure if they mean 'UNPAID' debts or 'PAID OFF' debts, here tho."Unhappiness is not knowing what we want, and killing ourselves to get it."Post Count: 4,111 Thanked 3,111 Times in 1,111 Posts (Actual figures as they once were))Women and cats will do as they please, and men and dogs should relax and get used to the idea.0 -
Settle debts stay on your record for 6 years.0
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