Income, what does it include?

peter021072

What is income for the purposes of a credit report?

Would it include savings which are guaranteed a capital gain over the next few years, such as many short dated gilts at present?

Does it include savings in lower risk index funds in which the income is reinvested?

Some peoples 'earnings' are dominated by these type of savings, but capital and income are taken treated as differently as chalk and cheese. It's never made any sense to me.

retiredbanker1

No income is what you get paid for whatever job you do - or a pension.

Some lenders will ask about 'other' income such as dividends, savings interest etc

Other income may or may not influence a lender.

flaneurs_lobster

Far as I'm aware "income" doesn't feature on a credit report, assuming you are talking about the thing you ask for from Experian etc that shows your current credit agreements and so on.

Or are you asking about some other report or application requirement?

peter021072

No, I just notice on the ones MSE reports on, my credit report is poor due to low income, previously they were very good because I have a spotless record on paying up, and low outlay.

Nasqueron

https://forums.moneysavingexpert.com/discussion/comment/82182434#Comment_82182434

You have to put your income in on MSE so yes they will know it and create their own ideas of your credit rating. Lenders only look at the data and your declared income, not how MSE thinks you are rated

flaneurs_lobster

Are you talking about the MSE Credit Club Affordability Score? Where it talks about income and Debt Ratio/Disposable Income?

That's different to the Credit Reports from the 3 Credit Reference Agencies (like the Transunion one that's available on the Credit Club site). Don't think they include/refer to income.

Maybe step back from the details of what's reported how and where - are you actually looking to make an application for credit in the near future?