All About Credit Check

Wondering how to combat rising credit delinquencies? Still depending on instinct instead of information? Uncertain about the financial history of borrowers

A credit check can highly help you in taking a wise and well informed decision when it comes to lending or borrowing money.

In many countries, credit report or credit check report is a document which records individual’s or company’s borrowings and repayments in the past. Credit report also contains information about late payments if any.

When a customer applies for credit from a bank or takes a new credit card, credit check report is forwarded to the credit bureau. The credit bureau matches identifying information on the application with the customer repository.

Credit check report of an individual is used by lenders to determine debt repayment capability of the individual. Repayment capability depends on past payments on the timely manner.

During a credit check the following information are collected:

1. Personal Identification information.

2. Credit history

3. Public Records

4. Credit check inquiries

5. Dispute statements

Credit check reports are in available in different flavours depending on the requestor. There is a consumer flavour which goes to an individual and also business flavour which also contains information which the requestor has asked for.

There are multiple businesses that do credit check and provide credit reports. The users can also get a free annual credit check reports. However, the free report doesn’t include the customer credit score. Government agencies and non profit organizations also provide free credit reports.

The following information are used by your potential creditors apart from credit report

1. Inquiries

2. Open Credit account

3. Missed payments

4. Maxed out credit lines

Individual lender or creditor uses credit check as a major decision making factor. Every creditor has their own lending policy which maps to ranges of credit scores.

Billy Johan writes about Credit Report and Credit Check Report to know more about Credit Check just visit at www.creditcheck.com.au