AUSTRALIANS can determine their creditworthiness instantly and their likelihood of getting a loan through a new website.
The site – launched today by GetCreditScore.com.au – ranks consumers credit history from zero to 1200, giving them a realistic snapshot of their financial status before they approach a lender.
Eighty per cent of Australians have never checked their credit history and many would have no idea of what is on their file until now, experts say.
Independent consumer advocate Christopher Zinn said a lot of ‘confusion and ignorance’ remained around credit scores and credit reports.
‘People don’t really know that they have a credit score or how they can access it and what it means, it can affect their availability to credit and the cost of credit,” he said.
‘If you have the confidence of a good credit score it can put you in a good position to ask for something that is better than is what’s put on the table by the lender.’
Consumers need their basic information including name, address, date of birth, email address and driver’s licence number or passport number to access their score.
Mr Zinn said the nation’s average credit score is 749 and it can be affected by late payments, whether an overdue bill was eventually paid, the amount owed in a missed payment and whether there were consecutive missed payments.
If a consumer has a good or excellent score – between 622 and 1200 – Veda spokeswoman Belinda Diprose said the consumer ‘can feel confident when approaching a credit provider for credit.’
‘It puts the power back in consumers’ hands,” she said.
‘It is up to each individual lender on how they assess people when they apply for a loan, they all have their own individual policies.’
Consumers can access their full credit reports for free from the nation’s credit reporting agencies including Veda and Dun and Bradstreet.