Importance Of Credit Report In Uk: Benefitting The Potential Borrowers
The British citizens should have clear idea about importance of credit report in UK
. Credit report is actually credit score fixed within a range between 0 and 1000. A credit score lower than 580 is said to be an indicator of weak credit report. On the other hand, a credit score equal to or greater than 700 is reflector of healthy credit report. Equifax, Trans Union and Experian are three major financial bureaus which acquire ID information and credit data of the individual borrower from different financial agencies. They use annual financial transactions of the individuals and prepare different credit report files.
Financial agencies secure the credit report when a borrower tries to get loans or mortgages or credit cards or things like this. They study the credit status of the applicant. It happens that the financial agencies refuse the applicant when his credit score is found to be poor. Importance of credit report UK can be realized if it is found that the credit report prepared by the financial bureaus is not free from mistakes.
The credit report of an individual may have errors if the data and information collected by the financial bureaus have been wrongly used. In this way, the credit files possess errors and the borrower does not get the right treatment. The loan-seeker should find the credit reports from each of the financial bureaus, because either of them may have committed the mistakes. Here lies the importance of credit report in UK. The loan-seeker should contact the financial bureaus and ask them to do the needful so that the data used by them are corrected. As a result of this rectification, the credit report of the borrower may look healthy.
There is another option before the borrower. He can try to improve his credit status if his credit score is really weak. When he will see an improvement in his credit report, he can apply for loans etc and can secure finance under favorable terms and condition.
There is one more reason to note the importance of credit report in UK. Free trial credit report is available in the specific websites of the financial bureaus which create the credit report regularly.