When you submit an application for credit, the lending company will look at your credit history with more than one of the credit guide agencies. But how can this influence you?
The 3 credit that is main agencies into the UK – Experian, Equifax and TransUnion – each hold different personal and economic information about you which forms your credit rating. They normally use this information to generate your credit score – and all sorts of for this is taken into account whenever you make an application for credit.
But this is when it gets confusing – there is absolutely no such thing as being a score that is universal. Each agency has its own scale… for example, Experian’s goes from 0-999; Equifax’s from 0-700; and TransUnion’s (formerly referred to as Callcredit) from 0-710… and each features its own approach to determining your rating. You can have even a ‘good’ rating with one and ‘fair’ with another.
Whether you’re applying for the card, loan or phone that is mobile – the financial institution will likely make a choice to accept the application according to your credit score. You might be provided an increased rate of interest and even declined in case your credit history is low. That’s why it is important to check on your report it’s easy to do before you apply for financial products – and don’t worry.
With Experian, your credit history has become readily available for free through their internet site. TransUnion works in colaboration with Credit Karma who supplies the exact same solution. And Equifax has teamed up with ClearScore whom provides free usage of your rating and report that is full.
It will help to learn which credit guide agency you’ve got a much better rating with and which loan providers make use of whom, since this might influence your possibility of acceptance.
Which credit agency do many lenders utilize?
Have a look at which credit guide agencies great britain lenders have a look at: