There are three credit agencies in the UK and it is important that you understand how to check your credit score and how your actions and application for credit will have an impact on the credit score you’ll find at each agency. If you are currently saving up for a deposit on a home, trying to build away from a life of bad credit and poor financial choices, or looking to apply for credit of any sort in the near future, it is beneficial to learn more about the credit agencies in the UK and to understand how your credit file is created and updated.
You should check your credit reports every month if you are working towards a long-term goal of improving your credit score. Experian, Equifax, and Callcredit are the three credit agencies in the UK. Each will come up with your score based on slightly different factors, but each agency will be provided with data from your bank account provider and any credit card provider and other form of lender. This data is used to decide how well you manage your credit.
Every month you can see two out of the three agency credit reports for free. In the past you would have had to pay £2 for each credit report viewing but this has changed. There are a few reasons why you should want to look at your credit reports on a regular basis. One of the main reasons is to keep an eye on information and to see if it is factual. If you find any errors in your credit reports it is imperative that you immediately notify that credit agency and rectify the report as soon as possible. Failure to do so, or being unaware of mistakes on your credit reports can have far reaching consequences in terms of your ability to acquire credit in the mid-to long-term.
If you are in the process of attempting to grow a positive credit score, by regularly checking the reports each month you’ll get an idea as to how successful you have been so far, and if you need to step your game up in order to improve. The more you do to try to improve your credit score the higher it will go.
Even if you have bad credit do not fear, there is financial assistance available for you. In recent years there has been a change in approach from many lenders within the payday loan arena, with pressure from regulatory forces and an outlook that is naturally more sympathetic towards the consumer than previous generations of short-term loan lenders.
These days you can find modern, forward-thinking, responsible lenders who are willing to work with customers that have a poor credit history. Bad credit loans can be found through reputable lenders that honestly do have your best interests at heart. Conduct thorough research and find a payday loan provider that offers loans even to those with adverse credit and it will allow you to utilise financial assistance that hasn’t been open to you through traditional lending streams and high street sources. Always make sure that you have the ability to pay back any payday loans that you agree to, making a point of looking at the detail of any fees and added interest for your agreed repayment window. Without this you could come unstuck, and by missing payments it is easy to struggle towards mounting debt and a credit file that is really difficult to turn around and make a positive in future.