Changes to Credit Reporting
What is credit reporting?
Credit providers (such as us) and credit reporting bodies (such as Equifax) share information about lending products, including home loans, personal loans, overdrafts and credit cards. The information collected by credit reporting bodies is used to create your credit report.
What are credit reporting bodies?
They are independent organisations that assist financial institutions, such as ours, in making lending decisions by securely gathering and distributing credit and personal information to us. Currently, Illawarra Credit Union uses Equifax to help make lending decisions.
How is my credit information used?
Upon request, credit reporting bodies such as Equifax provide a report to financial institutions, which includes information about your credit information, and your lending history. This information is then used to determine if you’re able to service the credit product you’ve applied for. It’s just one of the ways we ensure we’re practicing responsible lending standards.
What’s changing?
Currently, your credit history report would include information such as when you applied for a credit product, significant overdue amounts, payment defaults, and bankruptcies. Moving forward, we’ll also be providing information such as:
- The type of credit product you have with us;
- The date you opened your account;
- Your credit limits; and
- Up to 24 months of your repayment history, including when you make payments on time and when you’re late.
What does this mean for me?
Now more than ever, it’s important that you ensure you make your repayments on time, as this will appear favourably on your credit report. If you haven’t already, we recommend that you set up a direct debit to avoid missing a payment. If you’d like assistance setting this up, get in touch with us on 1300 132 249.
If you’re having difficulty making payments and would like to speak to a member of our team about how these changes may impact you, please call us on 1300 132 249.
Manage your money and your credit score
We're here to help our members achieve financial success, that's why we've put together some tips to help you with the transition.
Set up a direct debit
Now more than ever, it’s important that you ensure you make your repayments on time, as this will appear favourably on your credit report. If you haven’t already, we recommend that you set up a direct debit to avoid missing a payment. If you’d like assistance setting this up, get in touch with us on 1300 132 249.
Check your credit report
When’s the last time you checked your credit report? Did you know that you’re entitled to a free copy of your credit report from each credit reporting body every year. It’s important that you understand what information is being recorded about your credit history. It’s even more important that’s it’s accurate. So, if you find something that isn’t quite right, get in touch with the relevant financial institution and ask them to investigate it for you.
Don't get to carried away
While it’s good to consult various financial institutions when looking for a credit product, just keep in mind that your credit report will show every application you’ve made. If you have too many applications, it may negatively impact on your credit report and impact future applications.
Get in touch
Update your contact info
It’s important that we always have your most up to details to ensure we can get in touch if we need to. So, if your details need to be updated, let us know by filling out the form and we’ll do the rest!
Adjust your existing credit limit
If you’d like to reduce or cancel your credit limit, complete our online form or call us on 1300 132 249.
Would you like more information?
For more information visit the Australian Retail Credit Association website.
