Whether you’re in Australia or US, credit reporting sourced from credit bureaus serves one purpose—to represent the creditworthiness of the account holder. It serves as the basis of the credit score, which banks, lenders, insurers, and other financial institutions use to evaluate the potential risk of lending money to a consumer. If the person has bad debts, the credit report helps the creditors assess how they can mitigate the losses. Even utility companies, insurers, landlords, potential employers and government agencies request copies of a person’s credit report.
So, how different is AUS Credit Reporting to US Credit reporting?
Credit bureaus
In the United States, a credit report is typically sourced from the following major credit reporting bureaus:
- Experian
- TransUnion
- Equifax
On the other hand, these are the credit reporting agencies that collect information from credit providers in Australia:
- Experian
- Equifax
- Dun and Bradstreet
- Tasmanian Collection Service
Except for the credit reporting companies which have their own credit scoring system, there’s no big difference in the credit reporting in Australia and US. Both countries allow you to request a credit report with more than one bureau and you can check the accuracy and dispute errors of entries in your credit file.
A credit reports contains your personal and financial information that helps your future creditors, employers, utility providers, insurers and even landlords gauge your financial situation. Lenders determine your creditworthiness by looking at your credit score. Your interest rate and other loan terms such as discounts, late fees, and other dues are also based on your credit history. If you have filed for bankruptcy, prospective lenders will know it too. So, it is important to ensure that your credit report contains accurate and correct personal and financial information; to avoid any financial implication that can ruin your reputation and limit your financial decisions.
If your application for insurance, housing, job or credit has been denied, you can get a copy of your credit report to check if the basis for denial was valid. Or, you can call Clean Credit repair services to help you fix any disputable entries that resulted to the denial of your application. If Clean Credit eventually finds errors on your credit report, its credit repair specialists will dispute the errors to the credit reporting agency and the banks, utility companies, Credit Card Company or any other information provider; that supplied the erroneous information to the credit reporting agency. The moment the information in your credit report is fixed, the corrected entries shall be used to calculate your new credit score.
As a result, your credit score may improve and reduce your credit risk. A higher credit score can give you certain advantages when applying for credits, negotiating the loan terms and insurance rates.
So, if you want to know more about how different is AUS Credit Reporting to US Credit Reporting, you can contact Clean Credit and discuss your credit report issues. They will be glad to help you fix your credit report!