(PRWEB UK) 22 November 2012
New research* by leading consumer credit information expert, Equifax, has revealed that more than half of consumers who requested their credit report, did so to be prepared for a new credit application or to manage their finances generally. Neil Munroe, External Affairs Director, Equifax believes this highlights an increased understanding of credit information and in particular, the importance of knowing how an individual will look to a lender before making new credit applications.
“It is great to see that so many people are accessing their credit reports to get an understanding of their financial situation”, explains Neil Munroe. “More than 1 in 4 of respondents to our survey said they ordered their report because they were concerned about their finances generally. Getting a copy of your credit report provides a valuable insight into current credit commitments, allowing you to fully understand the amount of borrowings you currently have.
“Understanding this is really important for when new applications for credit are made. Indeed, highlighting this fact, over a quarter of respondents (28%) said they requested their report ahead of applying for a new mortgage, credit card or mobile phone. This will have put them in a strong position to get the best deal for their circumstances.
“We are urging consumers to look at their credit report before and after they start applying for new credit. That way, they will have a clearer understanding of the information that lenders will see and this could enable them to improve their chances of obtaining credit at the best possible interest rate in the future. With just over 40% of consumers looking at an up to date copy of their Credit Report at least every 3 months, it’s very clear that consumers are taking a much more pro-active approach to their credit information, almost using it in the same way as they would their bank and credit card statements.”
Being declined for a new credit application was the other main reason for consumers applying for their Equifax Credit Report. Of those who were declined credit in the last 12 months, more than a third (39%) believed this was because they had a poor credit status. One in four also believed it was because they had previously fallen behind on credit repayments.
“If someone has been declined new credit, they should avoid carry on applying elsewhere”, explained Neil Munroe. “It’s much better to understand the reasons for the credit refusal, and work on rectifying those, before making new applications. It’s good to see, therefore, that consumers are doing exactly this by getting hold of their Credit Report.
The Equifax Credit Report is accessible for 30 days free simply by logging ontoour website . If customers do not cancel before the end of the 30 Day Free Trial, the service will continue at £8.99 per month, giving them unlimited online access to their credit information and weekly alerts on any changes to their credit file. It also includes an online dispute facility to help them correct any errors on their credit file simply and quickly.
The Equifax app is available free from the Apple iTunes Store on iPhone and iPad and from Google Play for Androids.
*Equifax Credit File Survey - 1,081 respondents - November 2012
Equifax is a global leader in consumer, commercial and workforce information solutions, providing businesses of all sizes and consumers with information they can trust. We organize and assimilate data on more than 500 million consumers and 81 million businesses worldwide, and use advanced analytics and proprietary technology to create and deliver customized insights that enrich both the performance of businesses and the lives of consumers.