It is important to be aware of your credit score so that you know where you stand in terms of your financial health. In addition, as it is a great indicator of whether you will be approved for credit in the future, knowing your score can help avoid disappointment, whilst motivating positive action to improve your score.
Understanding the kinds of spending habits and behaviours that can drive your score up or down could help you make more considered decisions around spending and applying for credit.
An excellent credit score could mean more bargaining power when it comes to interest rates and the other terms of your contract. However, lenders may not make these savings known initially, so knowing your credit score could empower you during the conversation to ensure the best offer is presented.
Checking your credit score on a regular basis (monthly is great; twice yearly is good) is a great way to keep track of any unexpected changes. It is important to bear in mind that larger lenders have ways of calculating their own scores, meaning that not one size fits all.
A credit score is calculated from information on your credit file. Every piece of information on your credit file has a numeric marker; some are positive and some are negative. Having more positive aspects boosts your score and vice versa.
Having checked your score you might be wondering “but my score was better last year!”? There will be aspects of your financial journey that have contributed;
If you have more questions or you would like to find out your credit score please call the friendly team at Pioneer Credit Connect.
Get your free credit score here
A quick credit score assessment can open up your financial horizons, putting you on the road to more options and better offers. Find out your credit score today and apply for credit products with confidence, knowing where you stand.