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What you should know about credit reports

Kieran Witt, 29 July 2023

Credit reports
Mortgages

What’s this article about?

In this Ask an Expert session, we cover all things Credit Reports and are joined by Lorraine Collie, a Mortgage Broker at Zing Mortgages and Kirstie Day, from CheckMyFile.

About our experts

This month we invited Lorraine Collie, a mortgage broker at Zing Mortgages and Kirstie Day at Checkmyfile, to join us at the Kotini coffee table to help our home-buying community learn about credit reports.

Zing Mortgages is an award winning mortgage broker based in Essex helping home buyers to get the mortgages they need to get a foot on the ladder.

Checkmyfile were the first UK company to give consumers online access to their Credit Report and Credit Score. They're the UK's most detailed Credit Report, with data from all four Credit Reference Agencies: Equifax, Experian, TransUnion and Crediva.

What we covered

Understanding Credit Reports

Our session begins with an explanation of what credit reports are and how they play a crucial role in mortgage applications. They're like financial report cards that lenders use to assess your creditworthiness.

The Four Credit Reference Agencies

We cover the four major credit reference agencies in the UK, each with its own way of calculating your credit score. It's important to understand how each one works.

Importance of the Electoral Roll

Being on the electoral roll can positively impact your credit score. It's a simple step that can provide a boost to your creditworthiness.

Updating Credit Reports Takes Time

We disucss how making changes to your credit report is possible but they don't happen instantly. It can take four to six weeks for updates to appear, so patience is key.

Guarding Against Fraud

Regularly checking your credit report can help you spot and address potential fraud. It's an essential part of maintaining a healthy credit score.

Hard vs. Soft Credit Checks

Not all credit checks are the same. Hard checks can impact your credit score, while soft checks don't leave a mark on your credit report.

IVA and Mortgages

Having an Individual Voluntary Arrangement (IVA) doesn't necessarily exclude you from getting a mortgage. However, it may require more planning and potentially accepting a higher interest rate.