Not sure how to check your credit scores? Wondering how you got a bad credit? Knowing your credit score might help you through all your credit journey. Monzi explains, Keep Reading!
What’s my Credit Score?
Your credit score is a number that indicates your creditworthiness. It is calculated based on personal and financial information in your credit report. This includes your ability to repay your bills on time, your credit applications, and other credit-related personal information. Credit scores typically range from 0 to 1,200 depending on the credit reporting body.
High Credit Score 📈: You may be more likely to repay a loan or credit card on time and may qualify for better finance deals, including lower interest rates on personal loans or other credit products.
Low Credit Score 📉: You might be more likely to miss your repayments, which may affect your credit rating, limit access to credit, and impact your ability to get approved for loans or credit cards.
Who Checks My Credit Score?
Your credit score might be accessed by credit providers such as banks, financial institutions, credit card providers, and credit reporting bodies like Equifax, Experian, and illion. They use your credit score and report information to assess how much they may lend you and what interest rates to offer. Each lender has different criteria, and your credit score calculated by different agencies may vary.
Do I really need to check my credit score?
Not necessarily, but if you are planning to make a major purchase or applying for a loan or credit product, knowing your credit score might help you make smarter financial decisions. Checking your credit score may also alert you to any serious credit infringements or defaults on utility bills that might affect your financial situation. Be cautious when checking your credit score on different platforms, as some may run a hard credit check instead of a soft credit check, which might temporarily affect your score.
How to run a free credit score check?
There are plenty of online providers who may offer a free credit score service or free credit report in Australia. Examples include:
➤ Credit Savvy (providing Experian credit score)
➤ GetCreditScore (providing Equifax credit score, formerly known as Veda)
Keep in mind these are separate platforms, and the credit score outcome may vary. Consider checking with more than one credit reporting agency to get a better understanding of your credit profile.
How to check credit score in Australia?
You may check your credit score with third-party services or directly from credit reporting agencies like Equifax, illion, and Experian. Australian consumers are entitled to access a free copy of their credit report and credit score from the three credit reporting bodies once every three months. This may include your repayment history, credit account details, and any financial hardship arrangement noted on your file.
Does a credit check affect my credit score?
Possibly. A hard credit check by your lender or bank might affect your credit score temporarily. However, a soft credit check, which you may run yourself through free services, does not affect your credit score.
What is a good credit score in Australia?
Generally, a good credit score in Australia ranges between 600 and 800, depending on the standards of each credit reporting agency.
| Credit Bureau | Good | Very Good | Excellent |
|---|---|---|---|
| Equifax | 661–734 | 735–852 | 853–1200 |
| Experian | 625–699 | 700–799 | 800–1000 |
| illion | 500–699 | 700–799 | 800–1000 |
The information provided by Monzi is general and not financial advice. Credit score ranges may vary between credit reporting bodies, and individual circumstances differ. For more on how limits are estimated, refer credit card limit calculator. Always check with the relevant credit bureau for the most accurate and up-to-date information.
Can I get my credit report copy?
Yes, Australian consumers are entitled to a free copy of their credit report each year. You have the right to access your credit report and request corrections to any incorrect listings via the corrections process. This may includes checking your personal details such as your driver’s licence number, previous address, and other personal information.
You may get copies from:
| Credit Reporting Agency | Address | Phone |
|---|---|---|
| Equifax | PO Box 966, North Sydney, NSW 2059 | 13 83 32 |
| Illion | PO Box 7405, St Kilda Road, Melbourne, VIC 3004 | 1300 734 806 |
| Experian | GPO Box 1969, North Sydney, NSW 2060 | 1300 783 684 |
When is it useful to check your credit score?
You may check your credit score whenever you’re looking for a loan or credit product such as:
| 💳 Type | 💡 When It Might Be Useful |
|---|---|
| Personal Loan💸 | Making a major purchase or consolidating debts |
| Home Loan🏡 | Planning to buy a house |
| Credit Card 💳 | Managing ongoing or everyday expenses |
| Buy Now, Pay Later💰 | Splitting purchases or repayments over time |
| Personal Overdraft💰 | Accessing extra funds when needed |
What to do if you’re being scammed?
If you suspect identity crime or have been a victim of identity theft, act immediately:
- Stop all contact with the lender or scammer.
- Contact your bank to report suspicious activity.
- Review your credit report for any unusual listings or credit infringements.
- Notify the police as soon as possible.
- Refer to ASIC’s list of companies you should not deal with.
How do I improve my credit score?
Improving your credit score may takes time and consistent effort to maintain a healthy credit profile. You may:
➥ Make your loan repayments on time to maintain a positive repayment history.
➥ Only borrow what you may afford to repay.
➥ Limit the number of credit enquiries or applications.
➥ Monitor your credit report regularly and fix mistakes promptly by contacting the relevant credit reporting agency or credit provider through the corrections process.
FAQs – Check Your Credit Score
What is the difference between my credit file and credit report?
These terms are often used interchangeably and both refer to the detailed record of your credit history held by credit reporting bodies.
How do my credit score and report impact my creditworthiness?
Lenders and financial institutions may use your credit score and credit report to assess your creditworthiness and decide on loan approvals and interest rates.
How to fix errors on my credit report?
If you find incorrect or outdated information on your credit report, contact the relevant credit reporting agency or credit provider to request corrections through the official corrections process. This service is free of charge and helps ensure your credit information is accurate and up to date.