Comprehensive Credit Reporting
Comprehensive Credit Reporting is a change to credit reporting by banks in Australia. In line with other financial service providers, and a number of banks have elected to participate immediately.
Under the new comprehensive credit reporting system, your credit reports will show more information about your credit behaviour for home loans, credit cards and personal lending applications.
Credit reports will now also include positive information such as on-time repayments, whereas previously only information such as defaults and bankruptcies appeared on the report.
What does this mean for you?
Credit reports will be more detailed, making it easier to provide an accurate assessment for lending purposes.
You’ll start to hear more as the comprehensive credit reporting system is rolled out. In the meantime, as part of our responsible lending obligations, we need to fully disclose any relevant information obtained as part of completing a finance application on your behalf.
The key message: pay on time.
The key message is that you need to lodge your BAS, Income Tax Return by the due date and meet payment obligations on time.
While some may raise concerns over the increased amount of personal financial information being given to banks, the comprehensive credit reporting system is largely seen as a positive step for consumers and lenders, encouraging responsible lending practices and enabling consumers to build a more comprehensive and positive credit report that could help them get a better deal from their chosen lender.