Keeping a Healthy Credit Profile

Your credit profile reflects your creditworthiness.

Your credit profile reflects your creditworthiness. How healthy your credit profile looks to credit providers is in your hands. So, what kind of financial behaviour should you avoid – what information on your credit profile would raise a red flag for potential credit providers?

  • You have opened a several credit accounts within a short period
  • You have applied for several loans at various credit providers over a short period
  • It seems as if you are using loans to pay off other loans
  • You have too many accounts open
  • There are a number of missed payments
  • Your credit limits are all maxed out (used to full capacity)
  • Your good payment behaviour is inconsistent or over a very short period

To make sure that there are no red flags on your profile you need to keep your credit score up and your credit profile healthy. This means paying your accounts on time and sticking to your budget (our total debt payments should not amount to more than 36% of your income).

Before you take out a loan or apply for a credit facility make sure you understand the costs involved. Remember, every credit provider you formally apply to is listed on it, so other credit providers will see where you have applied. That’s why it is important to check that you have all the facts before applying and not to over-apply, as this may be a potential risk factor in the eyes of a credit provider.

To check on the health of your credit profile, use Compuscan’s free My Credit Check facility, which gives you unlimited access to your credit profile and the chance to fix any mistakes that could be negatively reflecting on your credit score. As a leading credit bureau Compuscan is there to make sure your information is accurate, and that both you and the credit providers are protected to do fair business. Remember your credit profile’s health is in your hands – check it today.