Find Out What Doesn't Affect Your Credit Score

You may already know what details are included in your credit history, that determine your credit score. But you’ll be even more surprised to learn what personal information doesn’t factor into this rating at all! To discover what isn’t factored, keep reading this helpful and informative credit fix article.

Because only information recorded in your credit history can be used to generate a credit score, this means that these factors following, play no meaningful role in determining whether you have good or bad credit. Religious and political beliefs, sexual orientation or activities, criminal activity in the past years, personality traits, physical appearance and wellbeing along with health issues or disabilities are not recorded.

According to the OAIC, your credit report contains an in-depth summary of personal information such as full name, date of birth, gender, current/previous address and employer. Additionally included is driver’s license number and any consumer credit providers that were used with their type of consumer credit provided at what day or when it was terminated (if applicable).

By accessing the data contained in your credit report, credit bureaus craft your score. If you can meet all of your financial obligations on time and successfully apply for new forms of credit, then you will naturally construct a solid rating or lift up an unsatisfactory one. However, neglecting payments or defaulting them over again may result in poor outcomes when it comes to obtaining a good standing with creditors.

You may be aware of the consequences that multiple credit checks in a short amount of time can have on your credit score. This is because when banks and other financial institutions check your credit, they take it as an indicator that you are looking for more money than usual; this implies to them that you could potentially miss payments or default. Thus, conducting too many inquiries into someone’s finances over a brief span will damage their creditworthiness significantly.

By frequently monitoring your credit score, you can stay apprised of how lenders view you. Doing so may also uncover any inaccurate data in your financial background or if you’ve been targeted by identity thieves – rectifying these issues could improve your credit ranking soon after. It’s certainly worth the effort to check it regularly!

We hope that this credit fix article gave you a better understanding into what is and isn’t included when calculating your credit score, as well as what could affect it. Clear Credit Solutions are the credit repair experts and we help to remove default and negative listings off of credit files, so that you can go obtain the finance that you need! If you have any further questions or would like our assistance when it comes to credit fix, please don’t hesitate to contact us today!

Source: Jasper