Why your score might have changed recently
Here at Credit Savvy, we believe every Australian should have free and instant access to their credit score. That’s why we’ve teamed up with Experian to give you access to your credit score and credit file information, every month, for free!
As one of Australia’s official credit reporting bodies, Experian has a sophisticated credit scoring model that calculates your score. Occasionally, they need to tweak and adjust these calculations to make sure your credit score is as accurate and relevant as possible.
Experian recently updated their algorithm and a number of Australians, including Credit Savvy members, may have experienced a change in their credit score.
These updates are primarily focussed at being ready for Comprehensive Credit Reporting (CCR). These changes allow for the inclusion of additional information on your credit report which may include the following:
- Repayment history for credit accounts such as credit cards and personal loans
- Whether the repayment was made on time or not
- The type of credit account opened
- The date the credit account was opened and/or closed
- The name of the credit provider and whether they are a licensee
- The current limit on the credit account
The additional information may not appear on your credit file if your credit provider is not yet sharing this information with credit reporting bodies.
It’s also important to remember that your credit score can move from time to time and this is normal. Some other common reasons for movement include:
- You have recently applied for a new credit product
- You have a new negative credit event such as a default or bankruptcy
- New information about you has become available to Experian – Experian are always working in the background to add more data from lenders
- A record on your file has dropped off after a certain defined period of time
- Errors on your file may have been corrected
- Records on your file ageing over time
There is also some further information in the following articles that you may find useful:
- 5 tips that could improve your credit score
- How to fix an error on your credit report
- What’s in a credit score?
To get a better understanding of how your credit score compares to the rest of Australia, sign into your Credit Savvy account and go to your See How You Rank page.