Increasingly, financial services providers, telco's and even utility companies that access your credit report are also requesting your credit score. Banks, lenders and other credit providers may take this score into account when deciding whether to extend you credit.
Myths vs Facts
"Nobody looks at credit scores anyway"
"I don’t need a credit score until I get a loan or a credit card"
Knowledge is power and proactively managing your credit is a good way to stay on top of your financial position. You may have to improve your score, which can be useful to do before you apply for credit.
"All Credit Scores are basically the same"
Your score relates to your creditworthiness, based on information held in your credit report at a given point in time. Different credit organisations may use different scoring methodologies. The Equifax credit score is from 0 to 1200; the higher your score, the better your creditworthiness is likely to be.
"All I need is a Credit Report"
Actually, credit reports often do not contain credit scores. This information is often provided separately. To obtain your free credit report, contact Equifax.
Disclaimer: The information contained in this FAQ is general in nature and does not take into account your personal objectives, financial situation or needs. Therefore, you should consider whether the information is appropriate to your circumstance before acting on it, and where appropriate, seek professional advice from a finance professional such as an adviser.