Home > Understanding Your Credit Score
Do you know your credit score? If you don’t, there’s no need to stress! You’re certainly not the only one in this boat. In fact, a recent statistic found that 73% of Aussies don’t know their credit score and 8% of adults didn’t even know what a credit score was. Considering your credit score is one of the most important numbers in your life, these figures are a bit alarming.
There are several reasons why the majority of Aussies don’t know their credit score. The most common is that credit reports and scores can simply be very confusing. That’s why, at Jacaranda Finance, we’ve put together a guide on all things credit. So whether you’re looking to improve your score or just want to know more about them in general, we’ve got the answers you seek!
A credit score is a numerical representation of the information in your credit report. It’s used by lenders and credit providers to assess your creditworthiness and reliability as a borrower. Generally, your credit score will range between 0 and 1200, however this can vary between credit agencies. The lower your credit score, the riskier you are as a borrower and vice versa. The table below breaks down what your credit ranking is likely to mean:
|Excellent||833 – 1200|
|Very Good||726 – 832|
|Good||622 – 725|
|Average||510 – 621|
|Below average||0 – 509|
*Please note: These scores are based on Equifax’s rating scale
Whether you’re applying for credit or not, it never hurts to know your credit score. Checking your credit can tell you a lot. Your score may be lower than you first thought which means you’d probably want to try and improve it. Or maybe you have errors or inaccuracies on your report that need to be removed.
Your credit score is calculated by these three credit reporting agencies:
You can access a free annual credit report from any of these companies, so make sure you take advantage!
Your credit score is calculated based on a number of factors. The three credit reporting agencies: Illion, Equifax and Experian all keep a record of your credit accounts as well as personal and financial details which they use to calculate your score.
Otherwise known as your credit report, these records contain details such as:
If you have a less than perfect credit score, your chances at accessing finance may be hindered. Unfortunately, we cannot take back financial mistakes we’ve made in the past. What you can do, however, is implement changes to stay on top of finances to improve your credit score for the future.
So, if you’ve got poor credit, check out this Jacaranda guide to improving your credit score!
Finding finance when you have bad credit can be a tough task, especially if you’re applying with traditional lenders like banks and credit unions. Fortunately, bad credit doesn’t have to stand in your way when applying for one of Jacaranda Finance’s personal loans. We understand that people make mistakes, but a financial mistake you made up to 7 years ago might not accurately represent how you are with money today.
Although we will conduct a credit check, we won’t base our entire assessment on the basis of your credit score. Instead we can assess factors like your income, spending habits and relationship with money to determine whether a personal loan is right for you. We do this by accessing a read only copy of your bank statements. If you’re worried about privacy, there’s no need to be. We won’t actually have access to your bank account or your passwords. Think of it as just a screenshot of your spending.
If you’re interested in applying for our online cash loans, first you should check if you meet our eligibility criteria. To apply you must:
That’s it! If you meet all of these requirements then you’re eligible to apply. Scroll up to the top of this page to start your application.
The beauty of our personal loans is you won’t have to submit any physical paperforms. We’re 100% online so you can provide us with your details without having to lift a finger or do any unnecessary printing. To ensure you breeze through the application, we recommend having the following details handy.
Have you heard everything you need to hear regarding your credit score and credit reports? If you haven’t already done so, we recommend you access a free annual credit report from the three major credit reporting agencies.
If you want to apply for a personal loan with Jacaranda, you can begin your application by scrolling to the top of this page to select the amount you want. You’ll then be taken to the 100% online application where you’ll need to fill out the required fields. From there we’ll assess your application and hopefully get back to you with an outcome in just 60-minutes*!
*If you apply during business hours and we don’t require any additional information from you
Jacaranda is 100% online. So, we do not accept applications over-the-phone. However, our friendly team is more than happy to answer any questions you may have.