Everything you need to know about comprehensive credit reporting (CCR)
What is Comprehensive Credit Reporting (CCR)?
Comprehensive Credit Reporting is also known as positive credit reporting, as it shares more of your constructive financial history with credit bureaus, enabling lenders to make more informed assessments.
CCR shares information that speaks for the character of the applicant; such as the type of credit held, accounts opened and closed, and timely payments. This provides lenders with a clearer idea of your financial habits, rather than just negative potential defaults and/ or bankruptcies.
What does this mean if I’m looking for a loan?
CCR allows lenders to gain a more transparent view of your financial history, better enabling them to evaluate the risk associated with lending to the applicant. If you have the means to borrow, but not necessarily a squeaky-clean credit history, this is good news for you.
Comprehensive Credit Reporting has a number of potential benefits for both consumers and lenders.
With CCR, customers are enabled to show a fuller picture of their creditworthiness. Your recent positive behaviour is registered, which can balance out potential past blemishes on your credit report. Additionally, the increased reporting can help to thicken out your credit history and subsequently make it easier for banks to evaluate your credit worthiness. By including a more positive and constructive history of your financial habits, your credit score is arguably more accurate.
On the other hand, lenders have more access to gain a comprehensive understanding of your responsible behaviour with credit, giving more credence to responsible lending. Lenders are able to identify whether you are truly over-committed and have potential credit stress, which can result in fewer bankruptcies and insolvencies.
One of the most important aspects of CCR is that it enables lenders to personalise their products and services to their customers’ individual needs.
LoanU’s Rate Reducer personal loans are a prime example of this. With comprehensive credit reporting soon to be implemented at LoanU, CCR is vital to our goal of helping our customers rehabilitate their financial past through our Rate Reducer personal loans. Designed to reward you for timely payments with interest rate reductions, our personal loans will help to restore your credit history by reporting your good repayment history, as a part of CCR.
If your credit history has a couple of blemishes and you’re looking for a tailored loan solution, see if you qualify for a personal loan with LoanU instantly.
Disclaimer: The information contained in this article is general in nature and does not take into account your personal objectives, financial situation or requirements. Therefore, please consider whether the information is appropriate to your circumstance before acting on it and seek independent advice from a finance or legal professional if necessary. All loans are subject to a full application and assessment by United Loan Solutions Pty Ltd trading as LoanU (Australian Credit Licence number 486303). LoanU is part of the PF Group Holdings Pty Ltd group of companies.
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