While traditional lenders such as banks are likely to reject an application with bad credit; Australian Lending Centre’s approval criteria is more lenient, so we can look past your credit history.
However, if you would rather apply with a bank or if you’d simply like to clean your credit file up then there are a number of things you can do to fix bad credit
First things first, it’s important to identify where the problems lie. This can be done by first checking your credit score. This can usually be done for free and will tell you the numerical value of your score between 1 and 1,200 depending on the credit reporting body.
Next it’s important to dig deeper and understand what has caused negative movement, if there is any. You can also check your credit file online, otherwise you can call us and ask for a credit health check, where we can talk you through your file in detail.
From here, we can clearly identify what needs to be done in order to fix bad credit.
If you have any of the following items on your credit file, then there is a chance that a credit repair professional could potentially clear these for you.
Credit repair professionals are trained at disputing negative listings and getting them removed from your file. Some examples of instances where professional could fix bad credit are:
A bad credit history can’t be repaired if you are consistently dishonouring on your current debt commitments.
If you are struggling to pay off your debt, talk to the specialists at Australian Lending Centre. You could take advantage of a Debt Agreement or Informal Debt Arrangement where a reduced repayment is negotiated with your creditors so you can pay off your debts over time, among other benefits.
Alternatively, we can discuss your options if you are looking to instead obtain a bad credit loan.
Credit cards can be a great way to build your credit score, if used responsibly (keep the balance as low as possible, avoid making minimal repayments and don’t miss repayments). However, they can also be one of the quickest ways to get a bad credit rating.
When you miss a few months of payment, your credit card provider can place black marks on your credit report which can take years to be removed.
Credit card debt is one of the most common ways to get into financial difficulty. They are relatively easy to obtain and many people rely on credit cards in times of financial stress, when they don’t have sufficient cash available to finance their desired lifestyle. Even when credit cards are paid off, it is really easy to reach their credit limit again.
To prevent another infringement or black mark leading to a bad credit rating, try to not abuse your credit cards and do not use them without a clear direction of how you will repay them.
Bad credit history will usually mean that traditional lenders see you as a credit risk and therefore, it will be more difficult to obtain finance. However, the Australian Lending Centre can provide support to those seeking bad credit loans and find the most competitive interest rate with the best terms of repayment available. We can even discuss how to fix bad credit.
For more information on bad credit loans, view our bad credit loans page or contact the Australian Lending Centre today.