It’s not easy, but you’re crawling your way out of debt; how can you start building a good credit score?
Credit active consumers in South Africa are entitled to one free credit report per year.
A credit report will show who your creditors are, your payment history (according to creditors) and if you have any adverse listings such as, for example, being a slow payer.
If you don’t agree with the information, you can log a dispute.
Your credit report is a very important part of your financial life; credit providers definitely access it when making their decisions.
Africa Melane interviewed Annaline van der Poel of Debt Rescue.
“If you’ve finished [paying off] all your debt, ensure you keep paying all your monthly accounts, your insurance, your cell phone…”
Annaline van der Poel, Debt Rescue
“Your credit score becomes important when negotiating interest rates…”
Annaline van der Poel, Debt Rescue
“It’s definitely possible [to rebuild a poor credit score] … Start with something small… like a cell phone or insurance… Make sure you pay on time, every month. Pay at least the minimum amount. If you can pay more, it’s even better…”
Annaline van der Poel, Debt Rescue
“If you apply for credit and you get declined; you’re entitled to the reason… It’s your opportunity to see what to work on to improve your credit score.”
Annaline van der Poel, Debt Rescue
“Applying for credit too often can have a negative impact on your credit score. And applying with too many places at once also…”
Annaline van der Poel, Debt Rescue
Read the full article here: https://www.capetalk.co.za/articles/428524/how-to-rebuild-a-good-credit-score-after-a-rough-patch
