FAQ - What about my credit report?

1. What is a credit default and how does it affect me?

A credit default is a negative listing placed on your credit report by a credit provider when a debt of $150 or more is more than 60 days overdue. Defaults can make it significantly harder to get approved for finance — a home loan, car loan, or even a business facility — and in some cases can result in a flat-out decline, even if the amount is relatively small. A single default can also push you into higher-cost lending options, costing you more over time even if you do get approved.

2. How long does a default stay on my credit report?

A payment default typically remains on your credit file for five years from the date it was listed — regardless of whether you've repaid the debt. Court judgments also remain for five years from the date of the judgment. Serious credit infringements, often related to fraud, can remain for seven years.

3. Does paying a default automatically remove it from my credit report?

No. Paying a debt updates the status of a default listing to "paid," but the listing itself remains on your file for the full five-year period. It still shows up as a negative mark and can still affect lending decisions. If you've paid a debt and are wondering whether the listing can still be challenged, the answer is: possibly — it depends on how the default was originally recorded and the circumstances surrounding it.

4. Can a default be removed before five years?

Yes — if it was listed incorrectly or in breach of the legal procedures required of the credit provider. Credit providers are required to follow specific steps before listing a default, including issuing proper notice to the right address at the right time. If those steps weren't followed correctly, or if the information is inaccurate, there may be grounds to have the listing removed or corrected regardless of the five-year period. This is what Edit Credit investigates — each listing is assessed individually against its specific legal and procedural circumstances.

5. How do I know if I have a default on my credit report?

The starting point is to get a copy of your credit report. You're entitled to a free copy from each of the major Australian credit reporting bureaus — Equifax and Experian. Reviewing your report will show you any defaults, court judgments, credit enquiries, and other listings. If you're unsure what you're looking at or whether something looks wrong, Edit Credit offers a free initial assessment.

6. What if there's an error on my file that isn't a default?

Your credit report can contain many types of information beyond defaults — repayment history, credit enquiries, personal details, and more. Errors can take many forms: a debt listed twice, an incorrect amount, a listing belonging to a different entity appearing on your personal file, or an enquiry made without your proper consent. Edit Credit can investigate any type of listing or inaccuracy and work with the relevant credit provider or bureau to have it corrected.

7. Can credit enquiries hurt my credit score?

Yes. Every credit application generates an enquiry on your credit file. Multiple applications in a short period are visible to lenders and can be interpreted as a risk signal — suggesting financial stress or that you've been declined elsewhere. This is worth being aware of before shopping around for finance. If you have a high volume of enquiries — particularly from fintechs or short-term lenders — it may be worth reviewing whether any were made without your proper authorisation.

8. How long does credit repair take?

Once correspondence is sent to a credit provider, they generally have 30 days to respond to a correction request or formal complaint. More complex matters — where a provider challenges the request, asks for additional information, or where escalation to an external body like AFCA is required — can take longer. As a general guide, straightforward cases often resolve within 30 days; more complex situations may take 60 to 90 days. Edit Credit will give you a realistic timeline once we understand your specific circumstances and the parties involved.

9. Why use a credit repair service instead of disputing myself?

You do have the right to dispute listings directly with credit reporting bureaus, and for simple factual errors this can be a reasonable first step. Edit Credit is suited to situations that are more complex — where the grounds for removing or correcting a listing require a detailed understanding of credit reporting law, the Privacy Act, and the obligations that credit providers must meet. Kath and Luke, who founded Edit Credit, bring 30+ years of combined experience from inside the credit industry — working across lending, credit bureaus, and collections. That background means we understand how lenders, bureaus, and collectors actually think, which makes a material difference in how disputes are framed and negotiated.

10. How do Edit Credit's fees and refund policy work?

Edit Credit's initial assessment is free — we review your situation and tell you what we find before any fees are discussed. For most consumer cases, the fee is $770 (GST inclusive), which covers the first listing investigation and challenge. Additional listings are $550 each. More complex cases — including commercial and multi-entity matters — are scoped and priced after the initial assessment, and bundle pricing is available where multiple issues are being addressed. Edit Credit backs its work with an outcome-based refund guarantee: if a successful outcome cannot be achieved for a specific listing after all reasonable avenues have been exhausted, the fee for that listing is refunded. In some borderline cases the service is agreed upfront as fee-for-work-done — this is always discussed clearly with you before any payment is made.