FAQ - What about my credit report?

1. What is a credit default and how does it affect me? A credit default is a "black mark" on your credit report, listed by a credit provider when a debt of $150 or more is more than 60 days overdue. These defaults can make it difficult to get approved for credit, such as a home loan or car loan, and can cause you to be declined even if the amount is small. A single default can significantly impact your ability to get a loan with favorable terms.

2. How long does a default stay on my credit report? A payment default typically remains on your credit report for five years. This is the case even if you have already paid the debt. Serious credit infringements, which are often related to fraud, can remain for seven years.

3. Does paying a default automatically remove it from my credit report? No, it doesn't. Paying a default will only update its status to "paid". The default listing itself will still remain on your credit report for five years from the date it was listed, acting as a negative mark on your history.

4. Can a credit default be removed before five years? Yes, a default can be removed before the five-year period if it was listed incorrectly or if the credit provider failed to follow the proper legal procedures. This is where our expertise comes in. We understand the specific legislation and can identify and challenge listings that are non-compliant, giving you the best chance of having them removed.

5. How do I know if I have a default on my credit report? The first step is to get a copy of your credit report. You are entitled to a free copy of your credit report from each of the major Australian credit reporting bureaus (Equifax and Experian) every three months. Reviewing your report will show you any defaults, court judgments, or other negative listings.

6. What if my credit file has an error, but it's not a default? Your credit report can contain many types of information, including repayment history, credit inquiries, and personal details. Errors can include double listings of a debt, an incorrect amount owed, or even a debt that isn't yours. We can help identify these inaccuracies and work with the credit provider or credit reporting body to get them corrected.

7. Is it true that a credit inquiry from a loan application can negatively affect my credit score? Yes. Every time you apply for credit, a credit inquiry is recorded on your credit report. Making multiple applications in a short period of time can negatively affect your score and may be viewed as a risk by lenders.

8. How long does it take to fix my credit report? The timeframe can vary depending on the complexity of your situation. However, we are committed to being efficient. For straightforward cases, a resolution can often be achieved within 30 to 60 days. For more complex scenarios, the process may take longer, but we will keep you informed every step of the way.

9. Why should I use a credit repair service instead of doing it myself? You have the right to request corrections to your credit report yourself. However, this can be confusing, frustrating, and costly in terms of time and effort. Our team has over 30 years of combined experience in credit and collections, giving us a unique understanding of the processes of credit bureaus and collections companies. We can identify issues and navigate the system more efficiently to get you the best result.

10. Do you charge a fee if you can't get a result? No, we don't. We operate on a "no-result, no-pay" basis for most of our services. This underscores our customer-first approach and our commitment to only charging when we successfully resolve an issue that is impeding your ability to seek credit. In some rare and complex cases, no-result, no-pay does not apply, but this will be discussed prior to any payment.