Rabu, 20 April 2011

Credit Reports

Credit report or credit reputation is a record of an individual or company's past borrowing and repayment, including information about late payments and bankruptcy credit.
When a client fills out an application form, bank credit, or credit card companies, information is transmitted to banks. Credit Information Services / credit bureau is responsible for identifying information on the applicant's credit applicant with information retained in its data file.

This information is used by lenders such as credit card companies to determine the creditworthiness of an individual, that is, to determine the individual will repay the debt. The willingness to pay the debt in time shows how the past has been paid to other lenders. Lenders expect consumer debt is paid monthly.

The other factor in determining whether a lender will provide a consumer credit or loan based on income. Lenders make lending decisions based on both the ability and willingness to repay debt (credit) as mentioned above, the payment history or credit history.

These factors help lenders determine whether to extend credit and under what conditions. With the adoption of pricing based on risk in almost all loans in the financial services sector, this report has become even more important, as is often the only element used to choose the annual percentage rate (APR ), grace period and other contractual obligations of the loan or credit card.

1 komentar:

Rumah Siput mengatakan...

Nice info...
keep smile :)