- Let’s face it: we all want to live a life free of debt, but the reality is that most of us are in some sort of debt. - And for many of us, it’s a lifetime condition because of long-term loans such as home loans. - The trouble is, very few of us have the cash for bigger items such as properties, cars, and other big expenses.
- We all dream of a debt-free life, but most of us are not that fortunate. - Maybe we enjoy our shopping sprees a little too much, and we’ve racked up quite a debt. If that’s the case, it’s time to get your finances into shape.
Getting your free credit check is important, and here are 6 reasons that you should do so. **Don’t Pay if you Don’t Have to** Never pay for a credit report if you don’t have to. There are websites that will tell you for a low price you can get them. Always see if you qualify for one for free before you do so though. Then you can get it and not have to spend any money. However, if you don’t qualify for a free one but do need to review it, you should be able to do so for a reasonable cost.
Annually you should be able to get a free credit check online. This is a very simple and fast process that you can get done with in a matter of minutes. However, you need to make sure you are doing it. Too many people haven’t seen what is on their report for years and that isn’t a good idea. You never know what types of fraud or simple mistakes could be on there that are preventing you from getting the credit you need at the very best possible rate of interest.
A good credit score is a valuable asset and worth working towards. Most South Africans find it extremely difficult to live without credit and a good score can save you a lot of money. It will give you better access to credit at a more favorable interest rate. Over time, this can save you a large amount of money.
Concerned you might be blacklisted? Credit bureaus keep your credit history, both the good and bad aspects. Negative data can include slow or late payments, defaults or blacklisting. Of these, blacklisting is the most serious and will jeopardise your chances of getting finance. Theoretically, you should not be able to be blacklisted without being aware of it but it can and does happen. In order to ensure you are not blacklisted, it is important to check. Fortunately, this is easy.
There seems to be a lot of confusion regarding credit bureaus and how they determine our credit scores. For many years the industry was shrouded in secrecy and the man in the street had little no access to their own vital credit information. Fortunately, they are now a lot more transparent and the process is becoming a lot easier for the average Joe to understand. It has also been regulated for some time now that the various bureaus have to give you access to at least one free credit report per year. This has gone a long way towards demystifying credit reports but many myths and untruths still prevail.
If you are one of the many South Africans who are currently busy re-paying a home bond, financed car or any form of loan, then you will be aware of interest rates, it is also known as your finance charges. Interest rates are the funds that you are charged with to borrow the money from them. This is usually calculated by means of an annual percentage. Say you still owe the bank a R100 000 on your car, and you see that you are charged with R110 000, then you are charged with 10% interest rates.
- Start a simple budget for your home, look no further than the envelope system - What is the envelope budgeting system? - How does it work?
If you find yourself in the predicament of not being able to secure credit due to your credit record score being low, yet you are unaware of why this has happened, you can log a dispute with Compuscan and ask them to investigate.