A question every credit user should ask and understand, what is a credit bureau? An integral part of the debt world, this is something that every consumer in South Africa should understand. Dealing with both consumer information as well as business solutions, this body facilitates the smooth and fair running of credit.
A credit bureau is in essence a company that collects and maintains credit information for individuals, selling in to lenders, creditors and consumers in the form of a credit report – South African citizens are entitled to one free credit check a year. While there are a handful of credit bureaus that consumers can contact, the most well-known are:
Acting as more than just a record provider for consumers, these institutions also provide solutions to businesses that better assist the decisions taken regarding credit. Taking note of all your credit activity, showing lenders proof of your trustworthiness, everything from a store credit account to debt review appears on this record, showing your lend-ability to future lenders.
With one free credit record check a year, ensure you know where you stand and understand how to correct any short falls on your record. This allows creditors to see whether or not your loan would be reckless lending, or if you can handle the weight of the debt.