WisrCredit Bootcamp Week 6

Even with a diligent savings plan in place, we all need credit in order to achieve some of our life goals. Home ownership, in particular, is reliant on credit in the vast majority of cases, and this is obviously something that almost all of us want in Australia!

There are a huge number of companies offering credit nowadays, which means there are a lot more places to go to for credit. Although this is a good thing, one must pay attention to two key things; keeping documentation in order and choosing a company that will be long-term partners, that really fit your needs and values.  

Despite the increase of lenders, credit certainly isn’t handed out as liberally as it once was, and you need to make sure that you have all of the personal documents that you may need in order to qualify, as we pointed out earlier.

This week, we will examine all of the important issues surrounding the personal documents that you may need to successfully complete a financial credit application.

Step 1 – Do you use credit wisely? Take the test to find out!

Step 2 – Understand why using credit wisely and keeping on top of documentation is important

Applying for credit is so common nowadays that it can be easy to forget something really important. And not all credit applications are successful!

In fact, vast numbers of credit applications are turned down by lenders. A study recently published in the LKFS journal suggested that around one-in-five Australians who apply for a home loan ultimately have their application rejected.

While this can sometimes be due to either legitimate reasons or outdated lending criteria, in many cases the applicants themselves may be to blame. Shoddy credit files, poor organisation, and a lack of up-to-date documents have all been cited by lenders as major reasons for refusing credit.

This underlines just how important it is to get on top of your personal financial documents and ensure that you are ideally organised. You should seek and use credit diligently. If you fail to do this then you can end up borrowing more than you need, incurring unmeetable monthly payments, and potentially defaulting. This won’t do your long-term financial future much good at all, rest assured.

Understanding your creditworthiness, and how to manage credit itself in a responsible way is actually a key life skill in a society in which most of us require credit at some point in our lives. So it really is something that you can’t afford to neglect.

Step 3 – Compare your credit scores for free with WisrCredit

The good news is that you can compare your multiple credit score absolutely free of charge with WisrCredit and this has absolutely no impact on your credit score, so you really have nothing to lose.

Step 4 – Stay up to date

Follow the Wisr Facebook,   Instagram and Twitter pages, and you can check out all of the most important information on how to deal with bills and payment planning.  Talk to us on those channels anytime!

We are here for you.

Disclaimer: This article contains general information only, and is not general advice or personal advice. Wisr Finance Pty Ltd does not recommend any product or service discussed in this article. You must get your own financial, taxation, or legal advice, and understand any risks before considering whether a product or service discussed in this article may be appropriate for you. We have taken reasonable efforts to ensure that the information is accurate at the time of publishing, but the information is subject to change. We may not update the article to reflect any change.

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