fbpx
1300 416 700
Home Loan Types The Team Calculators Learning Our Difference Get in Touch
Mortgage Basics

What is CCR and how will it affect you?

comprehensive credit reporting

Earlier this year Treasurer Scott Morison and the government announced that from the 1st of July 2018 mandatory comprehensive credit reporting (CCR) will be rolled out. Starting with the big 4 banks, financial institutions will now be required to share data that provides a more holistic view on a loan candidate.

To compliment defaults, these institutions will now provide information in relation to when debts were paid back, accounts that you may have previously opened and how well you meet repayments, providing more context than ever into your historical financial decision making.

For a loan candidate, greater transparency means a greater chance at being approved and hopefully for some, more of an opportunity to get into the already difficulty housing market.

So, how does this effect you?

This information gives lenders the ability to better understand the risk involved in your application and it therefore provides an opportunity for those who may on face value have been knocked back completely or offered an unrealistic interest rate, to enter the market.

There will also be an increase to the minimum default amount, rising from $100 to $150, resulting in fewer defaults being highlighted in your credit report.

Credit Report

Master the Sydney property market with leading industry insights and market trends straight to your inbox

Helpful Tools

Choosing a home loan is one of life's big decisions. We get it.

Start planning your next move using one of our handy calculators.

What can you do in the meantime to improve your credit rating?

Credit Reporting

Setting up direct debt payments where possible is a great way to easily boost your credit rating. As both good and bad credit behaviour will now be shared with lenders, setting up automatic debits is a good way to show that you make payments in a timely manner.

Checking your credit history is free and a great way to see where you sit. The report will list information provided to lenders and will give you an opportunity to see where you may fall short.

Want to find out more about CRR and how to improve your credit rating? Get in touch with a Shore Financial Broker today.






Learning

Related Articles

Mortgage Basics

How To Tilt the Odds in Your Favour in a ...

7 Aug 2023
Mortgage Basics

How HECS Debt Can Affect Your Home Loan Application

13 Jun 2023
Mortgage Basics

What You Need to Know About Rate Lock

26 Oct 2022
Mortgage Basics

Why More and More Australian Borrowers Are Turning to Mortgage ...

12 Sep 2022
Mortgage Basics

Why Your Borrowing Capacity is Falling, and What To Do ...

8 Aug 2022
Mortgage Basics

What Happens If Your Mortgage Application Gets Rejected?

8 Aug 2022
Mortgage Basics

Are Owner-Occupied Home Loans a Good Option for You?

1 Aug 2022
Mortgage Basics

Why Credit Scores Are Vital for Home Loans in Australia

18 Jul 2022
Mortgage Basics

What You Need to Know About Owner-Occupied Home Loans

11 Jul 2022
Mortgage Basics

4 Common Reasons Why the Rate of Variable Home Loans Change

4 Jul 2022
Mortgage Basics

When Is It Too Late and Old for Investing in Home Loans?

27 Jun 2022
Mortgage Basics

Four Different Tips for Bettering Your Credit Score

20 Jun 2022
Mortgage Basics

What Happens at the End of Your Home Loan’s Fixed Term?

14 Jun 2022
Mortgage Basics

Fixed Home Loans vs. Variable Home Loans: Which Is Better?

13 Jun 2022
Mortgage Basics

4 Strategic Tips to Save Money on Your Home Loan Today

6 Jun 2022