Checking and monitoring your credit report regularly is an important part of being responsible for your money. However, it can quickly get confusing if you don’t understand the different credit report codes. These codes are designed to make it easy for lenders to read your credit report, setting a standard for your rating.
There can be a lot of confusion around credit scores, how they’re calculated, and what specific parts of your credit report mean. The good news is it’s not as complicated as it seems at first glance. In fact, you’re likely already familiar with the majority of the terminology found on your current credit report.
In this guide, we’ll share a credit report code’s quick reference guide. This makes it possible for you to review your credit score with confidence, whether you’re building credit for the first time or preparing to apply for a home.
What’s in Your Credit Report?
First, what exactly is listed in your credit report? A credit report doesn’t only include your personal information, like your name, date of birth, and address. It also has clear, specific information about your current lines of credit, payment history, and so on. Here’s what’s in your credit report:
- Credit Products: What type of credit products you’ve had in the past two years (credit cards, home loans, etc) as well as the lender name.
- Repayment history: For the accounts you’ve had in the past two years, when were payments due, how often did you pay, and did you miss deadlines?
- Defaults: Are any of your current lines of credit in default (ie. you missed several payments)?
- Applications: How many applications for lines of credit have you made, and what is your total credit limit.
- Insolvency: If you’ve filed for bankruptcy or entered into any debt agreements, these are listed for a specific period of time.
- Report requests: Lastly, any request made for your credit report is also listed.
It’s important to review all of these things regularly to look for mistakes. There are several credit rating providers, and they each do things a bit differently. Make it a habit to request your credit report for free at least once a year.
Experian Reference Codes
One of the most common credit agencies in Australia is Experian. Here are some of the most common credit report codes in a quick reference guide:
- Status: The status of your account refers to whether an account is “current” (paid), “open” (past due), or “closed” (closed account)
- 93: Account is seriously past due and has been transferred to a collection agency or attorney
- 87: Foreclosure process started by the lender
- 71/30: Account is 30 days past the due date, also sometimes listed as “30”
- 72: Account is 30 days past the due date twice
- 73: Account is 30 days past the due date three times
- 91: Debt consolidation started
- N: No update or current account balance zero
- COS: Cosigner, not the account primary borrower
Equifax Reference Codes
Another common credit bureau is Equifax. Many of these codes refer to similar terms as Experian, so it’s helpful to compare the two side-by-side. Here is the quick reference guide:
- I: Installment account
- R: Revolving or open-ended account
- O: Open account (past-due)
- 0: Account is too new to rate
- 9: Debt placed for collection
- 1: Pays account as agreed
- 2: Up to two payments past due
- 3: Up to three payments past due
- A: Account is inactive
- T: Account is terminated
- P: This is a shared account
How to Check Your Credit Rating
With that in mind, how do you check your current credit rating? You have a few different options. Luckily, it’s never been easier to access your credit information for free, even if you have a limited history. Since lenders use this score to determine your creditworthiness, it’s important to have a plan in place to monitor your credit rating regularly.
First, you can get your credit score and report for free if you’ve ever applied for credit or a loan. You also have a right to get a copy of your report for free every 3 months. You can contact the credit reporting agencies directly, or you can use a free online tool.
Many banks and lenders are creating their own credit check platforms. While these use your information to create estimates based on their own algorithm, they’re highly accurate in many cases. Still, it’s a good idea to check your official credit rating regularly, or at least once a year. Not only can you check if you’re on track, but you can catch any errors quickly.
Do You Need Credit Help?
Do you need help with your credit? Understanding your credit report can be confusing, but you don’t have to navigate these steps alone. Get expert help to make sure you’re on the right path no matter your current credit history or goals.
Contact the professionals at Debt Busters today on 1300 368 322 for specialised help. With over 15 years of experience, our team is here to guide you to a brighter financial future.