How to determine creditworthiness as a customer

As a customer, the last thing you want is to miss out on an opportunity to access credit because of a lack of creditworthiness. If you aren’t deemed creditworthy, then the chances of you qualifying for credit are quite slim. If you are keen on finding ways to improve your credit standing, then there are options. 

Credit bureaus have credit reports which detail the ways in which individuals or companies have conducted themselves in terms of repayments.  

Every credit decision is detailed in these reports, so it’s vital to become familiar with this information. An important part of finding ways to determine creditworthiness is assessing the amount of debt they have to their name.  

Bad decisions could lead to poor credit. As a customer who wants to determine creditworthiness, doing your homework in terms of assessing how well repayments have been made is vital. By paying debts back on time, this leads to individuals becoming more creditworthy. By displaying trustworthiness, it results in a lower risk to the lender. 

As a customer, you need to take the initiative by finding out what is required in order to improve your creditworthiness. Having a clear layout of the facts is a great place to start. 

Do the necessary research by finding out from other lenders how well credit has been handled. As a customer, it would be wise to use this information to improve credit standing. 

By assessing the character of a loan applicant, this leads to a better understanding of how they handle their credit agreements. For instance, do they answer emails in a timely manner? How well do they communicate? This may help to provide better insight into a customer’s behaviour.