A guide to the UK’s credit reference agencies
If you have poor or bad credit, it is important you take prompt action to improve your credit rating. Regularly reviewing your credit report with one of the UK’s credit reference agencies is a key step towards rebuilding your financial reputation.
What is a credit reference agency?
There are three credit reference agencies in the UK: Experian, Equifax, and Callcredit. These credit reference agencies are independent organisations that compile your personal and financial data to create a credit report. This report helps lenders to see how financially responsible you are and enables them to make a quick, fair and profitable lending decision. The credit reference agencies also help protect you from fraud, as they enable financial companies to confirm your identity.
Which credit reference agency does Eureka use?
Some companies only use one credit reference agency, while others check all three. At Eureka Leasing, we use Callcredit to check your credit report and assess your application. If you have poor credit, you may struggle to obtain a personal car lease with other leasing companies, but at Eureka, we are happy to help you secure a car finance deal tailored to your individual circumstances.
“Complete our easy online eligibility checker to see which vehicles are within your budget.”
Do all three credit reference agencies hold the same information?
You will likely find that your credit reports and scores differ across the three credit reference agencies. Why is this the case?
Some lenders will only submit information to one agency. Although the three agencies usually share information between them, this doesn’t always happen. This can lead to discrepancies, causing each agency to produce a completely different score.
The three agencies use different criteria and algorithms to generate your credit score; some give more weight to certain elements than others. This may cause a good credit rating with one agency and a bad credit rating with another.
You will also find that each agency has a different scoring system. (For example, while Experian scores up to 999, Callcredit score out of a maximum of 710 and Equifax out of 700.)
A difference in information could indicate that you have a ‘split credit file’.
“You can obtain a full statutory copy of your credit report for £2 from any of the three credit reference agencies.”
How do I obtain my credit file?
The three main credit reference agencies have a legal obligation to offer you a statutory credit report (also known as a ‘hard copy’) for a fee of £2. You can receive this either through the post or online, usually as a downloadable PDF document.
Can I get my credit report for free?
There are some companies that provide you with a free online credit report and score. It is wise to remember that these free online reports are usually not as up to date or as in-depth as the statutory report and can be up to three months out of date.
Eureka Leasing can help you secure a great car lease deal even if you have a bad credit rating. To tailor our service to you, we consider your personal circumstances and financial situation to offer you a bespoke quote for your selected model.