Comprehensive Credit Reporting
Comprehensive Credit Reporting (CCR) enhances Australia’s credit reporting system and allows for additional customer information to be securely supplied between credit providers and credit reporting bodies. CCR helps to recognise people displaying sound credit management and borrowing practices.
The CCR system means Resi Mortgage Corporation (Resi), is required by law to share certain account information with the credit reporting bodies to be included in individuals’ consumer credit reports.
As well as credit enquiries, defaults and serious credit infringements, the information shared for CCR includes:
- the date the account was opened or closed
- the type of credit
- the credit limit
- repayment history information
- financial hardship information
Resi is supplying CCR information for its consumer home loans.
What CCR means for you?
CCR means it’s more important than ever to make your loan repayments on time, so your repayment history information is shown positively on your credit report.
If you’ve missed a loan repayment, restarting your payments and getting them back up to date as soon as possible, will help ensure your credit report remains healthy. You can also set up automatic payments, such as by Direct Debit, so you do not have to remember to make your repayment on time and helps you keep your repayments on track.
CCR and Hardship
A Financial Hardship Arrangement (FHA) is when a borrower and a lender come to a formal agreement to adjust loan repayments on a home loan, because the borrower is experiencing financial difficulty. This might be because they’ve been sick, lost their job, or as a result of a relationship breakdown.
Some examples of FHAs may include the lender agreeing to postpone the loan repayments temporarily, reducing the repayments or not charging interest for an agreed period.
From 17 October 2022, if you enter into a hardship arrangement with Resi, it may be shown on your credit report as an:
- ‘A’ which indicates a temporary arrangement or deferral; or
- ‘V’ which indicates a permanent change where the loan is varied.
This information is included in a consumer credit report for 12 months alongside repayment history information.
The FHA is intended to support you in getting back on track with your finances and can make a positive difference on your credit report, if you repay on time according to the new arrangement.
The reason for the FHA is not included in the credit report. Credit reporting bodies may not use financial hardship information when they calculate a credit score.
For more information on financial hardship and credit reporting, or if you’re having trouble making your loan repayments, please contact Resi Customer Service on 1800 754 758, for a confidential conversation.
What is a credit report?
Credit Reporting Bodies (CRBs) collect and share credit information with credit providers, by providing a credit report.
A credit report is a summary of a person’s credit history information, personal information and relevant public records created by a credit reporting body and provided under Privacy Act laws to credit providers. Each CRB produces its own version of a credit report, which may be used by a credit provider to inform their credit decision and the amount of credit offered.
What is Repayment History Information?
Repayment history information (RHI) is a number listed each month on a credit report, that indicates whether a person is up-to-date or late with their loan repayments. It is an important indicator of a person’s management of their credit accounts.
What are Credit Reporting Bodies?
Resi currently works with Equifax as its CRB.
Get a free copy of your credit report
You can request a free copy of your credit report from each CRB every 3 months. The CRB must provide a credit rating in the free credit report, together with an indication of the ‘band’ that the credit sits in (eg, below average, average, good, etc). This will provide you with the opportunity to see what information is available as well as check for any inaccuracies.
For a copy of your current credit report, contact the credit reporting bodies.
Checking what’s on your credit report is important, to check that there are no fraudulent applications made in your name and that your information is correct. If you see something that doesn’t look right on your report, you should contact the credit reporting body to get it looked into.
How we use your credit information
When you apply for credit, you give your consent to us to conduct a credit check. We obtain a credit report from Equifax. The information is used to verify your identity and credit information.
Tips for a healthy credit report
CCR helps to recognise good repayment behaviour. Making repayments on time has never been more important. To help you maintain a healthy credit report, following are some of our top tips:
- Automated payments – Set up automatic repayments for the minimum amount due, to allow for any future repayment changes.
- Check your credit report – You’re entitled to a free copy of your credit report from each CRB every 3 months. If you find something in your report that isn’t right, contact the credit provider or CRB and ask them to correct it. You can do this with all credit providers and CRBs, at no charge.
- Check your accounts – Make sure you know what accounts you have open and closed, and confirm the details are correct:
- credit limit
- payments are up to date
- loan is not in arrears
- Understand credit reporting – Visit the CreditSmart website for helpful information on the basics of credit reporting, managing your report and much more.
- Contact us – We are here to help if you are having difficulty making payments.