What does it take to have a clear credit record?

Having a good credit record is a lot like having a golden ticket to visit Willy Wonka's chocolate factory - the world is your oyster. When your credit history shows potential creditors that you know how to manage your finances, it's far easier to secure loans for big, necessary expenses like buying a house or paying for tuition.

At Libertine Consultants we understand that maintaining an optimal credit score is often easier said than done – there are many financial pressures that play a role in our everyday lives. Fortunately, there are ways to improve your credit rating if it’s currently not quite ideal. Here are a few expert tips from our team of passionate debt counsellors:


date: 05/02/2020Author:

Know where you’re starting from

To get to grips with your credit rating, you first have to know what it is. As a South African resident, you are to one free credit report per year after which additional reports can be attained at a small fee. A credit report is the organised version of your credit information supplied to potential lenders by a credit bureau. This can be requested from any credit bureau, including

TransUnion Credit Bureau (based in America) Experian Credit Bureau (based in Europe) Compuscan Credit Bureau (based in SA) XDS Credit Bureau (based in SA)

TOP TIP: Not sure how to read your credit report, or unsure what some of it means? Take advantage of our CREDIT SERVICES. A credit analysis will give you a detailed breakdown of each account, its status, how it affects your credit profile and what can be done to improve it. This service is available at a nominal fee or R50.00 and includes in-depth classification of the negative information on your profile.

Close any accounts you’re not using

If you decide to cut down on your monthly expenses by no longer using certain lines of credit (e.g. clothing accounts), close it down. This will ensure that you’re not tempted to spend, and it will safeguard your personal information as well.

Cultivate a stable lifestyle

Credit providers tend to take a look at your lifestyle to determine whether you’re a safe bet. You’re more likely to be seen as a safe investment if you’ve been in the same job and lived in the same area for a while.

Pay off more than you need to

If you’re paying off debts (e.g. a credit card, home loan, etc.) try to pay a little more than you need to every month. This will show the bank that you are serious about managing your finances responsibly and will definitely count in your favour when it comes to your credit record.

These guidelines should help you to improve your South African credit rating. For more information on the topic or to learn more about debt management and how it can help you to manage mounting debt repayments, don’t hesitate to get in touch with a Libertine Consultants representative. We’re here to help you live a more financially prosperous life in 2020 and beyond.

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Call +27 (21) 949 2211 for advice on debt in Cape Town and rest of South Africa