MyCRA Specialist Credit Repair Lawyers

Tag: end of financial year

  • End of financial year an important time for your credit file.

    Media Release

    End of financial year an important time for your credit file.

    16 July 2013

    End of financial yearAs the saying goes….there are two certainties in this world – death and taxes. But there is another certainty in Australia. If you have ever taken out or applied for credit, you will have a ‘credit file’ in your name, and a consumer advocate for accurate credit reporting says the end of the financial year should be the time to include an all-important credit check to your financial repertoire.

    Graham Doessel, CEO of MyCRA Credit Rating Repair says obtaining a copy of your credit report regularly is an essential component to maintaining good financial records.

    “Most people don’t think about their credit file until they apply for credit, let alone the implications if they should find out they have a default or other negative listing against their name,” he says.

    Mr Doessel believes most people don’t know they should check their credit file, because they are largely unaware of the frequency of credit rating errors, or listings added unlawfully by Credit Providers to Australian credit files.

    “Unfortunately, paying all of your bills on time doesn’t always guarantee a clear credit file – there can be a number of go-wrongs including billing errors, unfair bills, address mix-ups and mistaken identities – and our growing client base is testament to this issue,” he says.

    Credit reporting agency Veda Advantage alone holds over 16 million credit files in Australia, but currently there are no official statistics on the number of Australians with ‘bad credit’ or negative listings – although in the past there have been reports of that figure being around 3 million. Likewise, there are no statistics for the number of credit listings disputed with individual Credit Providers.

    “This makes it difficult for individuals to get any scope for the likelihood that their credit file may contain errors,” Mr Doessel says.

    He says Australians should check their credit file at least once a year with all relevant credit reporting agencies, to make sure they have the all clear.

    “Although it is not well publicised, Australians can access a copy of their credit report every year for free from Australia’s credit reporting agencies,” he says.

    You can apply for a copy of your credit report from agencies Veda Advantage, Dun & Bradstreet, Experian and Tasmanian Collection Services (if in Tasmania). A free report will be sent within 10 working days, or you can pay to get an urgent report.

    Mr Doessel says the end of financial year is the best time to order a copy of your credit report – as your financial records tend to be in order if you have just completed a tax return.

    “This way, if there are any items you wish to cross-check on your credit file, you will have all the necessary information at your fingertips,” he says.

    If your report comes back with errors, or you feel a listing is unjust or shouldn’t be there, you do have the right to have incorrect information rectified.

    “Depending on the nature of the dispute, this may be fairly straightforward, or you may find that it requires the help of a third party advocate,” he says.

    You can also order a free copy of your credit report through MyCRA – http://freecreditrating.com.au/.

    /ENDS.

    Please contact:

    Lisa Brewster – Media Relations     media@mycra.com.au

    Graham Doessel     -Ph 3124 7133

    http://www.mycra.com.au/     246 Stafford Road, STAFFORD QLD. Ph: 07 3124 7133

    MyCRA Credit Repair is Australia’s number one in credit rating repairs. We permanently remove defaults from credit files. CEO of MyCRA Graham Doessel is a frequent consumer spokesperson for credit reporting issues and is a founding member of the Credit Repair Industry Association of Australasia.  

    Image: patpitchaya/ www.FreeDigitalPhotos.net

  • Have you checked your credit rating lately? Why the end of financial year is a good time to do it

    [fusion_builder_container hundred_percent=”no” equal_height_columns=”no” menu_anchor=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” class=”” id=”” background_color=”” background_image=”” background_position=”center center” background_repeat=”no-repeat” fade=”no” background_parallax=”none” parallax_speed=”0.3″ video_mp4=”” video_webm=”” video_ogv=”” video_url=”” video_aspect_ratio=”16:9″ video_loop=”yes” video_mute=”yes” overlay_color=”” video_preview_image=”” border_color=”” border_style=”solid” padding_top=”” padding_bottom=”” padding_left=”” padding_right=”” type=”flex”][fusion_builder_row][fusion_builder_column type=”1_6″ layout=”1_6″ spacing=”” center_content=”no” hover_type=”none” link=”” min_height=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” class=”” id=”” background_color=”” background_image=”” background_position=”left top” background_repeat=”no-repeat” border_color=”” border_style=”solid” border_position=”all” padding_top=”” padding_right=”” padding_bottom=”” padding_left=”” margin_top=”” margin_bottom=”” animation_type=”” animation_direction=”left” animation_speed=”0.3″ animation_offset=”” last=”false” border_sizes_top=”0″ border_sizes_bottom=”0″ border_sizes_left=”0″ border_sizes_right=”0″ first=”true” spacing_right=””][/fusion_builder_column][fusion_builder_column type=”5_6″ layout=”1_1″ background_position=”left top” background_color=”” border_color=”” border_style=”solid” border_position=”all” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding_top=”” padding_right=”” padding_bottom=”” padding_left=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” center_content=”no” last=”true” min_height=”” hover_type=”none” link=”” border_sizes_top=”” border_sizes_bottom=”” border_sizes_left=”” border_sizes_right=”” first=”false”][fusion_text columns=”” column_min_width=”” column_spacing=”” rule_style=”” rule_size=”” rule_color=”” hue=”” saturation=”” lightness=”” alpha=”” content_alignment_medium=”” content_alignment_small=”” content_alignment=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” sticky_display=”normal,sticky” class=”” id=”” margin_top=”” margin_right=”” margin_bottom=”” margin_left=”” fusion_font_family_text_font=”” fusion_font_variant_text_font=”” font_size=”” line_height=”” letter_spacing=”” text_transform=”” text_color=”” animation_type=”” animation_direction=”left” animation_color=”” animation_speed=”0.3″ animation_delay=”0″ animation_offset=””]

    Your credit file is one of those things that you often neglect until you need it.

    Heck, many people don’t even know they have a credit file, let alone the implications if they should end up with a default listing on their credit file. We explore the importance of knowing what people say about you on your credit file, how to check your credit rating, and why the end of financial year is a great time to make sure your credit file health is a-o-k.

    By Graham Doessel, Founder and CEO of MyCRA Lawyers & Credit Rating Repairs and www.fixmybadcredit.com.au.

    As the saying goes….there are two certainties in this world – death and taxes. But there is another certainty in Australia. If you have ever taken out or applied for credit, you will have a ‘credit file’ in your name. What does your credit file say about you?

    Your credit file contains a history of your credit applications, default listings and other information from the last (up to) 7 years, and is collated by the major credit reporting agencies if you have been credit-active in the past 5 to 7 years.  If you’ve applied for finance, or an account for services you are considered credit active and Creditors will have created or added to an existing file with one or more of the credit reporting bodies. Account types include mobile phone plans, accounts with utility companies, credit cards and finance or loans of any kind.

    Why should I know what’s on my credit file?

    Every creditor collects information about your credit activity and that information is supplied to one or more of the credit reporting agencies in Australia when required. When a lender is considering your credit application they will check your credit file to assess your suitability to service a loan or credit account.

    Your credit file contains information about credit and repayment of credit history, including any applications for credit and various details relating to your repayment history, for instance mortgages, personal loans and credit cards – and the way you conducted those accounts. It also contains any overdue credit accounts – these may be reported as a ‘payment default’, ‘clear-out’, an overdue account, late payment or in some cases may have gone all the way to a court Writ or court Judgment.

    Whilst there are legislative processes which must be followed when Creditors enter items on your credit file, it is up to us as the consumer to check that this has been done accurately. You may not know about a listing on your credit file, particularly if you have moved. In addition to this, mistakes can and do happen – even if you believe you have always made payments on time.

    A default or Clear-out will generally see you refused most types of mainstream credit for the term of the listing which can be 5-7 years – so it is important to know you have the all clear on your credit file, and if you don’t, you have time to fix any issues prior to applying for credit of any kind.

    How do I check my credit rating?

    If you are like many Australians you may be unaware of how the system works, and what your rights are in credit reporting so you probably haven’t checked your credit file before now.

    You can apply for a copy of your credit file for free every year from Australia’s credit reporting agencies, Equifax (Formerly Veda Advantage), Dun & Bradstreet, and Tasmanian Collection Services (if in Tasmania). A copy will be sent within 10 working days. Or you can pay a little extra for an urgent report.

    If your report comes back with errors, or you feel a listing is unjust or shouldn’t be there, you do have the right to have incorrect information rectified.

    Why is the end of financial year the best time to check my credit rating?

    End of financial year is a great time to order a copy of your credit file because after you have sat down to do your tax each year your records tend to be in order. This way, if there are any items you wish to cross-check on your credit file, you will have all the necessary information at your fingertips.

    What happens if my credit rating is not correct?

    Most people find it really hard to correct their credit listing themselves –especially if it’s complicated. For one, the Creditor has to comply with a whole heap of legislation that crosses different codes, and if you don’t know legally where they may have made errors – it’s pretty hard to persuade them they have done the wrong thing. Secondly, negotiating anything on your own behalf can be tricky.

    You may have a better chance of bad credit removal if you hire the services of a credit repair lawyer. Most of them will look after getting a free copy of your credit file for you, order your documents from the Creditor as well as directly negotiate with them to remove your bad credit, based on the relevant legislation applicable to your case.

    To find out more about repairing bad credit, contact MyCRA Lawyers & Credit Rating Repairs on 1300 667 218 or visit the main website www.mycralawyers.com.au.

    Image: nuchylee/ www.FreeDigitalPhotos.net

    [/fusion_text][/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]

  • Veda warns small businesses not to overcommit in lieu of Federal Budget

    Credit reporting agency, Veda Advantage is warning small businesses in the lead up to the end of the financial year that the Federal Government’s asset write-off scheme could leave them exposed to higher credit risk.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    In Veda’s media release today, the company warns small businesses risk over-commitment acquiring additional credit to purchase new assets with the asset write-off scheme, saying it will not be robust enough to assist all small businesses in the coming financial year.

    The new small business instant asset write-off scheme introduced in the 2012/13 budget allows businesses with a turnover of less than A$2 million to write off each eligible business asset costing under A$6,500.  The purpose of the scheme is to provide an injection of funds for businesses to invest in new ideas.

    “It’s obviously very important to closely manage the credit you take on as a small business and there are simple steps you can take to manage risk. First and foremost you need to work out if you can afford to borrow in the first place, plan your budget appropriately to see when you spend your money and how much you can afford in repayments,” says  Veda’s Head of Commercial Credit & Procurement Risk, Moses Samaha.

    “Allow for interest rate rises and anything that might affect your future income, ensure you make regular and sufficient repayments to keep the credit debt below the agreed limit and be aware of penalties if you miss a payment.

    “It’s crucial to keep your cash flow coming in greater than cash flow going out – staying  on top of this is a key success factor to keeping your business running and driving revenue. These are all simple tips but they seem to be the same traps that SMBs continue to fall for – and they can be easily avoided.”

    A recent report from the RBA showed that small businesses were hit harder by the global financial crisis and have found it more difficult to recover than larger businesses in Australia which could drive SME’s to overcommit when trying to benefit from the new scheme.

    Here is an excerpt from that report:

    “According to business surveys and the Bank’s liaison program, conditions have been weaker for small businesses than their larger counterparts over the past two years. Following the 2008 downturn, there was a less durable recovery for small businesses than for large businesses; small business conditions only briefly returned to average levels in early 2010 before being below average for most of the following two years.

    The weak conditions are apparent in small businesses’ main concerns. In the mid 2000s, these entities were becoming increasingly concerned about attracting and retaining quality staff. Following the 2008 downturn, however, this was replaced by concerns about demand for their business’ goods and services, their cash flow/ profitability and broader concerns about the economic climate,” the RBA reports in its Small Business Finance Roundtable Report.

    This comes on top of the report’s findings that more small businesses are likely to load the family up with business debt due to a lack of access to credit in many circumstances.

    “Households owning businesses are more likely to have debt (including their business debt) than other households, with around 80 per cent of business-owning households having debt in 2010, compared to 66 per cent of other households, and they tend to have higher household debt relative to income,” the report says.

    “When the balance sheets of unincorporated small businesses are compared with those of the households that own those businesses, the households are much more likely to have debt than the businesses. This suggests that many small businesses may be financed indirectly by household borrowing rather than through explicit business borrowing.”

    The RBA also reports that tighter lending standards have a greater impact on small businesses and the reassessment of risk more generally by banks has also disproportionately affected small companies.

    See full post, Small business credit lock down pushes families into more debt.

    Small businesses struggling with debt need to know both their consumer and commercial credit files are put at risk if payments go into arrears past 60 days. To find out about repairing a commercial and or consumer credit file, contact our credit repair team at MyCRA Credit Rating Repairs on 1300 667 218.

    Image: Arvind Balaraman/ www.FreeDigitalPhotos.net

  • End of financial year best time to check our credit file

    Media Release: The end of the financial year is an opportune time for people to check their credit rating and get it in order, according to a national credit repairer.

    Director of MyCRA Credit Repairs, Graham Doessel says if people are reviewing their yearly phone records, bank statements, and credit card statements for tax time, it can be a good idea for them to request a credit report as well from credit reporting agencies,to cross-check any adverse listings which may have been placed on their credit file.

    “The problem with credit reporting in Australia is that many people are unaware of how the system works, and what their rights are. It is important for people to know they can apply for a copy of their credit file for free every year and the end of financial year is a great time to do this, because people already have their paperwork out,” Mr Doessel says.

    He says it is essential for people to know what is said about them on their credit report – as there is opportunity for errors to occur when creditors apply listings to credit files. Even if people believe they have a good payment history, their credit report may still contain errors.

    “Many of my clients have impeccable repayment histories and would have never dreamed they would end up with a default. Let me tell you mistakes do often happen. Sometimes simple human error by the creditor leads to adverse listings put there incorrectly,” he says.

    A small scale study conducted by the Australian Consumer Association (now Choice Magazine) in 2004, revealed a staggering 30% of credit files were likely to contain errors.

    “In our view, there are serious, systematic flaws which are leaving an increasing number of Australian consumers vulnerable to defamation, mis-matching and harassment,” the report said.

    A credit file exists for anyone who has ever been ‘credit active’ and is used by creditors to assess the risk and borrowing capacity of potential borrowers.

    The most common type of adverse listing is a default. Defaults are put there by creditors when accounts have remained unpaid for more than 60 days.

    Defaults remain on a person’s credit file for 5 years from the date of listing, and have the potential to severely impact a person’s ability to obtain credit.

    “Currently, any default can be enough for an automatic decline with most of the major banks. Many lenders are even rejecting loans for excess enquiries such as two in thirty days or six within the year. Some people nmay even be unable to take out a mobile phone plan in their name if they have defaults on their credit file.”

    “It also affects the type of home loan people may be eligible for, the interest rate they are offered and price of establishing the loan. The lending options become more expensive and limited” Mr Doessel says.

    People can contact Veda Advantage, Dun and Bradstreet and Tasmanian Collection Services (if they live in Tasmanoia) to request their free report. A creditor may have listed defaults with one or all of these credit reporting agencies.

    If people find errors, or feel a listing is unjust or shouldn’t be there, they do have the right to have incorrect information rectified.

    Mr Doessel says if people are in a hurry or it seems too difficult, they can use a credit repairer who can work on their behalf.

    “A credit repairer should be able to completely remove offending blemishes from someone’s credit file,” he says.

    Contact www.mycra.com.au for more details on how to check and repair credit files.

    /ENDS

    Please contact

    Lisa Brewster – Media Relations

    Ph: 3124 7133  Mob: 0450 554 007  media@mycra.com.au

    Image: Arvind Balaraman / FreeDigitalPhotos.net