Improve Your Credit Score in Australia

Does your current credit score convince you that you’ll never be a homeowner? Think again.  A low score might make applying for mortgage hard now, but it doesn’t have to be that way forever. Do you want to know how you can change things on your end? Here are a couple of tips and tricks I compiled together on how to improve credit your score in Australia:

1.Sign up for autopay.

Have you ever forgotten paying a bill on time? I have- and much to my dismay it caused my credit score to take a dip. From then on, I decided to set my accounts on autopay. As soon as a bill comes up, it gets taken care of. This saves me the stress of manually paying my bills or standing in line at the service centre. Best of all, it protects my credit score from ever getting affected by late payments. You should give it a try too!

2.Get a copy of your own credit report.

Do you check your credit report at all? You should. Review your report for any errors and take action to have them corrected as soon as possible. After that, I would also suggest for you to go over the negative factors in your report. It explains which areas you should focus on when it comes to improving your credit score. I make it a habit to check my own report at least once a year to stay on top of things.

3.Keep an active credit account.

I once made the mistake of closing an unused credit account. It’s not used, so why should I keep it around, right? As it turns out, closing these accounts lowers your available credit and credit score. It really pays to learn how to improve credit score in Australia, so you can avoid mistakes like these!

4.Pay off collections or debts.

Got some extra cash on you and you don’t have anything you want to spend it on? Use it to cover any existing debts or loans you have. This saves you from compounded interest and keeps your credit score from taking a dive.

5.Think twice before applying for new credit.

Do you need to get new credit ASAP? If not, then don’t apply for it. Opening credit accounts in such a short span of time will lower your score. This is due to the fact that lenders will make a hard inquiry which can impact your credit score negatively. My advice? Get to know your other options when it comes to applying for credit. Being familiar with this help you act in the benefit of your credit score and financial health all in all.

Now, these tips are only a few of the many actions you can take to raise your credit score. If you’d like a more tailored approach on raising your credit score, get in touch with me. I have over 13 years of experience when it comes to helping people finally get their own homes. Having my skills as a mortgage broker will save you from having to do guesswork on your own. Once we have your credit score is good, I’ll walk you through the pre-approval process!

Do you know other ways on how to improve credit your score in Australia? How have they worked for you so far? Type down your ideas in the comment section below.

Will Bell Mortgage Broker is a mortgage and finance broker based in Melbourne specializing in residential home loans.  Will is all about the average Australian understanding just enough of the broader economy to take action on your own personal economy.  He is the host of the My Personal Economy Podcast which you can check out here.

Additionally, you can follow him on Facebook


Services we offer:

  • First Home Buyer Loans
  • Property Investment Loans
  • Mortgage Consultation
  • Loan Prequalification
  • Debt Consolidation
  • Refinancing
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