Veda Advantage credit scores are a tool that companies use to quickly estimate its credit risk. It helps creditors understand what your credit file looks like and what type of risk you present as a potential debtor. All past credit activity is taken into account to produce a single score that can be as high as 1,000. This score is generated after you apply for credit and it helps lenders determine your creditworthiness.
How are Veda Score Calculated?
Veda advantage credit scores are calculated by comparing a credit applicant’s credit history to other credit-active New Zealanders. A mathematical equation and a rigorous criteria is used to factor in different types of information within your credit file. After comparing your history with the vast number of other people’s credit files on record, the final numerical score informs potential creditor whether or not an application for credit should be accepted.
What Do Veda Credit Score Numbers Mean to Creditors?
High numbers indicate a low risk, while low numbers suggest that adverse past credit behavior increases the odds of a debt default. Scores of less than 600 suggest a substantial risk, while scores closer to 1000, suggests the credit applicant presents a little, if any, credit risk.
Who Can Check My Score?
Creditors must have your permission before they can see this score. Along proof of your consent, VedaScore subscribers must also share your Driver Licence details, full name, one of your previous addresses and your date of birth with Veda to gain access to your credit score.
How Can I Check My Score?
Check your own credit rating by purchasing a credit report at mycreditfile.co.nz. You can have your credit report in hand within a day. This division of the Veda Group also offers a product that you can use to keep an eye on your credit. Subscribe to email alerts whe changes on your Veda Credit file occur through this site.
Unfortunately, you can’t get the score total by requesting a free credit report. Authorized creditors should also be able to share your score with you, as well as any relevant information on how the score or credit report influences their decision to grant you credit, or not.
What is Inside of a Veda Credit Report?
Veda credit reports consist of your credit score along with other records that shed light on your credit history. The report’s contents help creditors verify that you are who you say you are and also makes it possible for potential creditors to confirm your name and date of birth. Known alias names as well as adverse information from a five year period appear inside of the report as well. Records on payment defaults, collection actions, court judgments, insolvency history along with public notices and last known addresses are included.
Ways To Improve Your Veda Credit Rating
Improve your credit rating by paying down all outstanding accounts on a timely basis. Outstanding debts such as court fines should also be paid. Ask lenders to agree to settlements so that accounts statuses can be changed from unpaid to settled. Consolidate your debts and only borrow from respected lenders in the future.
You can re-establish your credit history by opening new accounts and not defaulting. Keep up on payments as they come due to raise your Veda score rating. It will take time to repair a Veda credit score but a higher score is worth the time and commitment. Remember that the impact of past credit problems will lessen as time passes. Your goal should be to establish a pattern of regular payments in your credit report. When a solid payment history appears in your report, potential creditors will see that you manage your credit well.
How To Handle Credit Report Errors
Veda takes reasonable steps to ensure accurate credit report information. In the event that you find error or an inaccuracy, you can dispute the transaction and request an investigation. Contact Veda in writing after attempting to settle the dispute with the creditor in question.
The letter you send to Veda must include a formal request for an investigation. Also include the facts and details on who you spoke to about the matter, along with evidence that demonstrates invalid information. Give Veda a good explanation for why you are requesting the investigation and furnish Veda with receipts or other relevant documents. The information and documentation you share will assist Veda during the investigation process.
If fraud is suspected, be sure to report the matter to both the police and the credit providers fraud departments.
In the event of a need to correct information found within your credit report, or if you need more information on how to handle a disputes with Veda, visit mycreditfile.co.nz and click the “Disputes” tab. If the credit rating company finds that a correction to your report is in order, it will notify the creditor that’s recording the inaccuracy within 30 days.
Should you end up unsatisfied with the investigation Veda conducts, you may take the matter to the Privacy Commissioner, or the Human Rights Review Tribunal, if necessary.
Protecting Your Score
Use caution when opening new accounts. Only open accounts that you’ll need and use because each new account you open can lower your score rating for a brief time. Always be leery of discounts for submitting credit applications as well as low interest rate offers that will be later raised after you open the account. Again, only apply for new accounts when you need them. There’s no guarantee that opening a wide assortment of accounts will help your Veda credit score.