About Bad Credit

Bad Credit is determined from a person credit rating, which is an assessment of an individual's or organization's credit-worthiness, based on many potential factors, including past behaviour in repaying debts, previous loans applied for and the credit worthiness of previous residents of the same address. These are all important criteria for lenders who have access to this information through credit bureaus. To obtain an individuals credit rating services such as Experian will provide this information for a small fee.

It is advised that you have a clear understanding of your own credit rating or credit worthiness before you apply for further loans if you have been turned down in the past and do not know why. There may be a particular issue, such as an outstanding County Court Judgement against you which needs to be settled before a loan can be offered. Having many loan applications in itself can often adversely affect ones credit worthiness.