Credit report is an essential part of life when you have to take out money from any lender. Ironically the system works in a way where a person who wants to improve his credit score has to take out a loan which depends on a credit score itself.
However there are newer borrowing methods which can allow a person to take out small loans and pay them back to increase and improve their credit score. These include guarantor loans and payday loans. Both these loans are easily acquired and a prior credit check is usually not required to take them, however there are some problems associated with such loans.
In case of payday loans, high interest rates are attached with them and you might want to consider taking them out only when your financial situation is not already difficult. In the case of a guarantor loans, interest rates are a bit lower as compared to payday loans but finding a guarantor might be a problem and it can affect your relationship with the guarantor who in most cases are close friends or family.
How to check your credit report?
Companies That Compile Your Reports:
There are specific companies trusted by banks and the government to strictly monitor people’s credit scores and provide them in case a lender wants to check the credit history before handing out a huge amount.
Popular UK credit check companies include:
The companies not only provide credit history to lenders, but people who want to have a better look at how they have been fairing in the credit game can access their credit histories on the companies’ website.
What Does A Credit Report Contain?
Name, Age and Date of birth
Current and previous residences
All your credit accounts, list of all the loans that you have taken out and the history of their payments. A credit report is like a financial log of all your credit related activities.
Details of people that are financially linked to you which in most cases is the spouse.
Public records such as House repossessions, court judgments and bankruptcies.
Who Can Look At Your Credit Report
Lenders usually ask permission from the borrower to see their credit report and can acquire them from any of the three mentioned companies. Landlords are also able to see the reports before renting their house to you, but there is a difference between the kind of report they receive and the kind that a lender receives. Landlords in most cases would only be able to see the electoral register information, court judgments and fraud cases if any.
Acquiring A Credit Report
The three mentioned companies are statutorily obligated to provide anyone with their credit report for £2. However Equifax and Call credit operate under the names of ClearScore and Noddle respectively, and can provide you an access to free credit check for life. You might have to pay the £2 price for a written report though.
Most of the employees are offered an option for the provident fund which creates quite some turmoil within them. Whether to go for it? Or let it go? And even once the decision has been made, they keep second guessing it. Provident fund is a retirement protection plan offered by employers to their employees. It is deemed mandatory in many countries while offered as a choice in some. It works in a way that a certain percentage of the paycheck each month is deducted and employers add their contribution to this fund and keep it aside for safe keeping. Employees get access to this fund when they retire or get disabled. Other conditions may also exist according to the rules established by the employing company. https://www.youtube.com/watch?v=9a62yskvalw However, unlike many other protection plans, a provident fund is one of the most convenient ones. They can benefit the employees in many ways. So if you are having a hard time making up your mind, do consider these positive features first:
Employee provident fund (EPF) is subject to high-interest earnings.
One of the unique features offered by the provident fund is the option of partial withdrawal. So, if you are going through a money crisis and need cash to deal with illness, house construction, or any other unforeseen situations then you always have a supply handy.
This fund not only benefits the employee himself but also allows them to support their family in terms of their needs.
Provident fund allows the employee to withdraw 50% of their monthly savings 3 times in their life in order to discourage useless spending yet encourage usage at times of absolute need.
This system is so elaborate and flexible that it saves the employees from going towards other programs to fund them in times of health or other emergencies. No more need for insurances when you have this option.
In case the employee dies, all of the provident fund goes to the family he/she is leaving behind. This provides a feeling of safety and satisfaction for the employees that they won’t be leaving their families empty handed, especially those who are the bread earners of the house.
When an employee agrees on provident fund, he automatically signs up for the Employee Deposit Linked Insurance schemes. This saves the employee from making any extra payment besides the provident fund yet get access to an insurance fund which can go as high as 6 hundred thousand.
In many countries provident funds are mandatory for employees while in others it is offered as an option. Regardless, every employee must go for the provident fund because there are no other retirement protection plans that offer better features. With provident fund, you not only can take care of yourself in old age, but could also take care of your family even after death and have your insurance covered too. Apart from all that, if any emergency appears out of the blue, provident fund is there to help.