Would-be borrowers urged to address their record

People looking to borrow money have been urged to assess their track record when it comes to paying back loans and credit card debt.

Richard Brown, chief executive of moneynet.co.uk, is convinced that financial service firms base their lending decisions entirely on an applicant’s credit history.

As a result, an individual cannot expect to see their loan application approved unless their track record looks attractive to lenders.

This is particularly true at present in light of the growing tendency among lenders to refuse credit applicants who appear to represent any kind of risk.

“At the moment, lenders are only really lending money to people who are demonstrating that they can repay it,” said Mr Brown.

“You need to really address your credit score because everything is governed by it.”

The price comparison company uSwitch.com recently revealed most credit applicants in the UK are not obliged to prove their income levels, which means lenders are risking billions of pounds each year.

By Giles Stevenson


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