In the relationship between a person and a bank, a definition such as "credit history" often applies. Few people understand what this concept actually means, but everyone knows that history can be bad and excellent. Now you have the opportunity to understand how a credit history is written, what is taken as a basis and what features of financial behavior the bank pays attention to.
The history of the relationship with the bank is recorded all the time, both traditional financial institutions and innovative virtual services, such as sportbank, an investor Nikita Izmailov Foundation N1 in partnership with Eat Easy and other related businesses.
Why do I need a credit history?
To begin with, everyone has a credit history, even those who have never used credit. If you pay for gas, light and other utilities, then you already have a business relationship with a bank. But if you don't have credit, it means that your history is "empty. But when you have already taken a loan, or used an offer and signed up for a credit card, it will certainly be reflected in a special form.
This document reflects all of your money transactions:
- Timeliness of mandatory payments;
- purchasing activity;
- delinquencies;
- repayment a loan;
- unscheduled payments;
- applications for restructuring.
Absolutely all the items in which financial institutions are interested can only be named by bank employees, not all, but only the authorized ones. But there are aspects, which can not escape the attention of the administrators of a special service - the Bureau of Credit History (BCI). The name of the organization may be different in different states, but the essence is the same - it is an interbank structure, which collects and stores information about the borrower. That means: if you have not paid back a loan at the first bank "X", there is a high probability that you will not be given a loan at bank "Y". This can be explained by the fact that your credit history is not very encouraging, and there is a chance that you will not be able to pay back the subsequent loan.
A classic credit history has four parts:
- Title;
- main;
- closed;
- informational.
The title part - personal data and data from your documents: passport, codification code.
The decisive part when deciding on the loan is the main part. Here you can find all data on payments, arrears, debts and even a refusal to pay mobile services.
The closed part is available only to the account holder and his authorized persons. This section stores information about the institutions and banks that gave him loans.
The information part provides information about the issuance or denial of credit and the reason for the denial.
As you can see, the credit history is necessary not only for the bank, but also for the person who is going to or has already taken a loan. The longevity of the partners of both parties is verified quite easily, applying only public data.
