Information contained in a credit history report card
Advertising Disclosure is an independent, advertising-supported web site. receives compensation from many credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. has not reviewed all available credit card offers in the marketplace.
Credit Card Applications » Research » Guides » Building Credit History » Information contained in a credit history report card

Information contained in a credit history report card

Updated: December 26, 2012

Add to Favorites:

Credit history determines the credit worthiness of a person. When a customer applies for a loan, the financial institute looks into the credit history of the applicant. Credit history is the score that is ascertained to understand the borrower`s repaying capacity. The sooner the debtor clears his credit amount the better is his credit score.

Information mentioned in the credit history of an individual
  1. The kind of credits that you already hold determines the credit score in the credit history of a person. As soon as you apply for a loan or credit, it gets noted down by the credit history agencies. The more the number of credit lines opened in your name, the greater are the chances that you start to loose credibility in the eyes of the lender. This is because the amount of debt against your name also increases. This also gives a bad credit score which is mentioned in your credit history.
  2. The loan period remains mentioned in the credit history report. Loan period is the time that has been fixed by both the lender as well as the borrower to repay back the loan with interest. If a small amount of loan taken has a longer loan period then this attracts a bad credit score and hence gets mentioned in the credit history of the individual.
  3. The timely repayment of credit is also mentioned in the credit history. Monthly instalments are set by the lender for a loan amount that would help the borrower repay it within the stipulated time period. In case a borrower pays more than the fixed amount in every instalment then this attracts a good credit score. On the other hand if a borrower defaults in the payment of the instalments then that too remains mentioned in the credit history.
  4. Any kind of fraud on the part of the borrower is also mentioned. Sometimes the contact address, telephone number as well as job address and other personal information are not honestly mentioned by the borrower. This gives a bad impression as it indicates that the borrower might try to evade the repaying of the loan amount. This too remains mentioned in the credit history.
Importance of credit history

All the above information helps the lenders to further initiate the loan process. The credit history also determines if the borrower should be given some special discounts or not based on his credit score.

A credit history therefore has a huge impact on the financial status of a person. Taking a loan to set up a new business or applying for a loan to buy a house or car requires a good credit history. Now, even prospective employers have a look at the credit history of a person to ascertain the credibility of the person before giving them a job.

Add to Favorites:
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.

Related Research:

How to Get Free Wi-Fi in the Air

By Herbert Moore, Posted: September 28, 2016

Sometimes in-flight Wi-Fi is the bare necessity when you travel abroad or within the country. However not all airlines offer free in-flight Wi-Fi. There is only a couple of airlines that will allow you to use Wi-Fi ... Continue reading

Amazon Credit Cards Review

By Allison Martin, Posted: May 30, 2016

When was launched 20 years ago, few could have envisioned how far the company would come. What was once an online specialty bookstore is now an Internet juggernaut that sells nearly anything and has made major inroads into ... Continue reading

How Much Do Shell Cards Really Save on Gas?

By Allison Martin, Posted: April 20, 2016

There is an endless amount of gas cards on the market, and practically every major gas station, including Shell, has options to choose from. In fact, Shell offers two options for gas cards for consumers. Continue reading