One of the industry's most prominent groups has teamed up with a global business intelligence company to provide customers free access to their credit score.
Credit Savvy has been developed by Aussie Home Loans and Experian to provide Australians with ongoing access to their credit score, as well as with resources to understand and manage their credit reputation.
The launch of the new service comes after research by Experian found that more than 80 per cent of Australians have never accessed their credit report.
Furthermore, 77 per cent do not know how their credit score might be used to determine whether or not they are eligible for a loan.
Andy Sheehan, managing director of credit services at Experian, said Credit Savvy is a much-needed initiative to help address the gap in Australians’ credit education.
“Too many Australians don’t know or understand their credit score and how it could be used by lenders when considering credit applications,” he said.
“It’s in everyone’s best interests for this to change.”
Mr Sheehan said changes to privacy legislation last year brought Australia in line with global best practice when it comes to credit reporting.
“Australians will begin to more actively manage their credit reputation, and then we’ll start to see a more informed and productive dialogue between lenders and customers,” he said.
Aussie executive chairman John Symond said Credit Savvy is another way for the broking group to help consumers get into a stronger position when applying for credit and give them more confidence to ask for a better deal.
“Over the coming years, reporting will have an impact on our industry, so this was a natural progression for Aussie which we are very excited to bring to the market,” he said.