Where credit is due: 14.6 million Aussies don’t know their credit score
Millions of Aussies are clueless about one of the more important numbers in their financial lives, according to new research by Finder.
Â
A new Finder survey of 1,057 respondents revealed 73% of Australians – equivalent to 14.6 million people – don't know their credit score.
Â
The research shows almost half (48%) of Australians have never checked their credit score, 7% are too scared to check and 6% don't know what a credit score is.
Â
A credit score is a number that determines how credit-worthy you are – it's one of the factors that lenders use when deciding whether to lend you money. It's usually a number between 0 and 1,000.
Â
Amy Bradney-George, personal finance expert at Finder, said knowing your credit score is more important than ever before.
Â
"It isn't just a number – your credit score is a measure of how well you're managing your finances.
Â
"Whether you are buying your first home, applying for a credit card or taking out a loan for a car, your credit score can help you understand how banks see you – and your chance of getting the loan.
Â
"You can also use it as a tool to help keep you safe from identity theft."
Â
Bradney-George said it was important to be extra vigilant in the days and weeks following the Optus data breach.
Â
"An unexpected drop in your credit score, or declined credit applications, can be a telltale sign that your data has been compromised.
Â
"Keep an eagle eye on the transactions on your bank statement and credit card – the sooner you spot any suspicious activity the quicker you can put a stop to it. Start by contacting your bank or lender."
Â
Finder's data shows men (11%) are almost twice as likely as women (6%) to know their exact credit score.
Â
More than 1 in 10 Australians (13%) admit they don't know how to check their score.
Â
Bradney-George said the good news is that it is easier than ever to access your score for free.
Â
"You can get your credit score through the free Finder app in about 3 minutes.
Â
"The app will alert you if your score has changed and also if there are any defaults or other infringements on your credit file.
Â
"Banks already know your score – shouldn't you?"
Â
The 3 credit reporting bureaus in Australia also offer a copy of your credit report every 3 months if you request it online or over the phone.
Â
The research found just 8% of Aussies know their score exactly, while 1 in 5 (19%) have a rough idea.
Â
"Aside from your credit score, the Finder app also works as a money management tool so you can see exactly where your money is going and make better financial decisions," Bradney-George said.
| Do you know your credit score? | |
|---|---|
| No, I've never checked | 48% |
| No, I don't know how to check | 13% |
| No, I'm too scared to check | 7% |
| I don't know what a credit score is | 6% |
| Yes, but I only have a rough idea | 19% |
| Yes, I know my credit score | 8% |
| Source: Finder survey of 1,057 respondents, September 2022 |
Methodology
- Finder's Consumer Sentiment Tracker is a monthly recurring nationally representative survey of more than 30,000 respondents.
- The Consumer Sentiment Tracker is owned by Finder and operated by Qualtrics, an SAP company.
- The survey has been running monthly since May 2019.
Get your credit score for free in 2 minutes by downloading the Finder app.
Ask a question