Your credit report and score are put together with data taken from current and previous lenders. Since lenders send this information to Equifax every month, the data on the report page of your ClearScore is updated once a month
Your credit report is a record of your credit history. It shows how you've handled credit in the past allowing lenders to assess your level of risk when you apply for credit. This information helps lenders decide whether or not to lend to you and what rates to offer. It contains information such as how much money you've borrowed and if you repay bills on time. It also contains some public record information – like if you’re on the electoral roll, or if you have a bankruptcy in your name.
But your credit report doesn't stay the same from the moment you first get one. It's a constantly changing record that reflects if and how you use credit throughout your life.
Here's your quick guide to how it gets updated and how often...
Banks and lenders record how you use credit and report and share this monthly with the credit reference agencies
When you take out a line of credit, such as a credit card or a loan, it gets recorded by the lender for their records. They’ll make a note of the kind of credit you have and how much money they’ve lent to you. This could be the size of your loan, the limit on your credit card or maybe the size of your overdraft. You don’t even have to take out credit for a lender to make a note of you. They’ll also make a note of anyone who applies for credit – whether you're accepted or rejected. They'll then report this to the Credit Reference Agencies (known as CRAs).
Once you take out credit, your lenders will also continue to keep note of how you use it - whether you pay your bills on time, how much credit you use and what your remaining balance is.
Your credit report is then updated with this new information about once a month. Different lenders report to the CRAs at different times. Each lender has its own reporting procedure. For example, some lenders report at the start of the month, while others report closer to the end.
This data will be held on your report for around 6 years, and after that it will be removed from your report. (Though the length of time will vary depending on the type of information, and where it originally came from).
ClearScore also updates your report once a month
ClearScore gets your new report from Equifax once every month. This usually happens on or around the monthly anniversary of your sign-up date. So, if you signed up on the 8th but your lender reports on the 20th, you’ll have to wait for your next report for new accounts to appear and information on closed accounts to be updated.
This means that it can take between 4-6 weeks for new information to appear on your report. So if you’ve recently taken out a credit card, for example, it won’t show immediately on your report. If you believe data might be more than 4-6 weeks out of date, you’ll need to raise a dispute.
But here's the best bit. At ClearScore, whenever we see there’s a change coming to your monthly report, we’ll let you know the same week. You'll be alerted by email and also with a notification in your credit report. You'll be able to see what information is going to be added to your report later that month. It won't appear in your full report until your new report date, but you will know what upcoming changes will be happening to your report and score. Whether that's a new credit card or a change to your credit limit getting added, you'll know the same week that Equifax does. Pretty cool, right?