Check your eligible loan offers
All the offers you see on ClearScore are tailored to your credit score and financial circumstances.
How do you secure a good interest rate?
A credit score is important to determine whether you qualify for credit, but does it also affect the interest rates you receive? Find out in this article.
Check your eligible loan offers
All the offers you see on ClearScore are tailored to your credit score and financial circumstances.
A credit score is important to determine whether you qualify for credit, such as a loan or credit card. But did you know that it also influences the interest rate lenders will offer you?
If you have a higher credit score, lenders will feel comfortable providing you with a lower interest rate because you are considered less of a risk, and you will pay less overall.
Check your credit report to see how you can improve your score.
Here's some other ways to help you get a more favourable interest rate and increase your chances of credit approval:
1. Make sure you don't miss a payment
Lenders look at your entire credit history, including whether you've missed a payment or not. On ClearScore, you can see whether you have missed a payment or are overdue.
2. Keep an eye on your credit report
Your credit report is a good way to check whether there's a mistake or if you're a victim of identity fraud – both of which could affect your reputation.
3. Shop around
Each bank has different procedures and approval requirements – and some are stricter than others. That's why it's a good idea to check all your options. On ClearScore, we show you offers from multiple banks and partners across the country, so you can decide what's best for you.
Written by Isabelle Coetzee
Freelance Copywriter
Isabelle is a freelance finance writer and journalist in Cape Town. She helps make managing your personal finances calm, clear and easy to understand.