Previous home owner credit histories 'demystified'

10-Jan-2007

A majority of first time buyers and repeat purchasers incorrectly believe a previous homeowner's credit history will affect theirs, research suggests.

According to a study by CreditExpert, 71 per cent of Britons incorrectly believe that a previous owner's fiscal behaviour will affect their own credit history; however a credit history is never linked to a person's address, only a person.

However, a number of other factors do affect a person's credit rating, including past debts, identity fraud and bankruptcy.

"With consumer debt at an all time high, being financially aware has never been more important," said Jim Hodgkins, managing director of CreditExpert, a division of Experian.

"Knowing your credit rating, understanding what it means and what will impact [upon] your credit score is a key part of financial management," he added.

Consumer borrowing in the UK has risen to over £1.2 trillion, with most in the form of loans secured against a person's home, according to the Bank of England.

2012: Feb | Jan

2011: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2010: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2009: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2008: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2007: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2006: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2005: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar