Understanding credit is "vitally important"

People who are not confident with their credit history may wish to ensure they fully understand their credit file before committing to an application.

Head of loans and debt at price comparison site MoneySupermarket.com Tim Moss asserted this consideration is "vitally important".

He noted this is particularly the case this year, as millions of people are set to turn to credit cards as a financial solution.

Familiarity with their credit file can help an individual to "avoid rejection or being offered higher rates than expected".

The expert stated: "Each lender applies their own criteria when processing an application and it is almost impossible to second guess when applying."

Mr Moss claimed this can also be helped with a savvy attitude to personal finances and chairman on MyVoucherCodes.co.uk Mark Pearson recently made similar statements.

He added Brits are more cautious in terms of their general expenditure, looking for online deals more carefully before committing to a purchase in the current economic climate.

Posted by Martin Peacock