Donnyvcpt Posted February 19, 2014 Report Share Posted February 19, 2014 In doing my research I've discovered my SA credit score, which I've worked hard on building and maintaining, will not be following me to Australia. I know I'm being a little, or a lot, naive, but I'd really like to hit the ground running when I move over. So how does one build a credit record from scratch and how willing are credit providers to grant credit? 1 Quote Link to comment Share on other sites More sharing options...
nicknel Posted February 19, 2014 Report Share Posted February 19, 2014 Good question, thanks for asking....excited to see what people on here suggest Quote Link to comment Share on other sites More sharing options...
shannonc4 Posted February 19, 2014 Report Share Posted February 19, 2014 I'm also keen to know. I have a fantastic credit rating here and am sad to leave it behind. Quote Link to comment Share on other sites More sharing options...
chzaau Posted February 19, 2014 Report Share Posted February 19, 2014 Here is some general information regarding yoir credit profilehttps://www.moneysmart.gov.au/borrowing-and-credit/borrowing-basics/credit-reports-credit-repair Quote Link to comment Share on other sites More sharing options...
Sunnyskies Posted February 19, 2014 Report Share Posted February 19, 2014 Having no credit history made it impossible to get a mobile contract when we arrived. So we went prepaid and are still on that option. Next day armed with my employment contract I got vehicle finance from Toyota. Go figure. If you are employed and can explain how you can meet the repayment and still live on your income you should receive the loan.If you are unemployed things will be trickier. Quote Link to comment Share on other sites More sharing options...
Donnyvcpt Posted February 19, 2014 Author Report Share Posted February 19, 2014 Thanks sunnyskies that is exactly the kind of responses I'm after. Interested in how you guys started off getting credit. Lol So they turn you down on a cell contract, but approve you on a vehicle??? Seems as if the Australian credit granting policies are just as complex as the SA ones. I have a credit score of 900, own a flat as an investment, but when I applied for a bond for a house I was declined because the banks computer thought I'm high risk.The funny thing is that my bond would've cost less than the amount of rent I was paying per month. 2 months later the same bank financed me for a car that cost almost as much as the bond I needed. Quote Link to comment Share on other sites More sharing options...
AndreR Posted February 19, 2014 Report Share Posted February 19, 2014 I managed to get a loan through my NAB migration banker. ALL I had to show him was my first months payslip, a letter from my employer and my rental agreement. I think if I had walked into the bank off the street it would have been a different story. Quote Link to comment Share on other sites More sharing options...
HadEnoughofJuju Posted February 19, 2014 Report Share Posted February 19, 2014 When we arrived we did not get mobile contracts because of budget. It was only once finding a job that we decided to go the contract route. Telstra are not interested in helping anyone for mobile unless they have a 6 month credit history however they were willing to give us a land line contract for 2 years that was way more expensive than the mobiles to build the credit rating so that we would qualify for the mobile contacts after 6 months. Not very helpful in my opinion. We ended up going with Vodafone and all they wanted to know was whether I was working and I didn't even have to prove it, they simply took me on my word.Renting a property also helps to build your credit rating so make sure that you get regular rental statements from your agent or landlord and car insurance (which is easy to get) also gets you there.With Commonwealth Bank after 6 months you can apply for a credit card but I've found that is not something I want here. We had one in South Africa and once you get into the red it's hard to get out again.Unfortunately your credit history and accident free no claim bonus are something you give up when you emmigrate although I have heard there are one or 2 insurance companies that may give you some credit. I've also found that renting a house here at the moment is far cheaper than owning one which enables us to actually save more money at the end of the month. Quote Link to comment Share on other sites More sharing options...
Erik Posted February 20, 2014 Report Share Posted February 20, 2014 Try getting a credit card as a new immigrant - it seems to be impossible if you're not earning mega bucks. It might just be me, but haven't been able to get someone willing to give me one, others were able to get one straight of the plane. I'm still not sure why... Quote Link to comment Share on other sites More sharing options...
HadEnoughofJuju Posted February 20, 2014 Report Share Posted February 20, 2014 It all depends on your bank and migrant banker. We were told by our migrant banker that by default after 6 months of having the savings account we could apply for and would be granted an entry level (if I can call it that) credit card and the limit would then be reviewed and adjusted annually based on payments and usage.The offer has come up in my online banking and can be done and submitted all electronically. I love living in a first world country. Quote Link to comment Share on other sites More sharing options...
RichardH Posted February 20, 2014 Report Share Posted February 20, 2014 It all depends on your bank and migrant banker. We were told by our migrant banker that by default after 6 months of having the savings account we could apply for and would be granted an entry level (if I can call it that) credit card and the limit would then be reviewed and adjusted annually based on payments and usage. The offer has come up in my online banking and can be done and submitted all electronically. I love living in a first world country. Almost to the day after having my account for six months I started getting pestered by all and sundry credit card providers with offers... Quote Link to comment Share on other sites More sharing options...
bbop Posted February 20, 2014 Report Share Posted February 20, 2014 we managed to get credit for a car, bike, personal loan and now a housing loan without any problems. For the housing loan they used are credit history from South Africa. Required x2 payslips or employment confirmation for all loans. Quote Link to comment Share on other sites More sharing options...
Donnyvcpt Posted February 20, 2014 Author Report Share Posted February 20, 2014 Thanks for sharing everyone. I'm really hoping to buy a car cash as soon as I get in the country. So my main concern is mainly about renting or buying a property. If it's anything like SA then I imagine it's gonna be difficult to rent a property without a credit record. Quote Link to comment Share on other sites More sharing options...
OubaasDik Posted February 20, 2014 Report Share Posted February 20, 2014 Credit record for renting isn't normally a problem, unless, of course, you have a BAD credit record.They'll probably ask for payslips or a letter of appointment that mentions the salary, but that should be it. Quote Link to comment Share on other sites More sharing options...
MrandMrsK Posted February 20, 2014 Report Share Posted February 20, 2014 @Donny: You dont need a credit history to rent. I had an offer of employment, and a little money in the bank. They ask for all the proof of ID that everyone else wants ( copy of drivers licence, medicare, bank card) and a bank statement. That was it for us!We had in our possession, a reference letter from the owner of our previous rental in South Africa but this was never requested.We purchased a car cash when we arrived, organised insurance online and that was that!! easy! 1 Quote Link to comment Share on other sites More sharing options...
OzzieWishes Posted February 20, 2014 Report Share Posted February 20, 2014 We needed proof of employment (which my husband was lucky enough to get straight away) to get mobile contracts. Our mortgage required proof of employment for 3 months. We haven't got yet but could have applied for CC with our mortgage. We also needed proof of employment to get rental lease. Hope that helps? Quote Link to comment Share on other sites More sharing options...
HansaPlease Posted February 20, 2014 Report Share Posted February 20, 2014 For renting it has very little to do with credit history and a lot to do with ability to pay. The landlord/agent will look at what job you have, you income, your employability, your likelihood of not defaulting and your likelihood of being a good tenant - not so much your credit rating. Quote Link to comment Share on other sites More sharing options...
Sunnyskies Posted February 21, 2014 Report Share Posted February 21, 2014 Other than the mobile contract I've never really had an issue. I got a debit MasterCard from CBA shortly after landing to facilitate internet payments and when I applied for my first credit card (entry level) I got it no question. But they did look to see how I had managed my bank account over the last three months. I treat my credit card a bit like my debit card and pay off in full every month. That way I run interest free. One of the reasons I like the credit card is that stores keep copies of invoices from credit cards but not from debit cards. Great for me as I hate slips and have needed to rely on the credit card pulling up history when I've had to take things back to a shop.Funny thing was when we finally decided to buy property we were transferred to a personal banker. Suddenly everything done on email and the phone. No more queues. Quote Link to comment Share on other sites More sharing options...
HansaPlease Posted February 23, 2014 Report Share Posted February 23, 2014 Funny thing was when we finally decided to buy property we were transferred to a personal banker. Suddenly everything done on email and the phone. No more queues.Commonwealth are great like that. The lending manager went out of her way for us. It was just so easy, as you say, no queues, pop in when you feel like it, email forms over, etc. I had just switched from ANZ as well, so it was like a breath if fresh air! Quote Link to comment Share on other sites More sharing options...
JenniferRobinson Posted March 14, 2014 Report Share Posted March 14, 2014 Recently privacy regulations came into play - 12 March 2014, which also bought along with it some changes regarding black marks on your ratings. Simply paying a utility bill or a credit card 5 days late will now go on your credit record which will make it incredibly difficult to then obtain finance - so that is something to bear in mind.Your SA credit rating does not follow you, but it does not prejudice you either. The main things the bank looks at are serviceability so if you can prove you can pay the loan they will grant the credit. Making the loan repayments isn't entirely based on asset position but more importantly on proving continuous income, such as being permanently employed or showing a track record of self employed business income, investment income or similar (obviously it would need to be an Australian track record). Rather go for a debit card than a credit card - such as a Visa debit and I am more than happy to help with any questions regarding home loan finance. Quote Link to comment Share on other sites More sharing options...
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