R1 (paid on time)
R4 (paid between 90 and 120 days)
R9 (bad debt, debt to pay or bankruptcy)
In addition, the credit bureaus can see certain public records in courthouses and municipal courts and enter in your credit file information therein about you (for insolvency judgments, etc.). Credit Offices record this information and cannot pass it to your creditors only with your consent.
The credit score
The credit score is a snapshot of your financial health, at a specific time. It indicates the risk you present compared to other borrowers. To build credits use a scale from 300 to 900. Plus the number that you are assigned is high, plus the risk you present is low. It is based on the following factors:
– Your payment
– Habits collection or bankruptcy
– Your debts
– Balance on your debts (the higher it is, the higher your credit score is affected down)
– The history of your account
– Number of times they visited your credit report recently
-Type of credit you use
Financial institutions use the credit score not only to measure the risk you present, but also to determine the interest rate you will pay.
Note: lenders can use their own methods to determine the credit score.
How long the information is kept?
By law, the credit offices must retain the information for a reasonable period. In practice, this period is usually six or seven years. Here the number of years during which different types of information is stored.