Comprehensive credit reporting is also known as positive credit reporting. It impacts every Australian adult hence it is very important for you to understand what it means to you. To understand what positive credit reporting is you must first understand what a credit score is. A credit score otherwise known as a credit rating is a numerical score. It represents how trustworthy your reputaion is as a borrower. It sums up all the information in your credit report into one three or four digit number. Your credit score helps the lender determine your creditworthiness. The better your credit score, the more access you will have to finance options and cheaper finance options.
If you have a financial account, positive credit reporting would impact your credit score. If you are late on any repayments on any of your financial accounts this would affect the algorithm. This is done by getting 1, 2 or 3 against your credit score. This would affect you more than defaults and judgements. The positive credit reporting will but a 1 on your credit score if you are more than 14 days late. This number 1 means that you were 15 to 21 days late. As a result, this would directly affect your credit score.