Shopping around for credit

Each time you apply for credit and a credit provider obtains a copy of your Credit Report, a credit enquiry is added to your Credit Report. Lenders and credit providers view negatively a relatively high number of enquiries made in a short space of time, as it is a potential sign of credit stress. This may in turn affect your ability to obtain credit.

However, the number of enquiries recorded on your credit report is just one piece of information a lender may consider when assessing your application for credit. Lenders look at a variety of information. For example, if you are an existing customer of the credit provider, it may take into account whether you have paid your bills (or made your loan repayments) on time.