It’s good practice to check your credit score once a year. That way you’ll always know where you stand and when to take steps to improve your score. By doing so, you’re less likely to face rejection when it comes time to apply for that loan or credit card.
In Malaysia, there are 4 main sources providing credit scores and reports. The main one being CCRIS, which is managed by the Credit Bureau of Bank Negara. In addition to this, there are other private companies that also provide credit reports, and are licensed under the Credit Reporting Agencies Act 2010. These agencies have access to CCRIS, but also provide additional information in their credit reports. Each has its own method of calculating and reporting so your score will not be the same for all.
Central Credit Reference Information System (CCRIS)
>> A repository of credit reports from banks and financial institutions managed by Credit Bureau of Bank Negara Malaysia
>> Report contains individuals profile and financial behaviour such as loans applied for, and credit details like outstanding amounts.
>> It does not provide a credit score.
Credit Tip-Off Service (CTOS)
>> Calculates your score based on information gathered from CCRIS
>> Other sources of information include the Insolvency Department of Malaysia, Companies Commission and others.
An individual’s debt repayment pattern, overdue accounts, outstanding credit and frequency of credit application is what determines their score.
Credit Bureau of Malaysia
The agencies MyScore is based on your debt repayment pattern, outstanding loans and credit application pattern. It also assesses the probability of defaulting debt.
Now that you have the low down on all things to do with your credit score rating, take a look at how you can change your spending habits to improve your finances. Everything is inter-related. Good luck!