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The 4 benefits of credit checks and how to access them for free

June 19, 2023

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Did you know that up to 20% of loans referred back to brokers by lenders are due to the fact that the broker did not complete a credit check?

If a credit check had been completed in one of these instances, the broker would have found their client may have had:

  • overactive credit;
  • poor credit;
  • undisclosed debts; and/or
  • undisclosed directorships.
  • Poor customer outcomes can have a negative impact on every business involved and may even lead to friction between lenders and brokers.

    In a highly competitive market, taking appropriate steps to improve the quality of every loan application makes perfect business sense. Higher approval rates, faster decision times and a better experience for customers will ultimately benefit everybody.


    1. Improved efficiency

    Brokers can spend as much as 12 hours compiling a high-quality mortgage application. Completing a credit check first should help you ensure this time hasn’t been wasted.

    By completing a credit check, you filter out unsuitable applications before ‘back office’ resources are spent on progressing the application. Further, a credit check should help your application be processed more quickly by the lender.

    2. A better customer experience

    You can establish a customer’s full credit risk position, allowing you to advise the most appropriate credit providers and products to match your client’s needs.

    3. No impact on your customer’s credit report

    While a file access footprint is left on the applicant’s bureau file when an illion credit check enquiry is performed, the file access footprint is not visible to credit lenders and does not impact the individuals credit score.

    4. Finding information not available from other credit bureaus

    Accessing a credit check via illion can provide data that isn’t available through other credit bureaus – information that is very often not disclosed by applicants. This includes BNPL, pay advance lenders and exclusive Telstra data.