Your credit score is one of the first things a lender’s system looks at — and one of the most misunderstood. Australia has three credit bureaus (Equifax, Experian and illion), each scoring you on its own scale: Equifax runs to 1200, the other two to 1000. The same person can have three noticeably different numbers, and that’s normal.
So what number do I need?
Here’s the part the “check your score” apps don’t say: there is no universal minimum. Each lender runs its own internal scorecard on top of the bureau data — your deposit, income stability, debts and repayment conduct all feed in. Roughly speaking, a score in the bureau’s “good” band or better makes mainstream lending straightforward; “average” means lender choice starts to matter a lot; below that, specialist lenders exist for a reason. The score gets you looked at — the file behind it gets you approved.
What lenders actually read in your file
- Repayment history (the big one): Australia’s comprehensive credit reporting shows up to 24 months of month-by-month repayment conduct on every credit account. A clean grid of on-time payments is the strongest asset your file can have.
- Enquiries: every credit application leaves a mark. A burst of applications in a short window reads as risk — even if none proceeded.
- Defaults: unpaid debts of $150+ listed after 60+ days overdue stay on file for five years (serious infringements, seven), even after you pay them.
- Limits, not balances: lenders assess your credit cards at their limit. A $20k limit you never use still reduces your borrowing power.
- BNPL and payday products: increasingly visible, and heavy use is read exactly the way you’d expect.
How to lift your score before applying
- Pay everything on time for 6+ months — repayment history is the fastest realistic lever. Set every minimum to direct debit today.
- Cut card limits and close unused accounts — helps score and borrowing power at once.
- Stop applying for credit — no new cards, BNPL sign-ups or “60-second pre-approvals” in the months before your home loan.
- Check all three reports and dispute errors — you’re entitled to a free report every three months from each bureau. Wrong defaults and mystery enquiries are more common than you’d think, and bureaus must correct genuine errors.
Does using a broker hurt my score? No — this is the part people get backwards. When I review your file and run lender policy, that’s not a credit enquiry. The enquiry happens when an application is lodged with a lender. The whole point of doing it my way is that we check everything first and apply once, to the right lender — instead of you leaving hard enquiries at three banks to find out their answer. (It’s mistake #3 on my list.)
If your file already has bruises
A default, a bumpy year, an old payday loan — none of these automatically end the conversation. Some lenders human-assess files with an explanation; specialist lenders exist for genuine credit-impaired lending, usually at a rate premium with a path to refinance back to mainstream once the file heals. The order matters: file first, lender second, application last. That review costs you nothing — see our credit file issues service, then get pre-approval when the timing is right.
General information only — not financial or credit advice. Score bands and reporting rules are set by the bureaus and change over time; check your own reports directly with Equifax, Experian and illion.