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Reporting regimen not all positive

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Australian Broker | 31 Mar 2011, 05:00 AM Agree 0
The implementation of a new "positive" credit reporting regimen this year could push more brokers into the non-conforming space
  • Jason | 31 Mar 2011, 12:27 PM Agree 0
    In reality the new positive credit reporting is only going to impact two groups of applicants; the marginal applicants (those either slightly above or slightly below a lenders risk cut off) and those applicants providing false information in their application (commonly called soft frauds). Lenders will be looking to use this information to identify a swap set, their current marginal approves with poor repayment history that they'll now decline and their current marginal declines with good repayment history that they'll now approve. Any applicant with serious credit information is already being identified through the current reporting regime.
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