Quick answer
Errors on a credit report, such as a default for a debt you paid, a duplicate listing or an enquiry you never made, can trigger automatic business loan declines. You can get your report free from the credit reporting bodies, and if information is incorrect you can ask the credit provider or reporting body to correct it. Fix errors before applying again.
Key points
- Get your credit reports from each major credit reporting body
- Common errors: duplicate defaults, paid debts shown unpaid, unknown enquiries
- Ask the credit provider or reporting body to correct mistakes
- Keep written evidence of payments and settlements
Small mistakes, big consequences
Credit reports are compiled from information sent by many lenders, telcos, utilities and courts. Mistakes happen. A debt paid in full still shows as outstanding. The same default appears twice under slightly different names. An enquiry shows up from a lender you have never heard of, sometimes a sign of identity misuse. Because most business lenders check directors’ personal files, a single error can block a company loan.
Common errors to look for
| Error | What it looks like |
|---|---|
| Paid debt shown unpaid | A default without a paid or settled status |
| Duplicate listing | The same debt reported by an original creditor and a collector |
| Wrong person | Listings belonging to someone with a similar name |
| Unknown enquiries | Applications you did not make |
| Outdated information | Listings past the period they should be shown |
| Wrong amount | A balance different from what was actually owed |
How to get it corrected
- Get all your reports. Each credit reporting body holds its own file, and they can differ. The OAIC explains how to access them free of charge.
- Gather evidence. Payment receipts, settlement letters, bank statements or correspondence.
- Ask for a correction from the credit provider that listed the information, or from the credit reporting body.
- Follow up in writing and keep copies.
- Escalate if needed. The OAIC can help if a correction request is not handled properly.
Our guide on reading your credit report explains each section of a report.
Borrowing while a correction is underway
If your need is urgent and a correction will take time, a person-led lender can consider the evidence you have. Show the listing, the proof that it is wrong and the correction request. Property-secured lenders rely more on equity, so a secured business loan may proceed while the file is being fixed.
An illustrative example
A cafe owner was declined twice because of a default from a utility account. She had paid it in full the week it was listed, but the file still showed it as unpaid. With the receipt and a correction request lodged, a specialist lender assessed her on her strong bank statements and approved equipment funding. The listing was updated a few weeks later.
Get the full picture first
Make a quick enquiry and tell us what is on your file. We do no credit check to talk, someone experienced reviews it, and your details stay private. Talk through your credit file.
Frequently asked questions
How do I get my credit report?
You can request a free copy from each of the credit reporting bodies. The OAIC website lists them and explains your rights.
Who fixes an error on my credit report?
Contact the credit provider that made the listing or the credit reporting body. They must investigate correction requests within set timeframes.
Can a correct default be removed early?
Generally not. Correct information stays for the set period, though a paid default should show as paid.
Should I use a credit repair company?
Be cautious. You can request corrections yourself for free, and no one can legally remove correct information.
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