The Importance of a Credit Report and How It May Impact You

Credit score

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This is a guest contribution by Credit Bureau Singapore, as part of a partnership between CBS and AMTD PolicyPal Group (PolicyPal and ValueChampion), in line with our mission to empower people with financial knowledge and help them attain financial wellness.

Credit Report reflects your credit risk level to the lenders when you apply for credits or loans. This is how you can improve yours.

What is a credit report?

A credit report is a record of your personal credit facilities and total credit limit contributed by Credit Bureau Singapore’s (CBS) members, which includes major credit card providers, retail banks and financial institutions in Singapore.

Through this report, lenders are able to assess how well an individual can repay their debts based on many factors like: credit score, total credit limit granted, number of credit facilities, total outstanding balances. The credit score is also presented in a credit report that summarises your credit payment history and other data in your credit report. 

(At CBS, the credit scores are calculated from an algorithm based on information in an individual’s current available credit data. The score ranges from 1000 to 2000, where individuals scoring 2000 have the lowest likelihood of defaulting on a repayment and individuals scoring 1000 have the highest probability of default.) 

In summary, lenders use your credit report to assess your creditworthiness and determine your future loans repayment behaviour. This report is crucial and can potentially affect your life, which is why it is important to have a good credit score. 

How will having a good credit report affect me?

In short, a good credit report increases your accessibility to obtain loans and credit facilities

Your credit report reflects your competency in fulfilling debt obligations. Therefore, credit providers use this information to decide whether to approve a loan or extend a new credit facility to you. 

Examples of credit facilities available in the market include credit cards, personal loans, housing loans, vehicle loans and renovation loans. Consumers with poor credit score might suggest a higher probability of defaulting future payments and pose potential risk to future credit lenders. With a good credit report record, applying for loans or credit facilities will be a breeze and help to boost confidence for future credit lenders. 

How can I improve my credit score?

Do note that the credit score is a fluid number and it continually adjusts in tandem with the changes in your credit information. Having a good credit score is therefore a journey, not a destination. Hence, you need to conscientiously and continuously improve your credit score, or your credit score may slip. 

Here are a few tips that can help you achieve a healthy credit score.

  • Stay alert on your payment due dates

It can be challenging to memorise your payment due dates especially if you hold several credit facilities. A suggestion would be to set a calendar reminder for all your payment due dates or apply for recurring monthly repayments for all of your credit facilities. 

  • Make full payments if possible, otherwise pay the minimum amount

If you miss out on any bill payments, not only will this have a detrimental effect on your credit score, your balances will accumulate with the prevailing interest rates and hence making it more difficult for you to settle the remaining outstanding balances over time. Therefore, whenever possible, try to make full and prompt payments, or at least make the minimum payment before the due date. 

  • Avoid applying for too many credit facilities

If you apply for too many credit facilities within a short span of time, credit lenders might perceive you as desperate or hungry for cash. Unless necessary, try not to apply for too many credit facilities as it will also have a detrimental effect on your credit score. Keep to a few credit facilities that you will be regularly using and make continuous effort to pay your bills in full and on time to boost your credit score. 

  • Use My Credit Monitor (MCM)

My Credit Monitor (MCM) is a credit monitoring tool that keeps an eye on your credit report on your behalf so you can have an ease of mind wherever you are. MCM comes with a choice of 6 or 12 months’ subscription service and complimentary credit reports.

The subscriber will be able to receive notification alerts for any predetermined activities on your credit report, providing the earliest possible indicator via SMS or emails. 

Where can I get a copy of my credit report?

To check your credit score, you can purchase a copy of your credit report at You can also view a sample credit report with detailed explanation over at

Last but not least, be sure to follow and like the CBS Facebook page @creditbureausingapore for more useful content and tips to maintain a good credit reputation!



Read More:

4 Tips on Building Your Credit Score in Singapore

How to Get the Best Credit Score to Apply for Loans in Singapore

5 Foolproof Ways to Improve Your Credit Score


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