credit-report

Vocabulary Word

Definition

A credit report is a record of a person's credit history, including how timely they pay debts and if they've ever declared bankruptcy. It helps lenders decide if they should lend you money.

Examples in Different Contexts

In a mortgage application, the lender uses the applicant's 'credit-report' to evaluate their risk of default. A mortgage broker might explain, 'Your credit-report will significantly impact the interest rate offered on your mortgage, as it reflects your financial reliability.'

Practice Scenarios

Tech

Scenario:

Our new lending platform is going to rely heavily on data-driven scoring models. One crucial data point would be user credit history.

Response:

Definitely, incorporating credit report analysis into our algorithm will make our scoring model more robust and reliable.

Accounting

Scenario:

Before signing the contract with this client, we should validate their financial credibility. This will help us avoid any potential financial risks.

Response:

Thanks for the suggestion. I'll ask the client to provide their latest credit report for our review.