If you’ve ever been denied a loan or been told your credit score is too low, you’re not alone. At C1 Car Loans, we specialize in second-chance finance—helping everyday Australians get back on their feet financially. Understanding your credit file is a key step toward improving your financial future.
What Is a Credit File?
Your credit file, also known as your credit report, is a record of your borrowing history. It’s maintained by credit reporting agencies and includes information like:
- Your personal details (name, address, date of birth)
- Credit applications you’ve made
- Repayment history on loans, credit cards, and utility bills
- Any defaults, court judgments, or bankruptcies
Lenders use your credit file to assess how risky it might be to lend to you. A healthy credit file can open doors to better interest rates, higher borrowing limits, and faster approvals.
What Impacts Your Credit File?
Your credit file isn’t just about missed payments. Several factors can affect your score:
- Repayment History
Late or missed payments on loans, credit cards, or even phone bills can negatively impact your score. - Credit Applications
Every time you apply for credit, it’s recorded. Too many applications in a short period can make you look financially unstable. - Defaults
If a bill is overdue by 60 days or more and is over $150, it can be listed as a default—even if you later pay it. - Court Judgments & Bankruptcies
Legal actions or insolvencies can stay on your file for up to five years. - Positive Credit Behaviour
On the bright side, consistently paying on time helps rebuild your credit file. More lenders now report positive behaviours, not just negatives.
How Long Do Entries Stay on Your Credit File?
- Repayment history: 2 years
- Defaults: 5 years
- Court judgments: 5 years
- Bankruptcy: Up to 5 years from the date of discharge
We’re Here for Your Second Chance
At C1, we believe everyone deserves a second chance. Life happens—job loss, illness, relationship breakdown—and your credit file doesn’t always reflect your current situation. That’s where we come in.
We offer tailored finance options for people with low or damaged credit. Our team looks at the whole picture, not just your score.
Tips to Rebuild Your Credit
To help rebuild your credit:
- Pay bills on time – even small ones
- Set up direct debits or reminders for due dates
- Avoid applying for multiple loans or credit cards at once
- Start small with manageable repayments
- Check your credit file regularly
- Make a payment arrangement on your defaults
You can get a free copy of your credit report once every 3 months from credit reporting agencies like Equifax, illion, or Experian.
You might look at your score and feel like you’re failing, but you’re not. You’re learning. And like all hardship, this season has something to teach you—about discipline, resilience, and rebuilding.
Small Wins, Big Shifts
Getting out of a financial hole rarely happens overnight. But every payment made on time, every dollar saved, every moment you resist giving up—these are small victories that add up. And over time, they do more than raise your credit score. They restore your confidence.
Start small. Check your credit report. Dispute any errors. Set up payment arrangements—even for $10. Call your creditors and ask for a payment plan. These actions may seem insignificant, but they are how transformation begins: with uncomfortable steps in the right direction.
