Veda lifts the veil, for a price

Veda Australia has launched a new service that gives consumers access to their credit scores, an analysis of how these scores have been determined and an anti-fraud monitor.

Credit reporting agencies are obliged to give consumers copies of their credit files, but Veda thinks consumers will want more information and analysis when the new comprehensive credit reporting regime starts next year.

Veda has calculated credit scores for a long time, but has only made them available to credit providers, not consumers. The scores are in a range of between zero and 1200, with a higher score indicating greater creditworthiness.

Veda's marketing manager, Belinda Diprose, said different lenders had different scoring systems, so a given score did not necessarily indicate that a consumer would or would not be eligible for credit.

Consumers pay an annual fees for the service, called VedaScore, ranging from A$69.95 a year for one credit report a year and access to the credit score, to $119.95 a year for a service that includes four credit reports, credit alerts and a score tracker.

The premium subscription includes a service called Identity Watch, where the consumer gives Veda their email address, credit and debit card details, and other financial information. Veda then monitors the internet to detect any unauthorised use of these accounts and alerts the customer if it detects any suspected fraud.

Veda said there was a low level of consumer awareness about credit reporting. Eighty per cent of people have never checked their credit report.