How a credit history is formed

First of all, it should be noted that credit history is a kind of information about the borrower and his/her actions on the credit market. Credit history contains information about whether you have ever taken loans, whether have repaid them in time and whether you are having outstanding at the moment.

The main parts of credit history include: a title, a summary and closed information.
A title contains the information about the borrower (name, passport details, etc). The main part, contains complete information about loans (where and what type of loan have been taken, at which rate and for how long, as well as data on the repayment). Closed part contains data on banks that have ever issued loans to the borrower, as well as those institutions, which have requested this history.

How is the credit history formed?
Credit history is formed in the credit bureau (commercial organization that has the right to process data on loans) according to the data provided by credit institutions or banks. Information from all credit bureaus is accumulated in Central Databank of Credit Histories. Find more information about furniture purchase financing option.