Customers applying for an Asda credit card will receive a "Clearer Credit" pack to help them repair their credit rating.
It will tell customers that how a poor credit rating can be caused by a number of reasons including County Court Judgments, failure to pay household bills, mortgage or rent arrears.
The pack includes a one-page application form in partnership with Experian, so customers can send away for their credit reference. The 拢2 fee normally charged by Experian is paid by Asda and the pack includes a pre-paid envelope to make the process as easy as possible.
Gev Lynott, director of financial services at Asda, said: "Credit reports are very difficult to understand and although customers receive them free of charge via the Asda pack, this is only half the job. They also need to understand the report's content and know how to mend their record if it is incorrect, which our pack also helps them to do. We would like other card providers to follow our example in making credit clearer."
In addition, the pack also includes a clearly worded brochure to explain how people can understand the report that comes back from Experian, with guidance on how to repair negative credit scores or correct inaccuracies.
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