Borrowing Agency: A company one collects individual borrowing from the bank recommendations and you may carries it to financial institutions
Credit: A borrower whom obtains some thing of value such as services and products otherwise currency which have a great contractual arrangement to repay the lender in the an after big date is credit toward borrowing from the bank. Essentially, the lender usually costs attention. Borrowing from the bank plus refers to the borrowing from the bank ability of men and women otherwise company.
This new creditors – will banking institutions, mortgage brokers and you may creditors – following utilize this advice whenever deciding whether to give loans. Credit reporting agencies are known as individual revealing organizations otherwise credit bureaus.