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Chartered Accountants

Trusted advisers of all tax compliance and annual accounting issues facing both individuals and small businesses.

Understanding credit scores

Posted on Apr 12, 2017 by editor

Credit scores are an impact factor in determining an individual’s credit worthiness.

When an individual applies for a loan, such as a mortgage or car loan, a credit provider will use a credit score to help them decide whether to lend the money, the amount to lend and the interest rate.

An individual’s credit score is calculated using the individual’s personal details; the type of credit providers used and amount of credit borrowed; any unpaid debts; the number of credit applications made and considers any debt or personal insolvency agreements relating to bankruptcy.

A credit score is rated on a five-point scale:

  1. Excellent: highly unlikely to have any adverse events harming your credit score within the next 12 months

  2. Very good: unlikely to have an adverse event in the next 12 months

  3. Good: less likely to experience an adverse event in the next year

  4. Average: likely to experience an adverse event in the next year

  5. Below average: more likely to have an adverse event in the next year

To prevent a negative credit score, individuals should try to spread applications over a larger amount of time; lower credit card limits; ensure their credit card is paid in full each month; and pay their rent, utilities and other loans on time.

We have been with BDS Hughes Accountants nearly 5 years. Without their knowledge and forthright suggestions we would not been able to experience our high level of success. We are comfortable with the working relationship and ease with which they are able to communicate with us. As we as the normal accountancy service, Garry advised us on Xero accounting and taught us to uses the program in plain simple English. We can say only that we have had nothing but exceptional service and the advise we have received has been correct and perfect for our business, which is why i would not hesitate to recommend their services.
Wendy EvansDirectorThe Roof & Brick Shoppe

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Claiming expenses on work-related trips

Posted on December 21, 2017 by BDS Hughes

When travelling for business or paying for employee travel there are many daily expenses that can be claimed. Generally, you can claim for flights, taxis (or mileage if you use your own car), accommodation, meals and snacks when you are away from home on business travel. For work-related meetings, conferences or training courses that require an overnight stay, employers can claim the cost of accommodation. If an employee is working away from home for an extended period, you can claim for accommodation or any accommodation allowance paid providing it is for a period of no more than two years (or […]

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