Credit History in Japan — What You Need to Know for a Home Loan

Your credit history plays a crucial role in determining your eligibility for a home loan in Japan. It reflects how reliably you've repaid past loans, credit cards, or other debts.

What Is Considered Your Credit History?

Your credit report in Japan includes:

  • Loan and credit card usage history

  • Missed or delayed payments

  • Defaults or bankruptcies

  • Mobile phone installment payments (often treated like loans)

  • Loan guarantor obligations

Where Is Credit Data Stored?

Japan has several credit bureaus, and banks check one or more of them during your application:

Credit Bureau Commonly Checked By

  1. CIC (Credit Information Center) Credit cards, personal loans

  2. JICC (Japan Credit Information Center) Consumer loans, mobile payments

  3. KSC (Japanese Bankers Association) Bank loans, housing loans

Good Credit History Means:

  • No missed or late payments in the last 2–3 years

  • Low credit utilization (don’t max out your cards)

  • No history of loan defaults or legal disputes

Poor Credit History May Include:

  • Late payments (even one can raise red flags)

  • Loan or credit card defaults

  • Overuse of revolving credit or many active cards

  • No credit history at all (which can be viewed as risky)

Credit Tips for Home Loan Applicants

  1. Check your own credit report

    • You can request your report from CIC or JICC (in Japanese).

    • Recommended before applying to avoid surprises.

  2. Avoid unnecessary new credit applications before and during your loan application.

  3. Keep credit card balances low relative to their limits.

  4. No credit history?

    • Start building one with a low-limit card or a phone contract paid in installments.

    • Some banks will accept foreign credit reports, but this is rare.

What If You Have a Credit Issue?

  • Try Flat 35 loans — these sometimes have more flexible screening criteria.

  • Some lenders may allow a co-borrower or guarantor to strengthen your application.

  • Wait at least 6–12 months after resolving any negative entries before reapplying.