Credit checks after enquiries.

kevanbarrett · 3 March 2006 at 11:19AM

I do notknow if I am in the right area for this.

However, my wife recently did a check for Ins quotes on confused.com

That was all,just entered details and got the series of quotes.

The next thing is that not only is there a credit check on her file, but also on mine as a financial associate.

No mention on the site of such checks being carried out, and of course there has been no offer of an 'opt out' in order that under the Data protection Act my wife's private affairs are not known to me.

The basic is that we have now both additional checks on our credit files, when all we did was ask for a quote.

This just cannot be right, and is almost certainly in breach of the DPAct.

Kevan Barrett

ArchieB_2 · 4 March 2006 at 12:59PM

My understanding is that whenever you run full quotes the company check that you are who you say you are by checking with Credit agencies. This does result in a record on your file but it is not the same as a 'credit check' record that has the potential to damage your rating for future credit if you run too many in a short period of time.

The website may well have a statement to say they will check various sources to prevent fraud and guard against fraudulent claims etc etc.

If in doubt call Experian and have a peak at Confused.com's T's and C's.

grumbler · 4 March 2006 at 3:48PM

About your credit report > Previous searches > About credit searches

An unrecorded enquiry is a search that was not made for lending purposes. It is not seen by lenders but is included on your credit report so you are aware the search was made.

I think it was 'unrecorded enquiry' that appeared on your files.

kevanbarrett · 5 March 2006 at 9:56PM

As usual the replies one receives are usually great and to the point. This is a marvellous service.

However, the real point in this issue is that this operation as with almost all credit providers are breaking the DP Act. By this I mean that as in this case, (although I realise that it does not affect my credit score, as it cannot be seen by another enquirer,) the fact is that I now know of my wife's business enquiry, which she may not want. This is against the whole point of the DP Act. Nearly all credit providers are doing it, either by not offering the 'opt out' from having a financial associates file searched.or if you require it then they refuse credit. This has already happened to me.

This is basically nationwide, and has been reported to the IC Office, but of course they are overloaded and understaffed.

I even had a major bank state that they did not offer the 'optout' unless it was requested, but admitted that they did not bring it to the notice of the customer.

So, you cannot ask if you do not know, and they do not tell you in the first place. Logic turned on its head. I am also hoping to get it taken on as a major complaint by 'Which'

Kevan

grumbler · 6 March 2006 at 2:38PM

kevanbarrett wrote:

...confused.com ...No mention on the site of such checks being carried out

t&C:

This statement was substantially revised in December 2003 when The Privacy and Electronic Communications (EC Directive) Regulations 2003 came into force in the UK. You are asked to view this Statement separately and give it due consideration before using our services. Please click here to view our Privacy and Security Statement.

privacy:

Credit searches

Many insurance and financial services providers operate a credit scoring system and will carry out checks with credit reference and fraud prevention agencies. These checks will include electoral roll and credit information. The insurance checks are registered as general insurance searches and may be viewed by other companies when you apply for credit or insurance. Often the financial services quotes you request will only do a credit check once you have decided on a particular supplier. Every application you submit for a loan or credit card does credit scoring so you want to keep applications to a minimum for your credit rating. Again, this is not happening especially because you are using our service. This will happen regardless of whether you get a quote via the internet or phone for any of these services.

ArchieB_2 · 6 March 2006 at 2:47PM

Interesting point Kevan.

kevanbarrett · 7 March 2006 at 11:54PM

I come back, and recognise that my wife accepted T & C's without properly reading.

However, it is now worth noting that the quote supplier has contacted me stating that they did offer the 'opt out'clause,but it was not taken. That meant just because you ask for an Insurance quote your financial associate will know, and that is entirely against the DPAct.

Further they also stated that if the T & C's had not been accepted, and she had taken the 'optout' which is required to be offered, then they would not have supplied any quotes. Talk about blackmail.

That harks back to one of my previous threads, where if you request the 'opt out' to which you are entilted to under the DP Act then the finance house, bank, insurance provider will not deal with you. So going against the complete letter and spirit of the DP Act clause designed solely to keep one's private affairs away from anyone else.

There is no finance house or establishment, as far as I am aware who actually have the offer printed in the credit or other applications. They say they have taken 'business' decisons not to offer that which is required.

As previously stated I am awaiting on further action from the INf Comm.

Thanks again for your input, but you would do well to consider seriously the above.

Kevan

dunstonh · 8 March 2006 at 12:00AM

We use the experian check for anti money laundering checks which do show up on reports and a standard data protection statement (making no reference to checks) is fine to allow us to do it.

kevanbarrett · 8 March 2006 at 1:25AM

Reply to dunstonh

The whole point is that ones private dealings are being shown to another, which is what the DPAct specifically precludes. Up until the clause was placed anyone with whom you had or had once had a financial association would continue to be appraised of your dealings when involving credit checks. This is why the opt out clause was brought in, but as it is notbeing enforced, then the finance houses etcv are not complying with the law.

Kevan

Of course the 'trade' is carrying on using credit checks for whatever reason, but the fact is the DPAct says no. Hopefully it will not be too long before the ICO has enough staff and teeth to bring about a lawful result.

dunstonh · 8 March 2006 at 10:40AM

I understand what you are saying. However, you do have to be aware that the information that is seen "at our end" compared to the information you can see "at your end" is totally different.

Take the Experian money laundering report which appears as a check on your report. This searches electoral roll, credit agreements, address, telephone number, personal data (date of birth, marriage status, children, banking details) etc. Quite a large amount of personal data there! However, the output we see at the end just gives it a score out of 100 as to the likelihood of that person being the right person and confirmation of how many things it searched confirmed the address and the identity along with how long they have been on the electoral roll. It also notifies us of errors in the information and potential high risk issues with regards to identity fraud that the data may be able to detect. No other personal information is shown or can be seen.

If we saw all the data, then I would agree with you 100%. As we don't see anything apart from what is already available publically, I can't see an issue with it.

I don't transact mortgage business anymore due to my focus on investment class but when I did, the credit checks done then didnt show much in the way of personal data either. Hopefully, one of the mortgage advisors on the board will be able to chip in to what info they get nowadays.

kevanbarrett · 8 March 2006 at 6:03PM

Dear Dunstonh

Thank you for all comments and explanations.

HOWEVER, it is not the actual credit checks that concern me.

My problem is with the fact that under the DP Act no person's dealings with any finance house, insurance company for any reason whatsoever is supposed to be shown on their financial associates file.

This was how it was until November 2004, and has now changed, but the institutions are still not complying. My wife's own dealing have to be held to be completely private, and should not be shown on my file. This applies to any financial associate of anyone making enquiries as to bank accounts, credit applications, insurance quotes.

That is the law, and it is being flouted by the financial institutions. They even back up their " business decision" not to offer 'optout' by saying that if 'opt out' is insisted upon, then no credit is obtainable, and no insurance quote given. As I said. BLACKMAIL, and with no known credit application yet containing the 'opt out' clause,
the law is being ignored with impunity.

Imagine one part of a marriage breakdown carrying out transactions requiring credit checks, and it all the info being passed to the estranged.

I rest my case.

Kevan

Credit checks after enquiries.

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