Disposable income and credit rating?

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wozzza72
wozzza72 Posts: 90 Forumite
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in Credit file & ratings
Hi
I'm struggling with improving my credit rating, I have been monitoring it through various companies and the fault that keeps coming up is I don't have enough disposable income, which I do. Where do companies get info on how much I am earning? How can I amend it?

Any help greatly appreciated.
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  • concernedSaver
    concernedSaver Posts: 91 Forumite
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    Where do companies get info on how much I am earning?

    If you're talking about the CRA monitoring services, they ask for your employment details, including salary, on the registration form. Look in their customer support pages to know if and how is possible to change them. When you apply for credit somewhere you have to provide your yearly salary in their application form, and it's usually used to estimate how much disposable income you've got.
  • sourcrates
    sourcrates Posts: 28,878 Ambassador
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    This might be helpful to you :

    http://www.moneysavingexpert.com/news/banking/2015/11/experian-shakes-up-how-it-calculates-credit-scores-what-it-means
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
  • wozzza72
    wozzza72 Posts: 90 Forumite
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    Thing is I haven't applied for anything in years now so I haven't stated my salary anywhere
  • GingerBob_3
    GingerBob_3 Posts: 3,659 Forumite
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    wozzza72 wrote: »
    Hi
    I'm struggling with improving my credit rating, I have been monitoring it through various companies and the fault that keeps coming up is I don't have enough disposable income, which I do. Where do companies get info on how much I am earning? How can I amend it?

    Any help greatly appreciated.


    Two sources: 1) You tell them. 2) They (the CRAs) help themselves to something called current account turnover (CATO) from your bank, which allegedly includes significant details about source and destination of money movements. From this, apparently, they can determine your salary, or at least have a good guess at it.


    Don't think that everything you see on the CRAs' credit reports about you is the full story. The CRAs will hold a significant amount of other information about you, and the only way you'll get to know about it is to hit them with a Subject Access Request (£10 fee).
  • concernedSaver
    concernedSaver Posts: 91 Forumite
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    They (the CRAs) help themselves to something called current account turnover (CATO) from your bank, which allegedly includes significant details about source and destination of money movements

    What?! This is news to me, where can I read more about it?
  • Candyapple
    Candyapple Posts: 3,384 Forumite
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    wozzza72 wrote: »
    Hi
    I'm struggling with improving my credit rating, I have been monitoring it through various companies and the fault that keeps coming up is I don't have enough disposable income, which I do. Where do companies get info on how much I am earning? How can I amend it?

    Any help greatly appreciated.


    Who are these companies?

    I have never heard of a credit reference agency stating or specifying low income/disposable income as a factor for a poor credit score/history. I hope you haven't paid for any of these companies because you will have just wasted your money.
    I'm a Board Guide on the Credit Cards, Loans, Credit Files & Ratings boards. I'm a volunteer to help the boards run smoothly, and I can move and merge threads there. Any views are mine and not the official line of moneysavingexpert.com
  • wozzza72
    wozzza72 Posts: 90 Forumite
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    it was money saving experts credit club that told me this
  • Anthorn
    Anthorn Posts: 4,362 Forumite
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    edited 24 October 2016 at 2:00PM
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    wozzza72 wrote: »
    Hi
    I'm struggling with improving my credit rating, I have been monitoring it through various companies and the fault that keeps coming up is I don't have enough disposable income, which I do. Where do companies get info on how much I am earning? How can I amend it?

    Any help greatly appreciated.

    I haven't seen "disposable income" referred to in years. Lenders compare your income as stated on your application form backed up with info from your employer or your bank statement with the total amount of available credit and they get that from your credit report.

    At one time we could roughly calculate our "disposable income" as a third of the money left over after bills are paid but doesn't apply any more.
  • Candyapple
    Candyapple Posts: 3,384 Forumite
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    wozzza72 wrote: »
    it was money saving experts credit club that told me this

    If you are referring to the bit underneath Affordability score >> Disposable income >> How much free cash you have - you asked where they got the info from about your salary, you would have entered this when you applied to open your account with MSE Credit Club.

    Either way, a score has no real relevance to your credit history. Just obtain copies of your credit file from Experian, Equifax (ClearScore) and Call Credit (Noddle) and check that the info is correct across all 3.
    I'm a Board Guide on the Credit Cards, Loans, Credit Files & Ratings boards. I'm a volunteer to help the boards run smoothly, and I can move and merge threads there. Any views are mine and not the official line of moneysavingexpert.com
  • GingerBob_3
    GingerBob_3 Posts: 3,659 Forumite
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    concernedSaver wrote: »
    What?! This is news to me, where can I read more about it?


    Start on page 14 of this document:


    http://www.experian.co.uk/assets/corporate/white-papers/affordability-challenge.pdf


    Then Google "current account turnover" (Don't Google 'CATO').


    You may be amazed at the scale of the data rape that Experian, and maybe others, are perpetrating against you. Oh, and it's debatable whether or not you gave your bank permission to disclose this data.
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