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  • FIRST POST
    • caseym489
    • By caseym489 1st Dec 17, 7:20 PM
    • 5Posts
    • 1Thanks
    caseym489
    Lender Income Checks
    • #1
    • 1st Dec 17, 7:20 PM
    Lender Income Checks 1st Dec 17 at 7:20 PM
    Hi...
    I am wondering how lenders confirm the income and expenditure figures entered on a credit application form. I do understand that their automated checks have full access to your credit file, however I thought that the above data wasn't stored at the CRA's.

    I am aware that some companies share a database to catch people out, if using different figures on each application, but how such can be verified is a mystery to me.

    Can they check your income with the bank or do they simply use your credit file to estimate your income and then ask for documents if you look suspicious to them?

    Thanks for your answers in advance!
Page 1
    • zx81
    • By zx81 1st Dec 17, 7:41 PM
    • 14,389 Posts
    • 15,184 Thanks
    zx81
    • #2
    • 1st Dec 17, 7:41 PM
    • #2
    • 1st Dec 17, 7:41 PM
    Consistency is the main check.

    Additionally, some of the sub prime lenders make sporadic checks via bank statements or employers.
    • caseym489
    • By caseym489 1st Dec 17, 7:49 PM
    • 5 Posts
    • 1 Thanks
    caseym489
    • #3
    • 1st Dec 17, 7:49 PM
    • #3
    • 1st Dec 17, 7:49 PM
    Consistency is the main check.

    Additionally, some of the sub prime lenders make sporadic checks via bank statements or employers.
    Originally posted by zx81
    Consistency that the client has used the same information across all of their applications / services without a big variation in figures, correct?

    If someone obtained new employment or otherwise had a big change in income, wouldn't CIFAS (if reported by a lender for misrepresentation of finances) give the person a chance to provide evidence before placing a Fabrication of Application (or whatever it is called) on the persons credit file? I have heard of this happening to people, but isn't it only when you are constantly changing your figures and employment details, a small fluctuation shouldn't matter?
    • zx81
    • By zx81 1st Dec 17, 8:03 PM
    • 14,389 Posts
    • 15,184 Thanks
    zx81
    • #4
    • 1st Dec 17, 8:03 PM
    • #4
    • 1st Dec 17, 8:03 PM
    Correct. .
    • Shakin Steve
    • By Shakin Steve 1st Dec 17, 8:14 PM
    • 1,137 Posts
    • 844 Thanks
    Shakin Steve
    • #5
    • 1st Dec 17, 8:14 PM
    • #5
    • 1st Dec 17, 8:14 PM
    National hunter are usually the ones that hold your income details etc., if you have made previous applications.
    http://www.nhunter.co.uk/howitworks/
    I came into this world with nothing and I've got most of it left.
    • caseym489
    • By caseym489 1st Dec 17, 9:23 PM
    • 5 Posts
    • 1 Thanks
    caseym489
    • #6
    • 1st Dec 17, 9:23 PM
    • #6
    • 1st Dec 17, 9:23 PM
    National hunter are usually the ones that hold your income details etc., if you have made previous applications.
    Originally posted by Shakin Steve
    That sounds like an interesting service for companies to use. It is quite amusing that their anti-fraud procedure doesn't include a verification process for income data.

    For those lying about their finances, it is a matter of keeping the same lie across all applications to keep under the radar...
    • Nebulous2
    • By Nebulous2 1st Dec 17, 9:51 PM
    • 1,650 Posts
    • 1,002 Thanks
    Nebulous2
    • #7
    • 1st Dec 17, 9:51 PM
    • #7
    • 1st Dec 17, 9:51 PM
    I remember reading about someone who filled out some of these household surveys putting in a much bigger household income than they actually had. He then received a lot of freebies, bottles of wine, boxes of bulbs etc.

    I'm not sure if you could still get off with that.
    • caseym489
    • By caseym489 1st Dec 17, 10:14 PM
    • 5 Posts
    • 1 Thanks
    caseym489
    • #8
    • 1st Dec 17, 10:14 PM
    • #8
    • 1st Dec 17, 10:14 PM
    I remember reading about someone who filled out some of these household surveys putting in a much bigger household income than they actually had. He then received a lot of freebies, bottles of wine, boxes of bulbs etc.

    I'm not sure if you could still get off with that.
    Originally posted by Nebulous2
    I support advances in technology for the protection of consumers, but companies are harnessing such abilities to protect their own from misrepresentation of income to gain an unauthorized advantage.

    The free gifts are an incentive to attract wealthy clientele to their business model, whether it be investments; home improvement services etc.

    It's probably not worth the risk these days, the collected data is certainly verified by underwriters for those companies by performing analytical checks.
    • BoGoF
    • By BoGoF 1st Dec 17, 10:48 PM
    • 2,725 Posts
    • 1,963 Thanks
    BoGoF
    • #9
    • 1st Dec 17, 10:48 PM
    • #9
    • 1st Dec 17, 10:48 PM
    You have to remember that the one lender who normally verifies income is your mortgage provider. Now if that income is registered with National Hunter......is it a good idea to lie about your income.

    Obviously not everyone has a mortgage.
    • caseym489
    • By caseym489 1st Dec 17, 11:33 PM
    • 5 Posts
    • 1 Thanks
    caseym489
    You have to remember that the one lender who normally verifies income is your mortgage provider. Now if that income is registered with National Hunter......is it a good idea to lie about your income.

    Obviously not everyone has a mortgage.
    Originally posted by BoGoF
    If the National Hunter hold outdated records and the mortgage provider cannot confirm the new income figures electronically, documents have to be requested before they can confirm fraud has been committed by the client.

    Income can change month by month, therefore National Hunter have to take this into consideration and where there is a massive inflation of figures, proof of such can be requested before a fraud marker can be filed with CIFAS.
    • phillw
    • By phillw 1st Dec 17, 11:48 PM
    • 1,041 Posts
    • 622 Thanks
    phillw
    Income can change month by month, therefore National Hunter have to take this into consideration and where there is a massive inflation of figures, proof of such can be requested before a fraud marker can be filed with CIFAS.
    Originally posted by caseym489
    You could still just be refused credit though.
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