BEWARE: Experian credit report and confused.com credit checks

sky_rat

I have just applied for a loan from Money Back Bank and was suprised they didnt offer me the typical 7.6% APR rate (they offered 10.8% instead).

So I registered with Experian to view my credit report.

I have just viewed it tonight and was shocked to find that my credit report has been viewed 8 times in the last 3 months and 27 times in total over the last year !

Upon further investigation I found most of the credit searchers were done by "Royal Sun Alliance".... 21 times in fact !

For each search, the "Application Type" is noted as "Unrecorded Enquiry".

I am not even insured with Royal Sun Alliance and havent been for many years (in fact I may never have been insured with them).

I checked the dates of the searches and found some searches were performed twice in one day !

Then it clicked - these could only have come from insurance quotes I did on confused.com

I looked on the confused.com website at the T&C's and it does make a statement about credit searches in the small print (see end of this message for exact wording).

I was horrified that insurance quotes from confused.com were doing credit searches on me... which are now recorded on my credit report !

Is this a likely reason why I didnt get the typical 7.6% APR rate for my loan and only got offered 10.8% instead ?

Was it the 21 credit searches that were performed by Royal Sun Alliance that caused the problem ?

If so, is there anything I can do about it ?

Before I found this out I have since signed and returned the forms for my loan, so they will receive the forms tommorow.

Therefore it might be too late to do anything about it anyway ?

If it was confused.com that screwed up my credit rating, then there should be a warning in big letters on confused.com stating that the searches are likely to ruin your credit rating.

Is this even legal ???


Confused.com Credit searches - Insurance

Many insurers operate a credit scoring system and will carry out checks with credit reference and fraud prevention agencies. These checks will be made regardless of the way you request the quotes from us and not just because you are using our service. These checks may include electoral roll and credit information. Some insurance checks are registered as general insurance searches and may be viewed by other credit or insurance companies if you apply for their services.

tictax

As is said on your report these were all unrecorded enquiries and are not part of the number of searches that lendings use for credit scoring purposes.

As for the legality you would have agreed to the search when you got the quote (its in the T&C on confused.com).

standupguy

Tictax is spot on - lenders will not see the unrecorded searches

Debt_Free_Chick

Another confirmation ..... an "enquiry" or an "unrecorded search" is not the same as a credit check.

As an example ... my ex has applied for credit in his name and his name only. We continue to be financially associated through a joint mortgage.

The credit check done on HIM resulted in an "enquiry" on my credit file - simply because we are financially associated. My credit file was NOT checked or searched, however.

There are numerous other examples - an identity check e.g. a check that you are who you say you are, can result in an "enquiry" on your credit file. But those enquiries are not "credit checks" and will not be seen by future potential lenders, if and when you actually make a credit application.

They're awfully useful for monitoring potential attempts to steal your identity though - so thanks for pointing it out to all other MSEers who read this.

Regards

sky_rat

standupguy wrote: »

Tictax is spot on - lenders will not see the unrecorded searches

Thank god for that.

Dont understand why I didnt get the typical rate then ?

Because the rest of my credit report seems fine ?

Debt_Free_Chick

sky_rat wrote: »

Thank god for that.

Dont understand why I didnt get the typical rate then ?

Because the rest of my credit report seems fine ?

Because Lenders score on a number of different issues, not just your credit file. Some score on postcode, occupation, marital status ..... etc etc

It's nigh-on impossible to decipher any lender's scoring system. I rather suspect some score on the day of the week and whether or not there's an "R" in the month! :rotfl: