Strange goings on on credit file

noah271007

I could sense there will be more sinister things to come...

ID card link with
Criminal records
Credit History
Employment History
Benefits History
Travel data History
and much more....

never-in-doubt

noah271007 wrote: »

I previously thought automated systems when applying for credit will pick up any adverse data from a particular CRA's credit files - meaning going back 6 years or more. If all is good and clear, then application is accepted. If not or spotted something adverse, then it is checked and dealt with manually.

I guess not many people have a spotless credit files....

It does looks very unethical how CRA's and lenders can process and use people's data. I bet they will say we "agreed" to it because it is all in the terms and conditions when applying for credit. If this come out in the open, there would be an outrage just like MP expenses!

Hi mate, the way it works is when you apply for any credit based facility, a number of factors and checks are carried out. These range from lender to lender but you can safely assume the following; in order of precedence; will take effect:

1. Credit Score (internal credit scoring)

Credit Score elements - some of them:
- Address
- Employment
- Salary
- Affordability
- Criteria
- Credit Score
- Credit Search results

2. Credit Search (external credit agency check)

Credit Search elements - some of them:
- Fraud Check (Cifas/N Hunter/Synectice Solutions etc)
- I.D Verification (Electoral Register search/Unrecorded enquiry made)
- Address Verification (Electoral Register search)
- Court/Public Data (CCJ's/Bankruptcy/IVA's)
- Credit Commitment Arrears (Defaults/Late Payment Markers)
- Credit Commitments (Current liabilities and the way you handle them)
- Notice of Correction
- Adverse Data
- Anything else

You have to pass both the above elements before you will get an automated decision as a yes.

Now we know what they base their decisions on, we can see that after completing these searches (they take a matter of seconds and are performed electronically) an application is either declined, accepted or referred.

So in a nutshell, they will always start with their internal credit score - pass this and you move onto the credit search. Fail the credit score and all that will be done is a simple credit search for verification purposes. Some record this as an I.D generic check whilst others record it as a credit search. Why they do a credit search after you fail their credit score is debatable because you have already failed so why bother with the credit search? Its pointless.... Anyway, your application would either go to underwriting or be declined by person or automated process if the score was too low below their criteria.

Lets assume you pass their internal credit score and move to the credit search. The list above shows the order they allocate priorities - in that fraud checks are always number 1 and works down the list. If you fail any of these then the application would be either declined or referred to underwriting. The underwriters would then assess everything and go back into your credit search and check it with a fine tooth comb and they would then search back as long as data was showing (so in this case 6yrs). If however you pass the actual credit score and all that flags up is a few late payments on your credit search, so long as your overall score is high enough then the application would go to approved status with a smaller limit than usual to compensate the data retrieved.

This is where they check the last 12 months (automated process remember) and if this was ok you;d get offered the normal product. If they had to go back 3yrs then you'd maybe get a smaller limit and if they had to search all history (6+yrs) then the application would be referred to underwriting.

As you know the scoring process is more in depth than above but this is an easy way to look at how the basics work in credit scoring/credit decisions.

Does all that make sense mate?

never-in-doubt

kilasuit wrote: »

hmmm i did wonder why the "fountain of knowledge" was so immense.

So basically in this day and age as soon as you have any sort of financial life your constantly getting screwed over by anyone and everyone for anything and everything.

so in therory if requested any financially involved establishment could be asked to give the CRAs almost any data that they require e.g. exact spending patterns on bank accounts, mobile phone contracts, CCs etc etc

seems like theres a fair few cases of mis-justice that could come from this.

Well done on persevering on this matter.

We all have a specialist subject for on mastermind and this seems to be yours

Hi mate, I am not the fountain of knowledge LOL - you're a nightmare! :rotfl:

Anyway, in a nutshell yes mate, it seems the CRA's are a law to their own and they break every rule set in place, my SAR is actually bordering comical with the errors. To date (on page 400 of 2000+) i've found over 30 inconsistencies that need clarification and proof of my authority which they will not be able to provide. If they try and throw the terms at me where I agreed to this then i'd have them under the unfair terms act. They cannot simply decide to ring my ex wife's mobile provider - that is wrong and could cause havoc if in the wrong hands!

Suffice to say, i've written to Equifax demanding removal of incorrect link with my agreement i'll take no further action. If however they do not remove the data then i'll open the floodgates and have already added text declaring my availability and acceptance by Equifax to link and show everything on a public internet forum unless they decline within 28 days. I knew they would miss it and have missed the deadline - ooops! (I put the disclosure agreement in small text on the back of one of my letters - hidden in the middle)

Basically everything can be posted on here legally without the risk of stike-off. Yipee!

p.s. Mastermind sounds good, I may do it for a joke! LOL - i'll teach magnus a thing or two and before the end of the show he'd be sending letters to his creditors getting the debt unenforced LOL

never-in-doubt

noah271007 wrote: »

Have a look at this.

http://www.dailymail.co.uk/news/article-1182926/Taxman-use-database-ID-cards-track-spending-habits-bank-accounts.html

Mate this will not pass parliament and even if so, Human Rights will have a thing to say about it.

Years in the making and to be honest, I have the 'if you don't break the law you have nothing to hide mentality'! Even so, this is wrong that HMRC can in essense spy on people and their finances - what if the person came into money or simply sold their house? I tell you, this Gvt is a joke right now!