Credit health in the armed forces.

JBNightingale

Ok I'm not sure if this has been addressed but a quick google leads me to believe it hasn't.

I live on a Naval base and have recently applied for a a new mobile phone contract which has obviously triggered all the usual credit checks etc, so after sending proof of my address (bank statement) and a scan of my passport I was surprised to find that the request was declined.

I was under the impression I had an excellent credit rating, good secure income, all bills paid by direct debit on time, etc, etc.

The problem seems to have come from having a frequently changing address as is typical of many members of the armed forces.

In the past I have always used my last civilian address (my parents) and have never been refused a contract even though this was essentially a bit of a fib, on this occasion however I used my bank account billing address (where I currently live) and gave my previous billing address (another naval base) to cover the 3 years address history requirement.

The impression I get from this is that passing a credit check is more of a game than an indication of how financially reliable you are.

In an attempt to resolve the problem I am currently awaiting a credit report from experian. This should tell me what admin I need to carry out to strengthen my credit rating although I expect it will tell me what lies I need to put on my application to be accepted.

My advice following this would be to leave your address in all respects at a permanent civilian address whether you in fact consider your self to live there or not. This however raising problems voting, verifying accounts (e.g PayPal), receiving items purchased on-line to an address other than your billing address, etc, etc.

So is the credit check system flawed for members of the armed forces? It certainly seems so to me!

If any one else has come across similar problems or a solution please let me know.

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slummymummyof3

Are you on the electoral register?

JBNightingale

I applied earlier this week as a result of this problem, previously I have filled in and sent forms to nominate a proxy voter when they came through the post with out really looking in to it.

Just done a search and I show at my parents address on the electoral roll 2004-2005, perhaps it would have been successful if I gave that as my address since birth..... although it wouldn't match the address on my bank account.

minirolo2004

EXACTLY the same thing has just happened to me...

http://forums.moneysavingexpert.com/showthread.html?t=2208865&highlight=buying+house+but+no+credit

Oh and Experian wanted a copy of 2 utility bills from me and a copy of my passport.

tin143

This has always been a problem for us too! I am going back quite a few years when we rang BT to fit a phone in a house we lived in on an army base and we were told we had to pay £100 upfront although we had had a phone at other addresses!
The problem seems to be worse when you move countries too. When we opened a bank account in Germany we had "Foreigner" stamped across our cheques. We could not get a cash card and had to have the cheques signed by the bank before we could get any cash! Talk about feeling like a second class citizen!
A well paid secure job with a safe income does definately not make for good credit history!
And I cannot see any way around it apart from lying either

13Kent

Get on the electoral roll, get a credit card and use it - even if it is just for a tiny amount each month and make sure you pay it off on time each month, and you can also add a note onto your credit thingy with experian explaining your circumstances.

Adamjon

I too am having the same problem. I have lived on RAF bases for over 8 years now and have always used these addresses as my home address. My parents address changed soon after joining up so never had the option of using that address having never lived there (unless I lied). Currently, I am dealing with Experian and Equifax (the two main credit report providers) and I am having differing problems between the two.

The main one with Experian is the the way they see addresses. I input my address details to Experian in the same format I do to credit card, mobile phone, broadband, etc (and as stated in station standing orders). Unfortunately, my credit providers computer systems alter the address format slightly because it does not EXACTLY match the Royal Mail format from the postcode. Experian the view theses differences as different addresses so do not link them to my credit report. After much communication with customer services, they tell me they have linked all my accounts. Looking at my credit report reveals this is not the case and they have totally randomised my previous addresses. Pulling my hair out but still trying.

Equifax only link addresses that EXACTLY match Royal Mail FULL STOP. Thier advice was to register my address format with Royal Mail. On speaking to Royal Mail, they only register addresses that a postman can deliver to so, in my case, is the central registry for whatever camp I'm currently living on. Total dead end!

I am registered to vote with my local council and have been with previous addresses. What I have described above makes this useless in a credit reference sense.

What I am trying to do now is use the Royal Mail address format but adding my squadron identity as the first line. I'll post on here if I make any progress.

This problem needs addressing (no pun intended) by the credit reference companies. At the end of the day I'm paying a monthly fee to view my non-existant report and they make it out to be my fault. I'm earning an good salary with guarenteed employment and have no debts. Due to the failings of these companies I can't even get a £10 a month mobile phone contract. Even my own bank won't give me a credit card because they use the credit referencing companies and don't simply look at my bank statement. My main concern is that I will never be able to get a morgage in the future.

JBNightingale, I too recently had the same problem applying for a mobile phone contract. I provided Forces ID, passport, driving license, payslips, bank statements, previous mobile bills and broadband bills. Thier response was that they couldn't confirm my identity. An absolute joke if you ask me. I'm serving time for my country but if I want a bit of credit, I don't exist!

Sorry if I've ranted but it's striking a very big nerve for me. Hopefully, through this forum we can come up with a solution and lobby the credit reference companies. There must be thousands of serving armed forces that share this problem and it would benefit many if the three services provided help and advice with this issue.

Thanks for reading and I'll post with any progress/brick walls.

Adam

Adamjon

Some more forces people with the same problem

www arrse co uk/Forums/viewtopic/t=4928/postdays=0/postorder=asc/start=0.html

Just found this too

www experian co uk/consumer/crhc_html/askjames99.html

Not good if you've never lived at your parents/family home. Would still have to provide previous address information for 3 years too. Doesn't help those without a family also.

The leaflet linked to in the above page helps those that live in quarters but not those on base/mess etc

Sorry, can't link because I'm a new user