Identity verification frustration

teabelly

To prove my identity to take out finance I need to prove my address. Fair enough. But all my accounts are online and their one piece of acceptable identification has just been lost in the post!! I don't have recent utility bills (only ones older than 3 months) They won't accept mobile bills. All my other bills - broadband, credit cards, bank statements are all paperless! They won't accept any online billed statements. They won't accept council tax bills. It's ridiculous!

So what are we supposed to do for identity verification if the same institutions are making us switch to forms of billing which they won't accept?!

It's not as if it proves anything anyway. I could be a scammer and it would be rather simple just to get a few basic details like employer, DOB, and a bill to fake an application anyway. It's easier to rifle someone's bin than it is to try and gain access to their email account then download bills and guess passwords. And they'd notice if you were sitting at their computer physically but probably wouldn't if you'd fished in their bin during the night!

nelly12

teabelly wrote: »

To prove my identity to take out finance I need to prove my address. Fair enough. But all my accounts are online and their one piece of acceptable identification has just been lost in the post!! I don't have recent utility bills (only ones older than 3 months) They won't accept mobile bills. All my other bills - broadband, credit cards, bank statements are all paperless! They won't accept any online billed statements. They won't accept council tax bills. It's ridiculous!

So what are we supposed to do for identity verification if the same institutions are making us switch to forms of billing which they won't accept?!

It's not as if it proves anything anyway. I could be a scammer and it would be rather simple just to get a few basic details like employer, DOB, and a bill to fake an application anyway. It's easier to rifle someone's bin than it is to try and gain access to their email account then download bills and guess passwords. And they'd notice if you were sitting at their computer physically but probably wouldn't if you'd fished in their bin during the night!

What usually happens in the Motor Trade when this is required is that a customer takes their internet bank statements into their bank and gets them to stamp and sign to verify they are correct. Note the customers address does need to show on the statements. This would normally suffice. Only bank I know that won't stamp and verify in this scenario is Natwest. Why they won't do it who knows?

teabelly

That'd be a right PITA! Town centres are just no go areas at this time of year. Too full of bad tempered and stressed out people!

I managed to find something else suitable so sent off a second lot of paper work and marked it as such. We'll see if that gets there. Not sure whether they'd accept a fax either as that would be another simple solution as would a colour scan via email. There are so many ways of doing this other than by messing around with snail mail.

dunstonh

I don't have recent utility bills (only ones older than 3 months)

Its your most recent utility bill. So, things like water are only annual. So, its not unusual to get one that is 8 months old or whatever. Gas/electric may be quarterly. Any with 2010 on will be fine.

They won't accept mobile bills. All my other bills - broadband, credit cards, bank statements are all paperless! They won't accept any online billed statements.

Its quite right that they are not used.

They won't accept council tax bills.

Council tax bill is considered acceptable. So, their choice not to accept it is theirs and unusual.

Obviously the most common are passport or driving licence.

Not sure whether they'd accept a fax either as that would be another simple solution as would a colour scan via email.

Copies should not be in colour. Technically they should see sight of the original although if there is an abundance of data available that may not always be the case.

teabelly

Their documentation quite clearly states any bills over 3 months old won't be acceptable, including utility ones! This lot are obviously fussier than most.

we also require one of the following pieces of original
documentation dated within the last 3 months, so that we can verify your current address.
Bank Statement (not an internet bank statement)
Credit Card Statement (not an internet statement)
Landline Telephone Bill (not mobile)
Gas or Electricity Bill
Water Bill


Technically, I suppose I could send them a VM printed bill as an online one isn't *specifically* excluded just mobile...

dreamdreamer

I had this issue last year when taking out a BNPL 0% deal for my laptop. All my utilities, bank statements etc were online. They even refused to accept a stamped copy of an internet banking statement. In the end I had to request a paper statement from my bank, which took a week to come through, then post it to the finance company. By which point, despite me keeping them informed of all this, they'd cancelled my application!! Needless to say a strongly worded complaint letter went to them...

This is going to become an increasing problem as more and more companies encourage paperless billing. The financial institutions are going to have to catch up.

teabelly

They certainly are going to have to catch up! I think some offer postal options so if they can post you the forms then clearly that verifies your address as much as having access to other types of statements.

That's shoddy service when you have told them and kept them in the loop all the time. I wonder if MSE should start a campaign so that some kinds of online statements are acceptable? It wouldn't take much effort to *ring* the utility company and check the details. Clearly these finance people are too lazy!

dunstonh

It looks like they have chosen to implement stronger rules than the industry standard. The bottom line is that they are allowed to do this.

It is not uncommon for firms with more stringent rules in place to have been forced to do so because of past failings. Where the FSA finds faults in a company, the company often then has to comply with a tighter process for a period to show that they are now doing things right. These things can often be to consumer detriment potentially.

This is going to become an increasing problem as more and more companies encourage paperless billing. The financial institutions are going to have to catch up.

Its not an issue. Electronic money laundering systems have been in place for over 5 years. Small local IFA firms use them, many of the banks use them. So, there is no reason for any financial firm not to use them.

I wonder if MSE should start a campaign so that some kinds of online statements are acceptable? It wouldn't take much effort to *ring* the utility company and check the details. Clearly these finance people are too lazy!

Why are "these finance people" too lazy? They don't set the European guidelines on money laundering. How about the breach of the data protection act that you are proposing?

teabelly

Then the EU regulations won't work anyway as I'm sure many people could fake some utility bill if the finance companies do not check that they are real. Doesn't take a genius to scan in both sides and print off an amended version on similar quality paper.

If you offer full details of the person and the utility account number to the utility company is it a breach of the DPA to confirm that information is correct if you have authorised the finance company to carry out such a check? I'd have thought not. Allowing a credit check authorises the company to instigate necessary checks so if you provide such information then they should be able to use it. Ditto the employment check. If you say you are employed by XYZ company then they must be able to confirm it otherwise the whole notion of identity verification and credit checking is a nonsense if you provide unsubstantiated and non verifiable information.

dunstonh

Then the EU regulations won't work anyway as I'm sure many people could fake some utility bill if the finance companies do not check that they are real. Doesn't take a genius to scan in both sides and print off an amended version on similar quality paper.

They do work. I have been complying with the rules for nearly 20 years and only once have I failed to meet the required checks. In that case the person was being difficult on purpose. So, I reported him under the money laundering regulations for investigation.

Firms that are found to be using fraudulent copies can be fined millions and the individuals concerned and management can face sacking (if employed), removal of licence to work in financial services again through to fines and even imprisonment. No system is perfect and it shouldn't be expected. However, its not as difficult or awkward as is made out.

If you offer full details of the person and the utility account number to the utility company is it a breach of the DPA to confirm that information is correct if you have authorised the finance company to carry out such a check?

Not if the individual has authorised it. However, it creates a totally unnecessary level of administration when all the person has to do is print out the pdf version of the bill which most utility providers offer as standard.

Allowing a credit check authorises the company to instigate necessary checks so if you provide such information then they should be able to use it.

They do and its that system that the electronic money laundering checks use. The only times this system tends to give a failure is if you have someone that lives in a house name rather than house number, or doesnt have much of an audit trail for applications and isnt on a BT phone or electoral roll. In those cases you fall back to the old way which most people can satisfy.

In the case of this thread, the company in question is not applying industry standard levels. It is choosing to be more stringent. Either they have been forced to do so due to past failures or they have made a business decision to be more stringent and accept less chance of money laundering check failure at the cost of a higher chance of not being able to take on certain individuals business.

jennikitten

teabelly wrote: »

It's easier to rifle someone's bin than it is to try and gain access to their email account then download bills and guess passwords.

Not really, for most things other than online banking they would only need to hack into your email account and read your old emails or search for any company names and then request a password reset.

Many email providers make it easy to hack into other people's accounts with insecure systems and secret questions which usually make your account less secure rather than more secure.

Unless you're logging in securely (the website has a https:// beginning and a padlock symbol/green bar), then people can see exactly what you're doing and incept/read your emails should they wish. Even some major UK companies send out insecure emails from their end which results in compromised accounts.

Then there's endless phishing, scams etc...