How do creditor know how much you earn?

DarnIt_3

Okay...I am being really blonde!

How do creditors know when your income to debt ratio is high?

Do they rely on what you tell them? The reason I ask is so many people are getting into debt, but I always assumed that every bank account you have is on your CR and they would state how much goes in monthly, but I have learned this isn't the case, and that banks without overdrafts are not seen on you CR.

So I guess my query is, could someone tell a creditor they earn 100K when they in fact earn 10k?

crazyguy

They could but a creditor or potential new creditor would want to see proof of income !

DarnIt_3

crazyguy wrote: »

They could but a creditor or potential new creditor wouuld want to see proof of income !

Thats okay then, I just thought that your CR would show something to prevent fraud.

no_choice_now

Well creditors want to see evidence of income, which certainly isn't the same as proof of income. I can offer evidence I dated JLo but that's not proof I did. Give them whatever evidence they want to see but let it prove nothing.

crazyguy

no_choice_now wrote: »

Well creditors want to see evidence of income, which certainly isn't the same as proof of income. I can offer evidence I dated JLo but that's not proof I did. Give them whatever evidence they want to see but let it prove nothing.

Are you not being a tad pedantic here,

Evidence/proof there is little if no difference

antrobus

DarnIt wrote: »

Okay...I am being really blonde!

How do creditors know when your income to debt ratio is high?

Do they rely on what you tell them?

Some do.

DarnIt wrote: »

The reason I ask is so many people are getting into debt, but I always assumed that every bank account you have is on your CR and they would state how much goes in monthly, but I have learned this isn't the case, and that banks without overdrafts are not seen on you CR.

No, banks don't go around telling everyone what their customers earn or how much money they pay into their accounts. All they do is report the fact that you have an overdraft, and its status.

DarnIt wrote: »

So I guess my query is, could someone tell a creditor they earn 100K when they in fact earn 10k?

Yes they could. However there's a technical legal term often used to describe this kind of thing being, of course, 'fraud'. Criminal penalties may well result.

DarnIt_3

antrobus wrote: »

Some do.



No, banks don't go around telling everyone what their customers earn or how much money they pay into their accounts. All they do is report the fact that you have an overdraft, and its status.



Yes they could. However there's a technical legal term often used to describe this kind of thing being, of course, 'fraud'. Criminal penalties may well result.

Isn't that awful though, that people can do that. No wonder people are getting into masses of debt if there is no genuine way to check.

no_choice_now

crazyguy wrote: »

Evidence/proof there is little if no difference

Proof is the perfection of evidence, there is a big difference.

chuckley

they must know bits... coz I had 1 creditor phone me asking me to use another credit card to pay off a debt as it 'had available funds'. not true, the 'available' funds card on my report was in error.