Joint Account & Credit Rating

YorkshireBoy

cottager wrote: »

Before then AFAIK no process existed for customers to give consent for their information -- positive or negative -- to be shared with CRAs

Pre-1998 the T&Cs of bank accounts did allow the reporting of negative, or 'black', data. It was just the positive, or 'white', data that wasn't being shared with the CRAs.

So if you ran your account well, you couldn't tell anyone else via your credit report that you did! But make a mistake, and everyone would know! Two possible reasons for this:

1. Prevent (cheap) poaching of customers, and

2. Cost saving (I believe it cost the banks money to report an account to the CRAs, and probably still does?).

KingElvis

Avoid it like a dose unless you want your credit "rating" trashed.

cottager

YorkshireBoy wrote: »

Pre-1998 the T&Cs of bank accounts did allow the reporting of negative, or 'black', data. It was just the positive, or 'white', data that wasn't being shared with the CRAs.

So if you ran your account well, you couldn't tell anyone else via your credit report that you did! But make a mistake, and everyone would know! Two possible reasons for this:

1. Prevent (cheap) poaching of customers, and

2. Cost saving (I believe it cost the banks money to report an account to the CRAs, and probably still does?).

Ah... I had a sneaky feeling there were more stages to it, but couldn't quite remember. Thanks for putting me straight. But there was an earlier date (wasn't there???) before which no data was reported? -- when was that?

JohalaReewi

But there was an earlier date (wasn't there???) before which no data was reported? -- when was that?

If it helps, my current account from 1981 does not show on any credit report whatsoever even when overdrawn. So it must have been after 1981.

YorkshireBoy

JohalaReewi wrote: »

If it helps, my current account from 1981 does not show on any credit report whatsoever even when overdrawn. So it must have been after 1981.

A quick look at Experian's company history shows it may have been around 1982...

http://www.experian.co.uk/about-us/company-history/index.html

I remember having to jump through hoops for my first mortgage at the start of that year. All very 'personal' back then at the Huddersfield & Bradford Building Society (now YBS). Don't remember any credit scoring as such, but do remember having to save with them continuously each month for 18 months to 2 years prior to making the application...to prove (as far as possible) that we would be able to meet the mortgage payments.