MSE News: Buying online at Next? Beware – it searches your credit file

simonpfs

I simply cannot believe how a store is allowed to do credit checks which could ruin people lives and get away with it. I've recently purchased some shirts (£25 total) at Next online as I could not find my size in store. I paid by debit card online, I had the money on my bank account and I was definitively not asking them for any sort of credit! As I am applying for a mortgage, because of this check, the bank changed the deal in the last minute. Luckily both myself and my wife have high scores and that didn't screw up our chances.
How is this allowed? I shop for everything online so imagine what would happen if every store decides to do the same. Nobody would be able to get a mortgage. Absolutely disgraceful!

thecatsmother70

In March 2013 I bought a bed base from Next website, paid in full by credit card at the time of order (which is confirmed on the confirmation email) but they still set up a credit account for me, without asking.
First i heard of it was when i received the paperwork through the post. I immediately told them to cancel it as I had not asked for a credit account. This credit account now appears on my credit report – the dates on there are incorrect too (purchase was made 1/3/13, but according to credit report my credit account with them started on 14/1/13 and it appears to have not been fully closed until 19/7/13, despite telling them to cancel the credit account around April).

Now, in September 2014, I receive a letter from Next saying that the interest rate on 'my Credit Account' is changing. Since I had been told by Next in April 2013 the uwanted account had been closed you can imagine my surprise! I phoned through and was told that the account hadn't actually been closed properly!
So not only are Next completely amoral, they are incompetent too! I told them, in no uncertain terms, to immediately fully close the account. Let's see what happens!

monky38

i opened a account with next but they are horrible to deal with and the other thing i want to know if anyone out there knows they change your credit limit up and down for no reason does anyone know if this affects your credit score particularly when they reduce your credit limit as they report when you have an account so wont it damage your report too for instance i started at 250 they then put it up to 650 then dropped it to 500 then increased it to 2000 now i see they have reduced it to 750 and dont know why as i havent had a late payment or missed a payment seems like to me they are doing what they like and getting away with it :mad:

brenty_the_cat

We ordered some furniture last week over the phone and paid by debit card. Now I've had a letter stating we have £600 worth of credit. It implies that this is now activated, there is nowhere in the letter where it says you are invited to take part or instigate this, thius leaves me with the onorous task of ringing Next to quiz them about this. I do not like this approach and I am going to complain......who do I complain to ? It cant be Next because they don't answer the phone !

brenty_the_cat

I've just received advice from the Financial Conduct Authority to either write or verbally complain to Next, keep a record of that complaint, if you don't get a satisfactory explanation then complain to the Financial Ombudsman. I will be doing that.

Marshmallow82

So how are they allowed to do this?

And they charge £3.95 for a directory you don't want! I've made a complaint I hope this is wiped

transparent_opacity

I am outraged by this!

Next carried out TWO credit searches on my file, just because my girlfriend purchased something online with a Christmas gift voucher!

She didn't even use a card. I didn't even buy the item...it was a bikini.

Here's what Next had to say:

I haven't been able to find any application or account for you. The search may have resulted from a third party, whom you are financially linked with, applying for a Next Directory account. The Terms & Conditions explain "Credit searches and other information which is provided to us and/or the credit reference agencies, about you and those with whom you are linked financially, may be used by Next and other companies if credit decisions are made about you or other members of your household". It seems that a financial associate has registered their details with us and we cannot remove this search.

At times, if an applicant only wishes to purchase items on a cash basis, then a quotation search will be recorded on the credit files. This is a soft search only, which confirms the customers details and is used by us to prevent fraud. This shouldn't affect the credit rating and can only be seen on files by the customer, financial associate, us and the credit reference agencies.

sarah1972

Marshmallow82 wrote: »

So how are they allowed to do this?

And they charge £3.95 for a directory you don't want! I've made a complaint I hope this is wiped

Just call them and tell them that you don't want the directory, I did and they said thats fine and credited my account with the £3.95.

LondonGirl252

I received a statement from Next last night for a credit account with them.


About a year ago I made an online order and when I realised what had happened I called up immediately and asked for it to be closed which they confirmed it would.


Now I receive I statement saying I owe them £3.95 for a directory I do not want and have not requested and when I check my credit report there it is £600 of credit, I'm about to apply for a flipping mortgage this is the last thing I want!!


On top of this the last few things I have bought in store have lasted about 2 wear before the seams have come undone.


Off to write to them and complain as well as call up and get this account closed once and for all!

MrBizzle

Ok, so I was at work and I get a text message from my credit reporting company. They tell me a change has been made because of recent activity on my credit file. So a little digging and I find that 'NEXT' have performed a credit check for a new credit account. I was furious at this point so at 10.45pm decided I could not actually wait until the morning. I am someone that would allow this to agitate my mind all night and I will not get any sleep. Thank god they are still available to talk. I called them in a phone call that lasted 34 minutes. I have been told that it is to check my identity. (phft!).
What a load of flannel. I did not lose my rag. It was not the young lady on the phones problem and there is nothing she can do but apologise. She stated that when I made my purchase online and paid with my card I should have read the bit about 'NEXT' doing a ""Soft" search". Why do they call it a soft search? Is it to try and make you feel more comfortable with the fact that they were using your personal data unjustly with no appreciation for their customers!! I am furious. She has offered to get someone more senior to talk to me. I told her it would waste my time to be told the same as what she has told me. So I have decided to get the conduct authority to have a word!! Which will be the first thing I do in the morning.
Is there hope?