Trying to rebuild credit, EE debt holding me back!

[Deleted User]

How does a CRA enforce their blacklist? What happens when a lender tells them that they are prepared to lend to someone on the blacklist, because they deal in the higher risk end of the market for example?

Does the CRA threaten them somehow? Eg by banning them from using their data? How would they prevent the lending going ahead?

jellie

Victoriamia wrote: »

I contacted Lowell and they told me once paid they can not take the default off my credit file

Victoriamia wrote: »

So it will still show I defaulted but I've paid it so the debt will be off.

So basically after speaking to EE and agreeing to settle the debt through them, you are in exactly the same position you would have been in if you had paid the debt off through Lowell. The default will still show, but the debt will show as settled. Which is how it should be.

GingerBob_3

Deleted_User wrote: »

How does a CRA enforce their blacklist? What happens when a lender tells them that they are prepared to lend to someone on the blacklist, because they deal in the higher risk end of the market for example?

Does the CRA threaten them somehow? Eg by banning them from using their data? How would they prevent the lending going ahead?

You seem to be needlessly conflating the issues of blacklists and enforcement. As you know, all the CRAs do is publish information. As to what their customers do with that information is of no real concern to them.


Consider this one: a CC merchant is interested in recruiting some new customers so he sends out a load of those dopey "you are pre-approved...." invitations. On collecting the responses he then consults the CRA blacklist to see if any of the punters are on it. Punters are on the blacklist if they have, say, more than three late payments in a 12 month period. The CC merchant asks the CRA to run an SQL query:


SELECT name, address
FROM credit_file
WHERE name IN mylist
AND COUNT(late_payments) < 3
AND record_date > current_date - 365.


The query generates a real-time blacklist. In this case excluding the potential punters that are on it. It is a 'virtual' blacklist, I'll grant you that; but a blacklist nevertheless.


It's really down to terminology. The CRAs claim they don't have blacklists simply because they haven't got a file actually called "blacklist", but in reality they are in business to compile blacklists.

[Deleted User]

But blacklist means no credit. Otherwise it's just a list.

In your example, if someone is prepared to lend to someone with or more late payments, you need to be able to prevent that.

How?

GingerBob_3

Deleted_User wrote: »

But blacklist means no credit. Otherwise it's just a list.

In your example, if someone is prepared to lend to someone with or more late payments, you need to be able to prevent that.

How?

But the query in my example is constructed in line with the policy of the lender. If the lender is prepared to lend to someone with more late payments then the query is adjusted. The key issue here is the concept of virtuality (if that is a real word - it fails the spell checker :think:)

[Deleted User]

So it's not a blacklist then.

GingerBob_3

Deleted_User wrote: »

So it's not a blacklist then.

Yes, it's a blacklist. The CRAs don't refer to it as such, but that's what it is.

[Deleted User]

Then how do they prevent lenders lending to anyone on it?

You said it was up to the lenders to decide their criteria.

GingerBob_3

Deleted_User wrote: »

Then how do they prevent lenders lending to anyone on it?

You said it was up to the lenders to decide their criteria.

See post #14 (first paragraph)

[Deleted User]

Post #14 describes a lender setting criteria. That is not a CRA determined blacklist.