Cash account being reported on credit file

takman

Brooker_Dave wrote: »

So if you have a falling out with a bank or utility and find yourself on one of the credit blacklists, you can just get the same service else where on normal terms?

I know someone who took out phone contracts with the Three network for one friend and also her sister. Her friend stopped paying it and then her sister did aswell and claimed she couldn't afford it. She got letters from Three saying she owed them money but told them she refused to pay it as "the contracts wernt hers". Eventually they cut off her contract too and she had many missed payments and defaults on her credit report from Three.

A few months later she took out another contract on normal terms with EE for the latest phone at the time.

Brooker_Dave wrote: »

It's the truth, and some of you sheep might want to wake up to it?

Again your unable to reply to the points made in my post, if it was genuinely the truth you would easily be able to reply to them.

I have many credit cards which are either on 0% and being used to stooze or cashback cards played in full generating money for doing nothing extra. I have many current accounts and regular savers paying up to 6% interest on my savings and take advantage of switching bonuses as they cone up.

I can do all this due to maintaining a good credit history and I'm getting thousands of pounds a year for the same amount of time you have wasted posting rubbish on this forum.

You on the other hand get no money from any of this due to your misunderstanding of how credit reports work. You can't even argue your point of view and have a sensible discussion about.

[Deleted User]

Brooker_Dave wrote: »

So if you have a falling out with a bank or utility and find yourself on one of the credit blacklists, you can just get the same service else where on normal terms?

Yes indeed - as there are no credit blacklists to find myself on

PaulW922

To get back to the question asked - these accounts are not 'cash accounts', they are current accounts. The basic account still offers the usual facilities such as standing orders and direct debits, although its debit card offering is a bit odd. The accounts report back to the CRAs to enable people to show that they are managing their current accounts well (or not). Someone with a poor or limited credit history can use one to build up some positive reporting. As long as you don't go overdrawn - which is difficult - this type of reporting will benefit you.

tenchy

PaulW922 wrote: »

To get back to the question asked - these accounts are not 'cash accounts', they are current accounts. The basic account still offers the usual facilities such as standing orders and direct debits, although its debit card offering is a bit odd. The accounts report back to the CRAs to enable people to show that they are managing their current accounts well (or not). Someone with a poor or limited credit history can use one to build up some positive reporting. As long as you don't go overdrawn - which is difficult - this type of reporting will benefit you.

How does that work for accounts like the one in question that can't go overdrawn? All that's ever shown against the account is a zero balance. That 'information' is no use to man nor beast, so why is there a need to record it at all?

Shakin_Steve

tenchy wrote: »

How does that work for accounts like the one in question that can't go overdrawn? All that's ever shown against the account is a zero balance. That 'information' is no use to man nor beast, so why is there a need to record it at all?

As has already been said, all that appears on any current account is a big, fat zero, unless you are using the overdraft facility.

tenchy

Shakin_Steve wrote: »

As has already been said, all that appears on any current account is a big, fat zero, unless you are using the overdraft facility.

Yes, that is well-known, but it doesn't answer my question - which is what is the point of it?

[Deleted User]

The CRAs record more information about basic bank accounts than what is seen on a credit report. For example they record what your income is.

tenchy

[Deleted User] wrote:

The CRAs record more information about basic bank accounts than what is seen on a credit report. For example they record what your income is.

This is well-known - CATO, or current account turnover data. You need to issue the CRAs with a SAR to find out what they have on you in this respect. CATO data is very broad brush, and the claim from CallCredit that it's accurate to the penny is absolute bunkum, especially for people like a lot of contributors here, that have complex current account setups. I wonder if the new data protection directives will stamp this out, given that customers have not explicitly agreed to it. Anyway, none of it answers the question as to why non-credit accounts are being reported to, and by, the CRAs.