Need help with partner's bad credit

GDB2222

Tarambor wrote: »

Report her mother for fraud. That is the only option that gives you any remedy for this situation.

That's one highly effective way of ending the relationship. More permanent than just changing your Facebook status to single without telling your partner, sending a text, or all the other ways modern tech provides.

Nasqueron

GDB2222 wrote: »

That's one highly effective way of ending the relationship. More permanent than just changing your Facebook status to single without telling your partner, sending a text, or all the other ways modern tech provides.

Taking out credit in sonmone's name and trashing their rating stopping them getting a mortgage is even more effective

PixelPound

My opinion on the Q's

1. Easy, very little checks are done. It's not uncommon to see a credit file with a variety of DOB, often simply because the operator opening the account over the phone misheard it or the person entering the details in a computer from a paper form misread it
2. The defaults will affect your ability to get a mortgage, if they carry on being unpaid it could mean CCJ's
3. Not really, its fraud and to resolve it (i.e. to get it taken off the credit reports) needs reporting ASAP, but then the mother may be investigated for committing fraud. If you don't want to report fraud, then its a case of accepting that you will have to pay off these debts and suffer the credit hit, and just hope the mother doesn't open more accounts.

ywlgy

nic_c wrote: »

My opinion on the Q's

1. Easy, very little checks are done. It's not uncommon to see a credit file with a variety of DOB, often simply because the operator opening the account over the phone misheard it or the person entering the details in a computer from a paper form misread it
2. The defaults will affect your ability to get a mortgage, if they carry on being unpaid it could mean CCJ's
3. Not really, its fraud and to resolve it (i.e. to get it taken off the credit reports) needs reporting ASAP, but then the mother may be investigated for committing fraud. If you don't want to report fraud, then its a case of accepting that you will have to pay off these debts and suffer the credit hit, and just hope the mother doesn't open more accounts.

Regarding your 1st point, how can this happen?

If these companies do credit check upon application using misread DOB, they would not find the credit file of the applicant because there is no such person. Even if they ignore this and start reporting wrong DOB to CRAs, these wrongs entries would not be attributed to the credit report when the next company requests credit report using correct DOB. Those entries will create a new 'person'.

PixelPound

ywlgy wrote: »

Regarding your 1st point, how can this happen?

If these companies do credit check upon application using misread DOB, they would not find the credit file of the applicant because there is no such person. Even if they ignore this and start reporting wrong DOB to CRAs, these wrongs entries would not be attributed to the credit report when the next company requests credit report using correct DOB. Those entries will create a new 'person'.

On the assumption that the daughter lived with the mother then the address link will be there. Creditors don't see a credit file, like you see a credit file, so that would be a wrong assumption. They won't perform a hard search they may simply a soft one to verify an address connection or not even bother. They have to report the DOB as given, and can't manipulate it - even if the given DOB has operator error at some point.

Candyapple

GDB2222 wrote: »

But the fiancee hasn't committed fraud. Not even a little bit.

The fiance may be an innocent party, however by not reporting her mother to the police and getting that all important crime reference number - in the eyes of the lender she will have committed application fraud. In actual fact, she could fall under categories 3, 6 or 7.

0 - Protective Registration - Recorded at the request of the person named.
1 - False Identity Fraud - Use of a false name with an address.
2 - Victim of Impersonation - Use, by another person, of this name and/or address.
3 - Application Fraud (Facility Granted) - Use of name reasonably believed to be genuine, but with one or more material falsehoods in personal details or other relevant information -; the facility was granted.
4 - Application Fraud (Facility Refused) - Use of a name reasonably believed to be genuine, but with one or more material falsehoods in personal details or other relevant information -; the facility was refused.
5 - Conversion - Conversion (disposal or sale) of goods (to which the hirer/buyer does not have title) under a hire purchase, conditional sale, contract hire, leasing or rental agreement.
6 - First Party Fraud - Opening an account or other facility for a fraudulent purpose, or the fraudulent misuse of an account or facility.
7 - Aiding & Abetting - Aiding, abetting or assisting, or conspiring with, another or others to fraudulently procure credit, or other facilities, or hire products or services.
8 - Insurance Claims Fraud - The making of a claim(s) under one or more insurance policy (ies) with one or more material falsehoods or by presenting a false or forged document.

It's not as easy as phoning up a lender and saying 'can you transfer the account I have with you which is in my name which I owe x-amount of thousands of pounds on to my mum please'. An entire fraud investigation would happen and that's when the CIFAS marker would be applied to the fiance, not the mother, because the accounts are held in her name. CIFAS markers are no joke.

Sadly if she doesn't report the mum and the mum clears the debts next year, those late payment markers will still affect the OP and his fiance as they are going to be limited to subprime lenders with high interest rates so ultimately will still be paying for her mother's mistake over the initial 2/3/5 year introductory period of whatever mortgage deal they get until they can remortgage after a few years once the late payments have dropped off or no longer affect the credit history.

mikeopvc

banking wrote: »

We have a combined pre-tax income of around £25000, We each have a help to buy ISA and currently have around £12k saved for a deposit, we were planning to buy a home next year in the region of £150k-200k.

Thanks

banking wrote: »

We'll have another year of saving's by this time next year (maybe another 10k) and I'm hoping and praying that the house prices fall. If they don't, we could always settle for something around 120-130k. I'm more concerned about her credit. She's adamant that she will not report her for fraud (which I understand), I'm just looking for other options and trying not to let it affect our relationship.

Wow, how do you save 10k a year?

[Deleted User]

mikeopvc wrote: »

Wow, how do you save 10k a year?

Is that a sarcastic or serious question?

Candyapple

!!! wrote: »

Is that a sarcastic or serious question?

I think he means how do they manage to save £10k a year given their combined salaries are only £25k. Chances are they are both living rent free with family which means minimal expenditure, either that or they live in a really poor part of the country where the rents are like £200 per month which would explain the ultra low salaries for 2 adults of working age.

Faintlol

I only earn 24k a year, have a car out on finance, pay rent, paid for a 2k holiday and my mobile phone and am currently saving 800 a month by myself, so 10k is easily achievable for me. Just about making cuts where you can I have found.