Credit checks for banking job in London

Edward7125

Hey everyone! I am applying for a entry level job in a bank in London. However they said if successful pre-employments checks will take place such as credit check.

I just graduated last year and have been unemployed. I was unable to keep up with credit card payments and multiple cards have recently defaulted. None of the creditors are pursuing me for the debt due to medical grounds. Therefore, I have low credit score and multiple defaults but NO IVA, NO BANKRUPTCY, NO CIFAS, NO CCJs ETC.

Does anyone know if I will fail the credit check based on defaults or do they care about iva, bankruptcies, cifas, ccjs? Thanks in advance!

[Deleted User]

Normally they will look for CCJ’s but it’s likely they will look for defaults as well.

When you say none of the creditors are perusing you - are you not actively making payments to these accounts?

What is the status of the accounts?

Edward7125

I stopped making payments around 5-6 months ago. Due to medical evidence they said they will not persue me for the debt as they'd rather me get better so it wouldnt go to debt collectors etc - only marked as defaulted on file. Debts are around £40k unsecured credit card but bank gave me high limits during university time.



They wont do CCJ, CIFAS etc

[Deleted User]

£40k of debt won’t go unnoticed specially at a financial institution.

You’ll need to declare if if they ask.

Are you ever going to be repaying the debts?

They could still apply for a CCJ

[Deleted User]

Almost all financial services firms will do full credit checks on you. Having defaults will likely stop you getting the job.

Managing money poorly (regardless of reason) is a sign you might be vulnerable to fraud or blackmail and therefore a risk to the bank.

Hazzinho

I work at a financial company, anyone with defaults will not get the role.

Edward7125

yes I would of paid the debt back if I could get a job I would pay them back but its a bad cycle to be in, because this job I would of cleared everything in 8 months which isn't a lot really.
What makes them do a CCJ later then now?

[Deleted User]

They could go for one now.
They could go for one later.

It depends how long they want to potentially hold off for.

[Deleted User]

Edward7125 wrote: »

Hey everyone!

Does anyone know if I will fail the credit check based on defaults or do they care about iva, bankruptcies, cifas, ccjs? Thanks in advance!

You won't fail on defaults alone. I'm just back from an recuitment evening at an Energy company (an industry whom I have certainly got into bother with over the last 6 months but I've learnt a thing or 2 this evening so not wasted at all)

Unsatisfied CCJ's are akin to bankruptcy as far as I remember.

I've ended up in two insurance companies over the past year and actually had a DRO 7 years ago and probably plenty of defaults since so believe what you want.

boo_star

Deleted%20User wrote: »

You won't fail on defaults alone. I'm just back from an recuitment evening at an Energy company (an industry whom I have certainly got into bother with over the last 6 months but I've learnt a thing or 2 this evening so not wasted at all)

Unsatisfied CCJ's are akin to bankruptcy as far as I remember.

I've ended up in two insurance companies over the past year and actually had a DRO 7 years ago and probably plenty of defaults since so believe what you want.

I wouldn't say this is true at all, certainly not universally.

In a previous life I worked for a high street bank. During the initial training another inductee was pulled out and told that they had an amount outstanding (and late) for an energy bill. It was erroneous but they were told that unless it was rectified they would be dismissed.

Jmaho

Unfortunately you are very unlikely to be taken in with defaults. Insurance companies may have different criteria to banks. I work for a large Bank and they definitely wouldn't allow any defaults