Barclaycard proof of income error

TahmidurMiah

Hi

I applied for a Barclaycard this morning and it gave me a £200 limit and said I could unlock a higher limit after I provided proof of income. It gave me two options either transunion or upload, so I chose transunion. The problem was that I get paid on two different accounts, so I tried to exit it, but it gave me an error saying my credit rating had not been affected?
I had to exit it now, and I haven't received any emails from Barclaycard requesting proof of income. Should I wait a few days or call them?

[Deleted User]

TransUnion don't know your salary (I hope you didn't give it to them anyway) so how would that prove it?

I would ring them up and ask about the application and offer to upload your payslips, P60 that sort of thing to prove income

K_S

Deleted_User said:

TransUnion don't know your salary (I hope you didn't give it to them anyway) so how would that prove it?

Barclays offer the option of using Open Banking to verify income with the customer's permission and using a system operated by TransUnion. I presume that's what the OP is referring to. 

[Deleted User]

K_S said:

Deleted_User said:

TransUnion don't know your salary (I hope you didn't give it to them anyway) so how would that prove it?

Barclays offer the option of using Open Banking to verify income with the customer's permission and using a system operated by TransUnion. I presume that's what the OP is referring to. 

I wouldn't let a CRA know my income and I don't see how they could expect to get that info from TransUnion given CRAs don't know your income unless you tell them but thanks for the explanation

dr_adidas01

Deleted_User said:

K_S said:

Deleted_User said:

TransUnion don't know your salary (I hope you didn't give it to them anyway) so how would that prove it?

Barclays offer the option of using Open Banking to verify income with the customer's permission and using a system operated by TransUnion. I presume that's what the OP is referring to. 

I wouldn't let a CRA know my income and I don't see how they could expect to get that info from TransUnion given CRAs don't know your income unless you tell them but thanks for the explanation

I think you’re missing the point they are now starting to use open banking. Barclaycard have decided to use TransUnions secure open banking service to help verify a customers income. 

If you google TransUnion open banking service it says this on its official website. 

TransUnion’s Open Banking Platform makes it simpler than ever to onboard consumers in the digital age. This end-to-end product developed entirely in-house enables consumers to share their financial data through a secure, seamless screen flow — hosted in a safe, agile environment.

Once a user consents to the open banking process, insights gained can be used to determine creditworthiness and affordability.

It’s just a service that they can use to check your income matches or is close to what you have stated on your income. 

I can’t find anything to suggest that TransUnion will use it for CRA purposes. 

You also need to be aware that banks do share current account turnover with the CRA’s using the Currant Account Turnover system or CATO for short. 

lonibra

Banks already have ways to know your income without asking for your payslips, etc. When that fails, they will ask for other methods such as Open Banking, physical proof, etc.

https://www.telegraph.co.uk/personal-banking/current-accounts/how-your-bank-spies-on-your-exact-monthly-income---and-shares-it/

[Deleted User]

dr_adidas01 said:

Deleted_User said:

K_S said:

Deleted_User said:

TransUnion don't know your salary (I hope you didn't give it to them anyway) so how would that prove it?

Barclays offer the option of using Open Banking to verify income with the customer's permission and using a system operated by TransUnion. I presume that's what the OP is referring to. 

I wouldn't let a CRA know my income and I don't see how they could expect to get that info from TransUnion given CRAs don't know your income unless you tell them but thanks for the explanation

I think you’re missing the point they are now starting to use open banking. Barclaycard have decided to use TransUnions secure open banking service to help verify a customers income. 

If you google TransUnion open banking service it says this on its official website. 

TransUnion’s Open Banking Platform makes it simpler than ever to onboard consumers in the digital age. This end-to-end product developed entirely in-house enables consumers to share their financial data through a secure, seamless screen flow — hosted in a safe, agile environment.

Once a user consents to the open banking process, insights gained can be used to determine creditworthiness and affordability.

It’s just a service that they can use to check your income matches or is close to what you have stated on your income. 

I can’t find anything to suggest that TransUnion will use it for CRA purposes. 

You also need to be aware that banks do share current account turnover with the CRA’s using the Currant Account Turnover system or CATO for short. 

Again, missing the point - I wouldn't give CRAs my salary details regardless of method of access. All a gradual step towards the American credit score system where you don't get a mortgage unless you have a certain score. CRAs serve a purpose, don't give them more power than they need

williewonder

Vanquis asked for proof of my income. They were happy with my disability benefit letters as proof.

Barclaycard did TransUnion to check my income from my Nationwide account. I only have £135 a week paid into it. They didn't ask fro disability letters. I was accepted for a £1200 credit limit which I believe is quite high for first acceptance?

K_S

Deleted_User said:

Again, missing the point - I wouldn't give CRAs my salary details regardless of method of access. All a gradual step towards the American credit score system where you don't get a mortgage unless you have a certain score. CRAs serve a purpose, don't give them more power than they need

@farfetch I fully empathise with your position but, as mentioned by one of the posters above, unfortunately that ship has sailed a long time ago (around 2014-15 or so I think) when banks started giving credit bureaux information on account holders' current account raw data (all transactions data, in and out, matched across all linked accounts). Callcredit (now Transunion) were the pioneers, followed by Equifax and Experian.

The banks then purchase this data from the credit bureaus and use it to verify income when an application for credit is made by the individual.

The article shared above is quite an eye-opener. As per CallCredit in 2016, their data "would show all income, whether this was wages or pensions or regular payments between spouses.It would also include income from rental properties or other investments. And it would be accurate to the penny".

It's crazy but short of uplugging yourself from the grid or being one of those lucky older customers who haven't opened a new current account (and thus haven't signed up to the new T&Cs which allow the bank to share your data) in a very long time, what can you do. 

Over the last few years, more and more lenders are fully using CRA income data to verify income for mortgages. In my line of work this means customers not having to provide payslips or bank statements even when the applicant banks with a third party.