New account on Experian

Chucklechops

Hi there

Yesterday I received an email from Experian, stating that a new account has been added to my file.

Upon logging in to Experian, I've noticed that my usually perfect credit score has dipped, and there is a note that I have borrowed £20.

I have no need to borrow any money (apart from my mortgage), so this has me concerned.

I've just checked my ClearScore, and that's showing 1000/1,000, as it usually does.

Should I be worried? I'm thinking maybe I should take out Experian's free trial, to explore this further.

Many thanks for any help.

Isthisforreal99

The drop in your credit 'score' is neither here nor there as it's totally meaningless.

However you either borrowed or took credit for the alleged £20 or you didn't - surely the new account alert has a bit more detail?

Chucklechops

Hi,

Many thanks for your reply.

When you say the credit score is meaningless, do you mean simply because it's just a small drop in my score (and it's still rated 'excellent')? I mean, to me, a 'loan' of £20 clearly points to some kind of credit agreement, as I pay a lot of my bills by direct debit.

Also, Experian seem to have very recently changed their scoring system as the limit used to be 999, but it's now 1250.

When clicking on the 'new loan' notification on their website, it just takes me to a load of information about loans/mortgage providers/savings accounts I might be interested in - but no details on the 'loan' itself.

They also imply that downloading their app would give me more info, but it doesn't - they just want me to sign up to their service.

I have a feeling this whole thing is nothing to worry about, as why would someone take out a loan for £20? But it doesn't half panic you.

Is it something you would pursue, if you were in my shoes? It's just the drop in credit score that alarmed me.

Thanks again.

Chucklechops

I've had a thought - it could relate to the renewal of my monthly home insurance, which is £19.62 per month. But then, I would expect the 'loan' amount to be for the total annual figure.

Isthisforreal99

Chucklechops said:

Hi,

Many thanks for your reply.

When you say the credit score is meaningless, do you mean simply because it's just a small drop in my score (and it's still rated 'excellent')? I mean, to me, a 'loan' of £20 clearly points to some kind of credit agreement, as I pay a lot of my bills by direct debit.

Also, Experian seem to have very recently changed their scoring system as the limit used to be 999, but it's now 1250.

When clicking on the 'new loan' notification on their website, it just takes me to a load of information about loans/mortgage providers/savings accounts I might be interested in - but no details on the 'loan' itself.

They also imply that downloading their app would give me more info, but it doesn't - they just want me to sign up to their service.

I have a feeling this whole thing is nothing to worry about, as why would someone take out a loan for £20? But it doesn't half panic you.

Is it something you would pursue, if you were in my shoes? It's just the drop in credit score that alarmed me.

Thanks again.

The actual number is pretty  meaningless, only you see that number. Lenders base their decisions on your credit history not some gimmicky number.

Some free apps that give you more info as to whats on your file are Clearscore and Credit Karma.

sourcrates

I got the same email, I haven`t used credit in ten years, so make of that what you may.