WARNING: Unauthorized Credit Check

ethika

Some mail order companies, and maybe others, are making unauthorized credit checks when a potential customer requests a catalogue! This not only causes an unwarranted 'footprint' on your credit check, it also gives that company private information on your creditworthiness. Information they do not need if you do not place an order!
THIS IS POSSIBLY ILLEGAL!
Some mail order companies allow catalogue requests from their own websites, somtimes catalogue companies take the requests - often as one of the ways to enter online competitions. Not all these sites inform you that before the catalogue is sent and before you decide to make an order, a credit check will be made. Not all the sites request your authority for this check!
IT IS POSSIBLE THAT THIS ACTION BREACHES THE DATA PROTECTION ACT, IS AN INVASI0N OF PRIVACY AND IS AGAINST PUBLIC OPINI0N.
This happened to me and after considerable argument and having reported the company to the Information Commissioner I eventually had all reference to that unauthorized check removed from my credit file.
The company emailed me as follows:
"Please note that a credit check is carried out when a catalogue is requested because we offer a credit facility and also to ensure that the information provided is correct.
I can confirm that our Credit Control Department have removed all entries
from your credit reference file. As requested, I have removed your details from our mailing list, deleted your telephone number from our data base and closed your account."
NOTE: 1 - I had not asked for an account as I had not only not placed an order I had not even received the catalogue.
2 - There is no need for a credit check to check contact details - this can be checked at 192.com or the voters register.
3 - NO APOLOGY WAS MADE!
When I spoke to the Information Commissioner's office, re a possibe breach of the Data Protection Act they expressed concern that any company would make a check prior to a potential customer placing an order.
I was able to give the Information Commission the name of the company involved and the names of about 20 other companies which are associated with that company, all mail order companies, all with similar conditions.
It would be interesting to know how far this invasive practice has spread - perhaps if this has happened to you you could inform the the Information Commission at [EMAIL="mail@ico.gsi.gov.uk"]mail@ico.gsi.gov.uk[/EMAIL].
As the IC office said this could be illegal - but apart from anything else it could reduce one's ability to obtain credit if too many of these unauthorized checks are made.

lisyloo

Hi Ethika,

What you are saying may well be true in some cases.
However it's often the case that there are "terms and conditions" that have to be accepted.
I'm pretty careful, but to be honest I don't trawl through these and I suspect the vast majority of people don't, so in a lot of cases I think it's likely that people have authorised something and not been aware of it.

I'm not dismissing what you are saying as I'm sure both are true in different cases.

ethika

The point the IC office was making was that even if contained in the 'terms & conditions' it is possibly illegal

Bosie

Last year I bought some clothing from Littlewoods online, now I paid with my debit card, didn't request a catalogue or credit. Got my Equifax file and there is a search on my previous address! This I find very odd, I buy stuff lots of times with my card on the net, yet they don't search my address/

Wonder what that was for?

Bo

ethika

So far as I understood the IC office - it is definitely illegal to make an unauthorized credit check on anyone.
ethika

dexters_mum_2

I had the same thing with Littlewoods last year, I could understand if I wanted an account, but I didn't and paid by credit card.

YorkshireBoy

How are the credit report entries listed, ie are they 'search type: credit application' or 'search type: ID verification'?

If the latter (and this includes ID Generic Enquiry etc), then these are classed as unrecorded enquiries (and will be identified as such on your report).

Unrecorded enquiries do not have a detrimental effect because they are not seen by other lenders when searching your file. They're only visible to yourself and the CRA.

PROLIANT

I have several mail order catalogues, there are several providers with different brands under them, littlewoods, GUS, redcats(empire), Freemans, Grattan, JD Williams Group, when you click "accept terms and conditions", if you read them it states that they do a credit check in there.

Bosie

Maybe they just want to check the card is registered to you? The thing is I have bought goods by cash from Freeman's and they never did any type of check.
I never applied for a catalogue with Littlewoods, when it came to paying, it says do you want to open an account or pay now by debit/credit card.
I chose the latter.

thepearce

Next do this.

loneranger

This has happened to me -Shoe Tailor has done a search -Type is Mail Order

I have never asked them for a catalogue/account, or purchased anything from them.