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  • FIRST POST
    • sophiesophs
    • By sophiesophs 16th May 19, 12:30 PM
    • 4Posts
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    sophiesophs
    Adding a signatory with poor credit
    • #1
    • 16th May 19, 12:30 PM
    Adding a signatory with poor credit 16th May 19 at 12:30 PM
    Hi all,

    I have recently been asked to become the third signatory on the bank accounts of the company I work for.

    I have a debt management plan and a very poor credit rating (think 300), I was advised that I wouldn't need a credit check, but when filling out the paperwork, it asked me to consent to a credit check?

    I am pretty terrified now that I am not going to be passed for this reason. I have no defaults etc just what I mentioned and the company is a Limited company. I am not a director either.

    Can anyone advise? Would be much appreciated as I am sick with anxiety over this!

    The bank we use is ICICI if anyone has experience with that or any other UK bank please!

    Thanks in advance!
Page 1
    • zx81
    • By zx81 16th May 19, 12:38 PM
    • 22,027 Posts
    • 24,014 Thanks
    zx81
    • #2
    • 16th May 19, 12:38 PM
    • #2
    • 16th May 19, 12:38 PM
    Shouldn't be an issue.

    But if you're in a DMP, you'll have defaults, unless they've dropped off.
    • Gary_Dexter
    • By Gary_Dexter 16th May 19, 12:39 PM
    • 4,415 Posts
    • 2,837 Thanks
    Gary_Dexter
    • #3
    • 16th May 19, 12:39 PM
    • #3
    • 16th May 19, 12:39 PM
    You don't have a credit score or rating, so no one will see it anyway.

    You either need to consent to it and proceed, or decline and not proceed.
    • sophiesophs
    • By sophiesophs 16th May 19, 12:43 PM
    • 4 Posts
    • 0 Thanks
    sophiesophs
    • #4
    • 16th May 19, 12:43 PM
    • #4
    • 16th May 19, 12:43 PM
    You don't have a credit score or rating, so no one will see it anyway.

    You either need to consent to it and proceed, or decline and not proceed.
    Originally posted by Gary_Dexter
    Thanks for your reply! Just wondering what you meant about not having a credit score?
    • Willing2Learn
    • By Willing2Learn 16th May 19, 12:53 PM
    • 2,934 Posts
    • 2,471 Thanks
    Willing2Learn
    • #5
    • 16th May 19, 12:53 PM
    • #5
    • 16th May 19, 12:53 PM
    Just wondering what you meant about not having a credit score?
    Originally posted by sophiesophs
    Lenders neither see nor use your credit score as it is for your eyes only. Lenders independently score you against their criteria and policies using the data held in your credit file, added to the data you submit in a credit application, added to the data the lender may already hold on you as an existing or returning customer.

    Your score can therefore be ignored.

    Edit: Oh yeah. Forgot to say welcome to the forum sophiesophs
    Last edited by Willing2Learn; 16-05-2019 at 12:56 PM.
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    • Tarambor
    • By Tarambor 16th May 19, 12:57 PM
    • 5,054 Posts
    • 3,974 Thanks
    Tarambor
    • #6
    • 16th May 19, 12:57 PM
    • #6
    • 16th May 19, 12:57 PM
    Thanks for your reply! Just wondering what you meant about not having a credit score?
    Originally posted by sophiesophs
    The score you see is one generated by the credit reference agency, mostly as a marketing tool to try to get you to sign up for financial products through them. Lenders cannot see your score from Experian/Equifax etc and generate their own internal score based on their own internal unknown algorithms using the contents of your credit history therefore the score you see is about as much use as a chocolate fireguard. Therefore you need to focus on the positives and negatives listed, not the number.

    There are plenty of people on this and other boards with perfect 999 scores unable to get a mobile phone contract, some who have recently gone bankrupt who still have 999 scores.
    • Ben8282
    • By Ben8282 16th May 19, 8:01 PM
    • 2,957 Posts
    • 1,549 Thanks
    Ben8282
    • #7
    • 16th May 19, 8:01 PM
    • #7
    • 16th May 19, 8:01 PM
    Who is going to carry out this credit check, the bank or your Employer?
    Becoming an authorised signatory should not require a credit check as nobody is going to lend you money and I would think that the only thing that would really prevent this is a fraud marker. The bank probably needs to carry out ID checks though.
    However, please do not take offence but people with debts are more likely to be tempted to steal from or defraud their employers to pay their debts and the DMP could be of concern to your employer when it comes to trusting you in this capacity.
    • sophiesophs
    • By sophiesophs 17th May 19, 2:34 PM
    • 4 Posts
    • 0 Thanks
    sophiesophs
    • #8
    • 17th May 19, 2:34 PM
    • #8
    • 17th May 19, 2:34 PM
    Does anyone have any personal experience with this?
    • sophiesophs
    • By sophiesophs 17th May 19, 2:36 PM
    • 4 Posts
    • 0 Thanks
    sophiesophs
    • #9
    • 17th May 19, 2:36 PM
    • #9
    • 17th May 19, 2:36 PM
    Who is going to carry out this credit check, the bank or your Employer?
    Becoming an authorised signatory should not require a credit check as nobody is going to lend you money and I would think that the only thing that would really prevent this is a fraud marker. The bank probably needs to carry out ID checks though.
    However, please do not take offence but people with debts are more likely to be tempted to steal from or defraud their employers to pay their debts and the DMP could be of concern to your employer when it comes to trusting you in this capacity.
    Originally posted by Ben8282
    Hi, it would be the bank carrying out the credit check?

    I am not sure why, perhaps they need to do this if the company has a credit card associated with their account?
    • MEM62
    • By MEM62 17th May 19, 3:37 PM
    • 2,363 Posts
    • 2,003 Thanks
    MEM62
    I was advised that I wouldn't need a credit check, but when filling out the paperwork, it asked me to consent to a credit check?
    Originally posted by sophiesophs
    Does anyone have any personal experience with this?
    Originally posted by sophiesophs
    Yes, and I think you might be confused. I am sure that if you check with them you will find that you will be subject to and ID check - not a credit check. Credit checks are not done on individuals being appointed as signatories on company accounts.

    I have just changes one of our business accounts from Barclays to Handlesbanken. All directors and signatories had ID checks but not credit checks.
    Last edited by MEM62; 17-05-2019 at 3:39 PM.
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