Response to unauthorised search on credit check?

Based on my own experiences in recent years in the UK while working for banks, and on what I've seen from lenders procedures & documents in response to my SARN's, a credit check to Experian or Equifax provides the finance company with;

1, How many credit checks have been issued against you in the past three months, six months and twelve months. 2, Default status indicators on your credit accounts. 3, Associations with your spouse for credit accounts. 4, Past address history. 5, Total amount of credit currently outstanding.

Many credit applications, and insurance claims, are registered at MCL Software. And MCL Software provide a mis-matching facility, so that if you make even an error on your credit application regarding any of your personal details, then the lender is advised that your application/claim has mis-matches compared with previous applications. Its a bit of a industry wide secret society really, sort of super big brother, but you are not supposed to ever know what is going on or what is happening. If you have too much credit outstanding for your salary, age group, marital status, post code, then your credit score is damaged.

Every bank/finance company has a maximum number of credit searches defined, if you exceed their maximum number of credit searches then this will damage your credit score. If you have any defaults on your credit accounts then this will damage your credit score. If the people you are associated with have defaults, or a lot of credit checks, then this will damage your credit score. If you have moved a lot then this will damage your credit score.

What I think we need is a "Consumer finance company rating service". One that consumers can check with if they are thinking of applying for credit. The Home Repo site provides this with regards to mortgage providers, but I think there is certainly room for somebody to provide a forum with lists of problems experienced by consumers with finance companies.

I also think that these credit industry processes should be clearly defined and published. Why on earth should consumers not know what is going to happen if they try to buy even a £20 interest free lawn mower at B&Q?

The whole credit approval process is much too one sided at present in my opinion. It's getting better, but progress to a much more balanced system is slow.

The DPA is the best thing that has ever happened to promote consumers rights in the UK.

Good Luck.

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