Mortgages

Credit Rating Guide

Today your credit rating or credit score is used in determining whether a lender will approve your application for a loan, mortgage, credit card or other form of finance.

If you are turned down then you will want to know why. Lenders use the services of credit agencies including Experian, Equifax and Callcredit to make decisions as to whether to extend credit to you. We are all entitled to investigate our credit rating and these three companies will be able to help you.

Equifax, Callcredit and Experian will be able to offer you with all the details that they hold on file regarding your credit score. Prices vary as to the cost of receiving your credit file but do check on each of these agencies for the best deal. Send with your remittance your full name and current address and all will be revealed. You also will need to provide any other addresses that you have lived in for the last six years.

If after seeing your credit file you feel that the information is incorrect and should not appear on your file you can provide a Notice of Correction which will be added to your file, this is a 200 word statement in which you can explain if you feel any circumstances should be taken into account giving the details of the other person/s involved and their relationship to you.

 

If you have been declared bankrupt at any stage and the bankruptcy has since been cancelled then you will need to send an Annulment Certificate or Order of Discharge to the credit reference agencies. The agencies will then update your credit records to show the change so that if it was annulled then it will be wiped from your file and if it was discharged then it will show on your file that it has been discharged. Due to new rules this can be shown on your file after just one year as opposed to previously having to wait three years for a discharge to show.

Reference agencies must send copies of corrections to anyone who has asked for information about you during the past six months. They must also use the corrections in future.

If a debt is paid off in one month then a CCJ can be cancelled via a Certificate of Cancellation (known in Scotland as A Proof of Payment).

If you would like to obtain copies of your personal credit file you will need to write or apply online. Their details are below:-

Experian — Consumer Help Service, PO Box 8000, Nottingham, NG1 5GX.
Further information and to apply for your credit file online go to their website: www.experian.co.uk.

Equifax PLC — Credit File Advice Centre, PO Box 1140, Bradford, BD1 5US.
Further information and to apply for your credit file online go to their website: www.equifax.co.uk.

Callcredit PLC — Consumer Care, PO Box 491, Leeds, LS3 1WZ.
Further information and to apply for your credit file online go to their website. They can offer a standard credit check for £7.50, unlimited access to your report for an annual fee of £29.99 or you can choose a full credit monitoring service for £39.99 a service which helps prevent identity theft: www.callcredit.co.uk.

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