I suggest a campaign about ...

Reforming consumer credit rating

At the moment the credit rating system is unfairly stacked against the consumer. Lenders make decisions based on arbitrary, sometimes inaccurate information that does not reflect a person's true ability to repay credit. Something as simple as moving house or getting a new mobile phone contract or switching energy provider leaves a negative footrpint. In addition, if you have lived overseas none of this information counts.
We are told that we can send 'notices of correction' if we are unhappy with what is on our credit file but one mortgage adviser told me that this is the kiss of death for mortgage applications. You can also write to companies and request that they update the information they give to the credit rating agencies but it is difficult to know who to write to and they don't seem to act with any urgency which means that lenders are basing their decisions on information which can be over three months old.

When you speak to the credit rating people themselves about what makes a 'good' credit report the advice is ludicrous and conflicting - you have credit, but not too much.

And in any case, why should we constantly have to defend ourselves and keep an eagle eye on our credit report? Surely there is something we can do to make the system fairer? Can't we force lenders to take a look at our information in detail using real, up to date evidence like pay slips and bank statements? Just like bank managers used to do?

4 votes
Vote
Sign in
Check!
(thinking…)
Reset
or sign in with
  • facebook
  • google
    Password icon
    I agree to the terms of service
    Signed in as (Sign out)
    You have left! (?) (thinking…)
    Ruth BartlettRuth Bartlett shared this idea  ·   ·  Flag idea as inappropriate…  ·  Admin →

    2 comments

    Sign in
    Check!
    (thinking…)
    Reset
    or sign in with
    • facebook
    • google
      Password icon
      I agree to the terms of service
      Signed in as (Sign out)
      Submitting...
      • Linda MaybryLinda Maybry commented  ·   ·  Flag as inappropriate

        I agree, how can a person have a bad credit rating when they have no credit, apart from a mortgage maybe, its ludicrous and is very embarrassing especially when told this over a counter in the middle of a busy shop. Who do you ask in authority, no-one, there only seems to be a credit rating company and they tell you to pay £10 to find out why you have a bad rating. I assume if you havent had any credit for years and then you want to e.g. take out a contract on a mobile phone, because they cant find you on the system they automatically give you a bad rating.

      • Steve PriceSteve Price commented  ·   ·  Flag as inappropriate

        Credit rating companies are basically running a protection racket. You pay a monthly fee, or you'll get a bad rating. It's extorsion, how can these companies be allowed to give you a bad rating when they don't have your full details, or do they? Giving you a bad rating is a sure fire way to get you to sign up, especially if they know you can pay! It seems like us Brits just take it!, they say you have to pay, and we do!? WHY. If you have had ccj's, bad debts etc I'm pretty sure they would know about it. Perhaps under those cercumstances they have a role to play, but when they pick on people with no bad history, it's just a legal? money making racket

      Feedback and Knowledge Base