Hello! Help in removal of defective default from credit record

[Never-In-Doubt]

Re: Hello! Help in removal of defective default from credit record

Sad to think that in Scotland the period is 5 years not 6, and in Europe its 3 years.

6 years is a life sentence imo.

See here: ---> Credit Agency Data retention 6 years far too long?

[The Debt Star]

Re: Hello! Help in removal of defective default from credit record

Is that so? why haven't I heard this before? 'kin 'el, glad I posted it up. I have about 4 notices of correction.

is manual review such a bad thing?

[Never-In-Doubt]

Re: Hello! Help in removal of defective default from credit record

Is that so? why haven't I heard this before? 'kin 'el, glad I posted it up. I have about 4 notices of correction.

is manual review such a bad thing?

Serious mate? You never heard of that? Ok, basically if you have an active NoC on your credit file then a lender cannot decline you using an automated process so it will get referred at application stage - ie "we'll get back to you in the next 7-10 days".....

If you had incorrect data on there, then a NoC is great cos they may overturn what would normally be a decline, with an accept. However if you have a default that is old and you want it to stay hidden then you DO NOT add a NoC as you're forcing the lender to perform a manual check of the application - sometimes the automated process is better as it only looks for what it was programmed to look for - a human will find older stuff that a computer would miss.

[brando69]

Re: Hello! Help in removal of defective default from credit record

They do not have to comply. No need for them to send another if they have a system note confirming one was sent.

As this is the only default, with 2 years left it's not going to cause toouch harm if you apply for credit. So personally whilst it's unenforceable; I'd just let it go. After 3yrs data is not as important so don't worry about one default so long as your current liabilities are all up to date.

According to my mortgage broker, who was talking about defaults recently, she said the lenders she uses, most of the main ones, look at two things (1) How much the default/s was, one of her Client's was turned down for a £300 default! (2) They only look at 2yrs & over old defaults from the date they were settled, if they are not settled, then they won't even consider it, even if it's 3,4, 5 years + since the date of the default.

Hope that helps, seems like lenders will soon have to relax lending criteria or they will run out of people to actually lend to 's

[Never-In-Doubt]

Re: Hello! Help in removal of defective default from credit record

According to my mortgage broker, who was talking about defaults recently, she said the lenders she uses, most of the main ones, look at two things (1) How much the default/s was, one of her Client's was turned down for a £300 default! (2) They only look at 2yrs & over old defaults from the date they were settled, if they are not settled, then they won't even consider it, even if it's 3,4, 5 years + since the date of the default.

Hope that helps, seems like lenders will soon have to relax lending criteria or they will run out of people to actually lend to 's

This is all explained in the CRA section (I've worked on the CRA systems remember!) - basically the system checks back 3 years unless anything is derogatory within that period, if not then it moves onto the score element, if it finds something it will either pass/refer or fail based on what it has been told to do (ie programmed). So lets say you have a default that is 4 years old, not settled, then applied for other credit and had paid on time etc for the last 3 years, the system would not search back the whole 6 years. If however it found a late payment or something else, it performs a "full 6 year search" and then will refer no matter what!

Its quite complex to explain but easy in practice. Basically they auto score based on address data so if a lender asks for last 3 years addresses, you need 3 years of clear credit. If it asks for 2 years (like M&S - issued by HSBC) then they only perform a 2 year check. If however they are strict like Egg were, they'd want 5 years or 4 years with First Direct.

As I say, it varies from lender to lender... check the CRA section and it's all explained. Mortgage brokers, in fairness don't have much idea - they don't get told anything extra than you or I would, they say anything as if it DID sneak through - they'd get commission.

Most mortgages will search back a whole 6 years and will refuse if you have unpaid defaults, unless you have a lot of deposit to pay / low LTV.

[brando69]

Re: Hello! Help in removal of defective default from credit record

This is all explained in the CRA section (I've worked on the CRA systems remember!) - basically the system checks back 3 years unless anything is derogatory within that period, if not then it moves onto the score element, if it finds something it will either pass/refer or fail based on what it has been told to do (ie programmed). So lets say you have a default that is 4 years old, not settled, then applied for other credit and had paid on time etc for the last 3 years, the system would not search back the whole 6 years. If however it found a late payment or something else, it performs a "full 6 year search" and then will refer no matter what!

Its quite complex to explain but easy in practice. Basically they auto score based on address data so if a lender asks for last 3 years addresses, you need 3 years of clear credit. If it asks for 2 years (like M&S - issued by HSBC) then they only perform a 2 year check. If however they are strict like Egg were, they'd want 5 years or 4 years with First Direct.

As I say, it varies from lender to lender... check the CRA section and it's all explained. Mortgage brokers, in fairness don't have much idea - they don't get told anything extra than you or I would, they say anything as if it DID sneak through - they'd get commission.

Most mortgages will search back a whole 6 years and will refuse if you have unpaid defaults, unless you have a lot of deposit to pay / low LTV.

Useful info for me and others

[The Debt Star]

Re: Hello! Help in removal of defective default from credit record

So lets say you have a default that is 4 years old, not settled, then applied for other credit and had paid on time etc for the last 3 years, the system would not search back the whole 6 years.

Q. my defaults are 5 years old and all unsettled. however, while i am paying the lenders they are not updating my CFS and there are no monthly markers, just "D" and its been that way all along.

so how is that treated by the automated systems? under the radar or picked up by them?

[Never-In-Doubt]

Re: Hello! Help in removal of defective default from credit record

Yep as per normal. So assuming you have other credit upto date and/or nothing derogatory in the last 3 years then those defaults won't affect you at all. Next year they'll just vanish.

[The Debt Star]

Re: Hello! Help in removal of defective default from credit record

Yep as per normal. So assuming you have other credit upto date and/or nothing derogatory in the last 3 years then those defaults won't affect you at all. Next year they'll just vanish.

sweet

[The Debt Star]

Re: Hello! Help in removal of defective default from credit record

should add that this forum's knowledge on CRA issues is second to none. Thank you.

[brando69]

Re: Hello! Help in removal of defective default from credit record

Q. my defaults are 5 years old and all unsettled. however, while i am paying the lenders they are not updating my CFS and there are no monthly markers, just "D" and its been that way all along.

so how is that treated by the automated systems? under the radar or picked up by them?

Just think next year, youll will be having a big removal party

[The Debt Star]

Re: Hello! Help in removal of defective default from credit record

Just think next year, youll will be having a big removal party

yeah, its like coming to the end of a life sentence, only i wasn't sent to australia but slough

[Never-In-Doubt]

Re: Hello! Help in removal of defective default from credit record

should add that this forum's knowledge on CRA issues is second to none. Thank you.

Welcome mate

[MustGetStraigh]

Re: Hello! Help in removal of defective default from credit record

yeah, its like coming to the end of a life sentence, only i wasn't sent to australia but slough

That's punishment

[Never-In-Doubt]

Re: Hello! Help in removal of defective default from credit record

That's punishment

So is being sent to Slough! Ever watch those police chase programmes on tv? Well most are in Slough.....