I have a default on a credit card from 2010. This was due to disappear from my report sometime this year, but debt has been passed on to a new company who are now reporting on my file and threatening a new default for the same debt. Can this be true?
I understand your concern. The new company can register a default under their name but, importantly, the amount and date must be the same as the original entry. And the original entry should be updated with a marker to make it clear the debt has been sold on, so that anyone looking at your credit history in the meantime isn’t misled into thinking there were two separate debts. I suggest you keep an eye on your credit report and, if the second company does register a new default with a new date, let us know so we can dispute this for you. You can find a step-by-step guide of how to tell us if an entry on your credit report is wrong and what’s wrong with it in this previous Ask James answer. (February 2016)
You can find archived Ask James questions arranged under subject headings such as ‘applying for credit’, ‘credit and debt’ and ‘fraud’ at the main Ask James page.
If you have recently moved to the UK, or moved back after a spell abroad, you may be wondering what you can do to start to grow your Experian Credit Score.
You may even be looking to spread your wings and move abroad, and wondering how this will impact your score.
Due to the differences in data protection laws between countries we are some way off having a “global” credit score, we at Experian in the UK only hold information relating to individuals at UK addresses and so moving to or from a new country will mean starting your credit history afresh.
We’ve put together some tips on what you can do to get started on building your credit history.
If you’re…..moving to the UK for the first time
Firstly, you will need to start building your credit history. For those that have moved from another EU country, then the first step to take would be to register on the electoral roll.
EU citizens can vote in EU elections, and registering at your current address on the voters roll will help when you apply for credit, as lenders often use this to help confirm the ID of their applicant. You can find out more about registering to vote at www.aboutmyvote.co.uk
If you are not able to register to on the electoral roll, you can add a note to your credit report (once you have obtained a copy of your credit report) to explain this, called a Notice Of Correction.
Many banks now share information relating to current accounts with overdrafts, so speaking to your bank about such an account could be the next step towards building up your credit history.
As your accounts become more established, lenders will be able to use the information to help make their lending decisions.
If you’re…..moving back to the UK We hold information on closed accounts for six years, so when moving back from a spell abroad there may still be information on your credit report, depending on how long you have been away.
To check for any old information, make sure you supply your old UK address in your application when it asks for a previous address.
If you’re …..moving to another country from the UK ~
As information on your UK credit report is for use within the UK only, we can’t supply your UK credit report to any countries outside of the UK.
If you are moving abroad, you may want to get a copy of your credit report to take with you when you go. This way you would be able to provide a potential lender with your UK credit report yourself should they wish to see it.
The Experian Credit Score is a guide to help you understand your credit report, and how the way you’ve managed the credit you’ve had in the past might affect applications you’re making now. For more information on how to improve your Experian Credit Score, here are our top 5 tips.
Reviewing your credit report can help you look after your finances better. The data & information held there summarises your credit history, so it can be worth reviewing it on a regular basis, and making sure it provides an accurate and up-to-date picture of your credit histories.
Lenders usually check your credit report when you apply for financial products, as it helps them decide whether to offer you the product and which terms to set, such as interest rates. Continue reading →
Did you know the Chinese New Year takes place on Monday 8 February? The 12 cycles of the Chinese Zodiac calendar are of course represented by animals, and this year it’s the Year of the Monkey.
Among several traditions surrounding Chinese New Year, one is to pay all your debts. This is because there is a belief held by some that if you don’t pay off debts ahead of the New Year, then you might find that you’ll end the year in similar shape.
One place to start dealing with debt is to check what’s on your credit report. Continue reading →
Bite The Ballot, a youth-led grassroots campaign formed in 2010, runsNational Voter Registration Drive, and last year’s campaign saw a world-record breaking 441,500 people registered to vote.
Are the young registering to vote? New Experian research has found that the number of people in the UK who will turn 18 this year on the electoral roll fell by 1.69 per cent compared to 2015’s coming of age voters. 56.7% of local authorities have seen the number fall this year. Continue reading →
The Experian Credit Score is a guide to help you understand your credit report, and how the way you’ve managed the credit you’ve had in the past might affect applications you’re making now.
It can also help you keep an eye on your progress while you maintain or improve your credit score before you apply – and here are our five top tips to help you do that.
Tip 1 – Stay within credit limits and keep balances low – The lower your overall balances (not including mortgage), the better. If you can afford to pay off a bit more debt and you want to improve your Experian Credit Score, reducing the balance on your credit cards and overdraft can be useful. Close unused credit accounts if you don’t use them anymore, as lenders can take into account the credit limits available to you, not just what you owe at the moment.
Tip 2 – Try not to make too many applications in a short space of time – A scattergun approach to making credit applications, even if you see it as just shopping around, can have a negative impact on your Experian Credit Score. Each application is recorded on your credit report and if lenders see lots in a short period, they could think that you’re desperate for credit or suspect fraud.
Tip 3 – Set up direct debit payments to make sure credit bills are paid on time – Missed or late payments stay on your credit report for at least six years, and this can have a big impact on your score. Regular payments on time can help build up a good credit account payment history.
Tip 4 – Register to vote at your current address – Lenders use the electoral register to help confirm who you are and where you live.
Tip 5 – Review your credit report regularly – Make sure it’s up to date, and that the information on it is accurate. If you do find anything that needs correcting, contact the relevant lender and ask for an amendment – Experian can also raise a query on your behalf. Even small details like the way your name and address is recorded could have a significant impact.Also check your financial associations with other people.
Missing a credit repayment can happen to everyone – but don’t be tempted to skip or delay your monthly repayments.
Late or missed repayments stay on your credit report for at least six years, so it’s not hard to see how important it is to stay on the right side of repayments. Your credit report can show you if you’ve missed some payments on cards or loans you have.
What happens with missed or late payments?
If you apply for new credit, and lenders see late or missed payments on credit agreements with other lenders, they may be concerned that you will miss payments to them too.
Late or missed payments in the past six years are likely to impact your credit score, meaning that any credit you do apply for and manage to get might cost you more money.
Making Christmas Count Our friends at the Money Advice Trust are #MakingChristmasCount through December, which aims to show that you don’t need to spend a lot to give a thoughtful gift, or a great Christmas experience.
Join @experianexperts on Twitter from 11am-2pm on Thursday 3 December, for a live Q&A from the Business Start-Up Show. Tweet your questions using #AskExperian
People start their own business for all sorts of reasons. Perhaps they’re looking for more freedom, or want to get off the job treadmill, or maybe they just feel ready to take on the challenge of running their own company.
In 2014, there were 587,000 new businesses set up*, more than in any other year on record, most of them small operations with their own challenges.
But whether you’re a plumber setting up a one-person business, a financial adviser setting up a practice with some colleagues, or an entrepreneur launching your own product, there are some things that apply to everyone when it comes to running a business.
Why are Black Friday and Cyber Monday so popular?
Not only is it the busiest pre-Christmas time of the year for internet shoppers, but it neatly follows many people’s final payday before the need to go Christmas shopping. Continue reading →