Credit Checks

[scoobydooby]

Does anyone know whether a company can go ahead and run credit checks on you without your knowledge? I've received a letter this morning thanking me for my 'credit card X application'. It went on to say my application was successful and the card would follow in a few days! I've contacted the company concerned but how the hell did they manage to do this??? I've always thought that credit checks show on your file and each check could potentially cause someone to refuse you one day (as they think you've been applying for lots of credit). I'm furious about this. Can someone please help me?

[CheekyChops]

They are not supposed to, no. If you think about it, they won't have ful details, like your salary details, length of time in employment, home owner or not etc etc.

I would pay for Experian and get a copy of your credit file and see if there are any searches registered by this Company.

[Oneeyedvic]

Did you apply for a credit card with the company? On the assumption that you did not, then the company is breaking the law if they have searched you. As cheekychops say, get a copy of your credit reports from www.experian.co.uk and www.equifax.co.uk If they have searched you it will show up on your credit search and you can take the appropriate steps.

However, this may be a marketing ploy, and they have accepted you subject to a credit check.

[stevie21]

could be as fraudulent application, at worst "identity theft" but it'd be an idiotic criminal that applied for credit in your name and had the credit card sent to you!!

If you're wary of anyone applying for credit in your name then I believe that you can have a password put on your credit file so that when you apply for credit you need to
1. give permission for the credit search, and
2. quote this password

[scoobydooby]

Thanks for all that info. Basically, it's my bank (who I've been with for years). They're constantly phoning me to try to get me to take out loans/credit cards etc. I have a good credit rating and already have a credit card I'm happy with (if that's possible!). I know banks often employ outside call centres to cold-call customers. I was contacted by a chap who (after mentioning the credit card) asked for my DOB. He said he needed to verify that I was who he thought I was. I very politely told him I wasn't prepared to answer his question as he'd rung me and I didn't want the credit card anyway. A week later I receive a letter to say I've been accepted. I rang the bank today who confirmed the card was on it's way and I made them cancel it. However, I'm still really concerned about how they were able to proceed with the application without my knowledge - very scary, and although I've also written a letter, I'm concerned that the chap on the phone was being paid commission and decided to 'stitch me up' because I didn't play ball. Could he have proceeded with the application by inventing income/employment etc?

[Oneeyedvic]

Yes very easily - your bank may often not even bother credit scoring. I do know that I have applied for a loan before from my bank and as I had an account that was always in credit and they could see a regular income going through, they never credit scored me (as I checked with the agencies).

It would be easy for the rep to fraudulently fill in the details - after all he has your income (can see a monthly figure going in) and he has your date of birth.

I would complain strongly to your bank in writing and ask for an ivestigation and response. Give them a date to refer back to you by and threaten to take further (banking ombudsman, trading standards and watchdog)

[stevie21]

I've heard of one incident where a bank had carried out a credit search without the permission of the customer - this was taken VERY seriously by the customer who escalated their complaint as far and high as it's humanly possible to escalate.
They were given a chunk of cash - I can't remember the exact amount but it was not a trivial amount. I think this one either went to the ombudsman or got very close and the thread of the ombudsman forced the bank's hand (it costs them at least a few hundred quid for each case that goes that far).

If this happened to me and a credit search was carried out without my permission I'd try to make an example of the bank.

[Carol Anne]

I thought that bailliffs/investigators could check with credit reference agencies to trace debtors who had moved away etc. How would this work?