A mistake on your credit report could be the reason you were turned down for credit.
If your phone bill came in and it was twice as much as you expected it to be, you’d do something about it, wouldn’t you?
Well, why would you ignore a mistake on something that’s so important when it comes to getting credit?
If you ignore mistakes on your credit report, it could mean you get a no when you apply for credit.
So, whether there’s an address listed that you don’t recognise, or a missed payment that you definitely remember paying, we’ll tell you how to get it fixed and boost your chances of getting accepted next time.
What do I need to do?
First things first, you need to check your credit report. You can do that for free using these services:
Check every detail on your report and look out for anything that’s not right. We recommend you check with all three providers if you can, as each one may hold different information about you.
Hopefully you won’t spot anything wrong, but if you do, here’s what to do next:
If it’s a payment or account that doesn’t look right, contact the lender directly and tell them what you think is wrong. Alternatively, you can use the correction service offered by the credit reference agency and they’ll contact the lenders for you.
If it’s your name, address, or anything like that, you should contact the credit reference agency.
If the lender or agency looks at your correction and agrees you’re in the right, they’ll update your details and you’re all sorted. You report should be updated in four to six weeks.
If they disagree, unfortunately there isn’t really much else you can do to change their minds, but you do have the right to raise a complaint and, if it isn’t resolved to your satisfaction, take it to the Financial Ombudsman.
You can also ask for a ‘notice of correction’ to be added to your credit report.
What’s a ‘notice of correction’?
It’s a written statement that you can add to explain your side of the story. It can be up to 200 words, and although it won’t help improve your credit score, lenders will be able to see it when they consider your future applications.
Is there nothing else I can do?
If you’re adamant that you’re right and want to take the dispute further, you can speak to the Information Commissioners Office. They are the public body that are there to make sure companies comply with the Data Protection Act. Find out more about how to do that here.
Disclaimer: All information and links are correct at the time of publishing.