Credit Report

Any general questions you might have in regards to loans and finance.
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Joined: Wed Apr 21, 2010 2:43 pm

Credit Report

Postby needinfo » Wed Apr 21, 2010 2:55 pm

Can credit providers obtain any further information that does not 'show' on a persons credit report or anything that is not declared in an application? Can they obtain further information ie: credit limit on a card account that may show on a credit report?

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Otto Dargan
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Location: Sydney, Australia

Re: Credit Report

Postby Otto Dargan » Wed Apr 21, 2010 8:33 pm

Yes, the privacy forms that lenders ask you to sign enables them to do significant research into your financial situation. They have the right to do the following:

* Call your employer and verify your employment / income.
* Call your accountant.
* Go through your credit file and call each and every enquiry on your file to confirm if you have a loan with them and if so then what is the limit / balance / conduct of the account.

In reality only some lenders will do this for every loan (such as Resimac). The majority of lenders will only do these kinds of in depth checks for applications that do not look right. Generally they will ask for bank statements for your check account if they believe you have forgotten to put all of your debts on the application form.

My recommendation is that you apply with a lender that can approve your loan based on your actual outstanding debts. Don't try to hide your current liabilities, if they find out your loan will be declined and they can charge you with fraud. If you can afford the debt then there is usually a lender that can help you as their serviceability calculators all work in different ways.
Otto Dargan
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P | 1300 889 743
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