Financial Advice

So I used to work for Experian, and as such know how this data works.

With regards the loans taken out fraudulently, she has a right to raise a dispute and can put her case across that lenders will see this commentary and manually process any application rather than her being automatically declined. She’d need to do this by notifying each of the main credit agencies - Experian, Equifax, and Call Credit as she can’t know easily in advance which credit agencies a specific lender will use. They all have a customer services number on their website, but will require a statement in writing to formalise her position. Without a police corroboration then lenders will probably err on the side of caution and assume it’s her debt and she had the issues.

Once paid off, adverse credit events, these including poor repayment history or county court judgements (CCJs) will negatively impact her credit score and lender perception for seven years after they occurred. Any CCJ or bankruptcy is a lot more significant than the occasional late or missed payment, so that will be the key element to a poor score assuming she has otherwise personally been responsible.

MoneySavingExpert have an agreement with Experian to offer a free version of anyone’s full credit report via the MoneySavingExpert Credit Club, so she would google that and sign up rather than pay unnecessarily. Make sure she checks her financial association in particular, and asks the credit agencies to disassociate her from her mother if a relationship is shown. Another’s poor credit behaviour can continue to adversely affect you for up to seven years after their last adverse event unless such a relationship is formally declared broken.

Around the time she wishes to apply and get a mortgage she should avoid other applications for credit, missing any payments, or changing main bank account. Also make sure she is registered to vote and will appear on the electoral roll, as after personal payment history that’s the most significant factor.

 

Thank you, with your permission I'll copy and paste that and send it to her.

 

Please do

 

Thank you

 

Your friend sounds like a lovely lass who has been taken advantage of by her mum which is horrendous. I hope she finds some way out of this as it sounds like she deserves it. Fingers crossed

 

She is, I'm sure she'll sort it following all the good advice on here, thanks to all.