Credit checking for CAR INSURANCE

[topfuelgb]

Just a quick heads up to anyone in the profession and im sorry if you already know...

Had a recent nightmare with a client due to the fact that general insurance brokers and companies now credit check/score people for quotes!
Doesnt leave a big footprint, BUT, if a client goes to an independent then they may be scored 10 times due to the quote systems.
My client was having quotes re-done from 3 years ago, like when companies re-quote annually to see if youd be interested!
Ended up with the client having an offer, property fell through, found another one for less money but got declined due to decrease in credit score......
We got it sorted, by him keeping a day by day watch on his file, but it did take 4 agonising months to rectify.
Apparently, another client of mine who works as a statistician for a general company said that they are starting to do it aswell as better the score=better and safer driver!
My client has written to the FSA regarding it as he states he only asked for a quote, and at no time did they ever tell him hed be credit scored.

Anyway, rant over, but thought someone might be glad of the shared info

[Migsy]

Not just the above, but some insurance companies are also credit checking (again no footprint as recorded as a quote) for sending general marketing material.

Credit Expert have reported a high number of complaints regarding Privelege doing this in recent months - this is also now being investigated by the FSA. Easy enough to get it taken off your report if you find it though, especially as Privelege say they have no record of a quote being requested...funny that.

A good idea to monitor your credit report if you don't already.

However, Lloyds and Halifax are always 3 months behind in updating credit agency records, so not much use if anyone steals your ID and uses it with that group of companies!

[jdwoodbury]

Having recently used a number of broker search engines I saw these alert with Experian, however when I looked it said they were all unrecorded and would not affect my credit rating.

[Nickyboy]

I got my credit report a couple of weeks ago as i was refused a loan which i thought was strange as i've never had bad credit, turns out my score is low and i've had 13 credit checks done in the past 12 months!! 9 of them were bloody car insurance which i've only ever had quotes for.

Is it possible to remove the insurance checks as they weren't authorised?

Edited by Nickyboy on Sunday 16th October 17:04

[topfuelgb]

You can get them removed by contacting experian etc...
Its a pain in the arse, and you're right, even though they say it doesnt leave a footprint it must do SOMETHING having 9 checks in a short period of time.....
Exactly the same problem we had, and im guessing you can understand how they werent too happy as it cost them 2 house purchases!

Edited by topfuelgb on Monday 17th October 10:22

[B14RY W]

This is an interesting topic as i just had a similar issue last week.

Previously i was with Elephant and have been for years. When i got a new quote it turned out Hastings Direct are now the insurance company to beat i have found. Their prices are alot cheaper than anyone else

So, the new policy started on 1st October and on 13th October i get a mobile notification from Experian to say a search has been done and my profile has changed. I logged in and right enough, on the 7th October Hastings did a credit check on me.

I phoned Hastings and they told me its in their terms a credit check may or may not be done

If you opt to pay by Direct Debit - a check will always be done

I asked them to remove it from my file and they said they couldnt do it.

Still not happy to be honest and told them if it was made clear that by selecting direct debit i would get credit checked then i would have just paid it in full at the time.