How do I go about getting a copy of my credit file and where do I get it from?

Credit reporting is something that the majority of us have heard about, but very few of us actually know exactly what goes on with these agencies. Considering the power that they have over some very significant aspects of your life, this statement is pretty astonishing.

In Australia there are three major companies reporting on the credit activities of the Australian population. Dun & Bradstreet (D&B) who retain credit files of businesses and individuals Australia-wide, Tasmanian Collection Service who focus solely on Tasmanian individuals and businesses, and Veda Advantage (formerly Baycorp) who provides credit-reporting services for all Australian citizens.

These companies keep files for both businesses and individuals that have been credit active during the past seven years. These files include information regarding all aspects of your credit activity such as where and when you applied for credit, whether you acted as a guarantor, if it was an individual or joint.

It will also have the information needed to confirm your identity and carry out credit assessments. This includes information on current credit accounts (e.g. payday loans), public records information (e.g. directorship and proprietorships), bankruptcy, court summons/judgement information and any credit defaults that may be recorded under your name.

No matter which company you choose to apply with, records of your credit file are always available for you to obtain. Now you may ask ‘why would I want a copy of my credit file?’. Well, obtaining your credit file allows you to check the details that have been recorded on your file that are visible to companies that may also check your file, for example credit providers such as Cash Doctors.

Your credit file is a record of your reputation as a credit borrower and can influence their decisions about your risk potential. Say you want to buy an investment property and need a home loan to help you along. There may be details on your account that may cause your home loan provider to deny your loan request. Now this could be for a number of reasons. Maybe you have had defaults on previous loan payments that haven’t been rectified, or your details haven’t been updated, or worst case scenario, someone is committing credit fraud by using your identity. These can be grounds enough for them to deny you a loan.

Identity fraud is a very serious crime that costs Australians over $2.2 billion dollars a year, so keeping your credit file in check is the most effective way to safeguard yourself against this. With some companies it is possible to be notified every time there is a change on your credit file. This way you can keep a close eye on your file at all times and minimise the risk of identity theft.

HOW DO I GET A COPY OF MY CREDIT FILE?

This is quite a simple process. If you apply for a copy of your credit file through D&B all you need to do is fill out the application form which is available on their website. If you apply through Veda Advantage for a fast tracked copy, you can fill out the online application form on the Veda advantage website.

If you are willing to wait up to 10 working days to receive your credit file you can mail or fax your request through. You must supply specific information if applying through these avenues, which are also detailed on the Veda Advantage website. Credit reporting agencies must provide you with your credit report within 10 working days of having received your written request, so this is the maximum amount of time it will take for you to receive your file.

All copies of credit reports are free unless you need it urgently; in which case it will be between $25 - $30 depending on which company you choose to apply with, and delivered within one working day after your request is received.

The information that you will find on your credit file is recorded for a number of years depending on the type of information it is. Writs and Summons are held on your file for four years. Credit applications, payment defaults, court judgements and credit enquiries are kept on your file for five years. Clearouts and bankruptcy information are kept on the file for seven years. All other information such as personal details are retained for the life of the file.

WHAT SHOULD I DO IF MY FILE IS INCORRECT?

There are a number of situations that could arise where you may need to correct information on your credit file. If you have a default on your file that is not yours, you must contact your credit provider so they can investigate it. If they find that it the default is a mistake then they must contact the reporting agency. The same goes if you have rectified a default but it hasn’t been updated on your file.

Once you have resolved the situation, your credit provider is required by law to amend the mistake on your credit file bas soon as possible. Any inaccuracies on your file to do with bankruptcy, judgements, court writs and summons, or directorship information can also be updated using the appropriate forms on your chosen agencies website. This can take up to 30 days, so if you are applying for credit it is best to check your credit report at least 30 days before you apply. The same forms can also be used to amend any incorrect personal identification details, court writs, summons and judgements, which will also need to be accompanied by supporting documentation to be used as proof of your corrections.

But what about if you find yourself in the worst-case scenario - someone is committing credit fraud against you and leaving you to pick up the pieces? There are many repercussions of such a crime on both the perpetrator and the victim. As the victim you are an innocent party yet you are liable for all the negative acts that the perpetrator commits so once you find out what is happening it is imperative that you act quickly and efficiently.

The first thing you need to do in such an instance is contact the police. At this point you should have a copy of your credit file that you can use as evidence. Next contact all of the credit providers involved at let them know what has been happening.

Ensure you get all the information you need so you know exactly what processes each institution goes through in this situation as most have differing policies that dictate these processes. Be sure to keep notes of all the conversations you have with the credit providers including names, contact numbers and dates of when you spoke. Once you have done this it is out of your hands and you will have to wait for the police to follow up in your claim.

The best way to guard yourself against this in the first place is prevention and this can be done in many ways. Regularly monitor your credit file, sign cards straight away and contact your credit providers if they are lost or stolen. You should also keep your PIN confidential and separate from your card, and shred any documents that have your personal details on them before disposal.

As soon as you apply for any kind of credit you begin a credit file, which means that you are open to the risks of credit defaults (and it’s effects), not to mention fraud. This may sound negative but it’s the truth. Billions of dollars are stolen from innocent Australians every year, who despite their best efforts to keep a spotless credit record, have been ripped off. Of course this isn’t going to happen to everybody and can be avoided by using the tips stated above, so keep them in mind while using your credit responsibly. 

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