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Obtaining a Company Credit Reference

Company credit references can be obtained the old way, or the new. Traditional methods of obtaining a credit reference can be unreliable so in this digital age, and in most developed economies, an automated system is often preferable. Regardless of the method by which you choose to obtain one, there are some strict application criteria and methodologies to be adhered to. When an application for a loan, credit card, bank account or mortgage is made, the chances are that the company responsible for extending the line of credit will run a check with a credit reference agency.

These agencies check the electoral register to verify details such as addresses, any bad debts, and bankruptcies and perhaps on how reliably repayments of existing loans are made. It is essential that the information making up the reference is accurate and up to date; otherwise the consequences could be very damaging for both, or either parties. The Data Protection Act 1998 allows any company or individual access to their information.

If you are about to apply for a mortgage or other major loan it may be worth checking in advance to see exactly what information credit reference agencies hold on you. Correcting any errors in advance could help you avoid problems at a later stage, when you may not be able to get things put right in time. When applying for this information, you should state that your request is limited to personal information relating to your financial standing. The data controller will then be required to reply within seven working days. The maximum fee that you can be charged is £2 and you should enclose this with your application.