Turning to the bank for another loan, many citizens are faced with a categorical refusal. And although such an answer is completely unexpected for them, its reason, as practice shows, may “lie on the surface” - in the credit history of the prospective borrower. What is she like? How and who formulates it? And how to fix a bad credit history if it was damaged earlier?
Credit history: general information and facts
Before answering the question of how to fix a bad credit history, you should first familiarize yourself with the concept of CI. A credit history is a collection of information about a borrower who at some point in time issued a bank loan or any other loan. In other words, this is a kind of dossier for each loaned person. It, like any other documentation, consists of several subsections at once. This is the title, main, or main, and confidential (information of a closed type) part.
The first section of CI refers to the following personal information:
- general information about the borrower (his F. I. O, date of birth, home address);
- passport data indicating the date of the document and the authorized body for its issuance;
- identification code;
- retirement insurance policy number, etc.
TIN and policy number can be mentioned in the title part of CI only provided that the borrower indicated information about them during the processing of a loan.
In the main part of the credit dossier it is said about whether the person being credited is an entrepreneur (if so, then the number of his registration in the state unified register of legal entities and individuals is indicated), when, where and on what conditions he previously took bank loans. Did he repay the loan. Did you comply with the required monthly payment deadlines? Did you allow delays? Did he have any legal proceedings related to non-payment of a loan, etc. There is also a certain client reliability rating assigned after the first contact with a credit institution (meaning the design of the first loan).
And finally, in the closed part of the document there is information about those organizations that have ever ordered an extract from the credit history of prospective customers. Often CI physical person also contains the fourth part, which describes information about creditors. In particular, it is about which organization and when rejected or approved the application for your loan.
Where does the credit history of the loaned person begin?
Before figuring out how to fix a bad credit history at Sberbank or any other financial institution, it is worth figuring out how this very CI is created. So, the potential borrower comes to the bank, fills out a questionnaire indicating all the necessary personal and other information, receives a loan response (at this stage we will build on a positive answer), receive money, repay the loan, apply to the same or a new bank, and all the procedure is performed anew.
When applying to a credit institution, in accordance with the law of the Russian Federation, a representative of the bank collects certain information about the borrower and transfers it within 10 business days (from the beginning of signing the loan agreement) to the credit history bureau. Accordingly, from this very moment a citizen’s CI begins to take shape. In the future, information on other loans, on compliance with bank conditions, etc., will also be brought here.
What is a credit card holder personal identification code?
Each user, when registering him in the Central catalog of credit histories, receives a personal code. It usually consists of a set of letters and numbers, and also allows you to keep safe all personal information about the borrower. Thus, offenders who, as a result of unlawful actions, have the data of a citizen’s passport, will not be able to obtain an extract from the Central Catalog without the above code. Conversely, if the borrower knows this code, he can easily determine the BKI by entering the number in the corresponding search line on the official website of the Central Bank of the Russian Federation.
What is a BCI and why is it needed?
If you already today are wondering about how to fix a bad credit history in a bank, starting your search for a solution to this problem follows from the consideration of the general concept of BKI. So, the Bureau of Credit Conditions is a commercial organization operating on the basis of an appropriate license. The work of the bureau is quite legal, therefore all authorized BKIs are usually listed in a single state register. There is also information about the CI of clients in the Central Bank of Russia at the Bank of Russia. This is where information about all BKIs is stored. Here you will find the addresses of organizations in which the loan file of a particular borrower is located.
It is interesting that your credit dossier may not be in one, but in several BKIs at once. Therefore, if you are interested in information on how to fix a bad credit history in Sberbank, you must determine all the bureaus in which your history may be located before searching.
What is a credit history?
Before you learn how to fix a bad credit history with Home Credit or another financial institution, you need to understand the types of credit files. Credit history is positive and negative. In the first case, the CI will be relevant only when the checked citizen:
- never disrupted the terms of monthly loan payment (in accordance with the established credit schedule);
- did not allow delays in the loan;
- repaid a bank loan on time and in full;
- I was not noticed in carrying out financial frauds (I did not try to fraudulently evade paying a loan);
- I did not participate in litigation proceedings regarding loan evasion.
Accordingly, information about the client will be considered to be spoiled KI with the accuracy and vice versa (according to the above list). But in order not to worry about how to fix a bad credit history, many experts around the world do not recommend spoiling it initially.
Can I get information about my own credit history?
Before discussing how to remove a bad credit history, you need to know for sure whether your CI is good or bad. For this purpose, it makes sense to contact the BKI. But since not every ordinary citizen has information about the exact location of his credit dossier, you must first obtain the necessary data from the Central Bureau of Credit Histories. Such a request, as a rule, is made out in writing or electronically (the form is chosen at the request of the applicant). The term for consideration and receipt of an answer on it is about 10 calendar days.
What is the procedure for obtaining data on the state of CI?
To answer the main question about how to fix a bad credit history, the lending entity is required to have information about the stages of obtaining its own credit history. So, an individual turns to the Central Directory, where, by his personal number (credit history code), he receives the addresses of one or more BKI, where his CI is stored. You can make a similar request using the following options:
- by sending data through the Bank of Russia virtual service (using the received code);
- through banks, one of the post offices and other organizations (carried out without a code).
Then the client requests information from the required BKI.
Who can contact the BCI for a credit history?
The financial institution to which you applied for a loan can obtain the necessary information from the credit bureau. But it can only do this if you give your permission to do so (this requirement is fulfilled in accordance with the law on the protection of personal data of individuals and legal entities). Also, such information can clarify and the potential borrower. He can do this before fixing a bad credit history, for free and quickly. And it is also recommended that this be done before going to a credit institution for another loan.
Send a clarification request to the PPMC:
- individuals and legal entities (independently);
- representatives of banks and non-banking organizations;
- notaries;
- postal service employees and others.
How many times can a request be sent to the BCI?
Contacting the BCI or the Central Catalog of Credit Histories is allowed once a year for free. More frequent requests can already be made for a fee. The following information must be provided in writing of the request:
- Name of the requested entity;
- passport data;
- recipient's email.
If the request is sent regarding a legal entity, the requested entity must indicate:
- full details of the legal entity;
- registration number of a legal entity;
- taxpayer number;
- contact email.
Is it possible to correct or change the credit history?
A damaged credit history is a reason for refusing a potential borrower a loan. But is it possible to fix and how to remove a bad credit history? Any person who is a credited person has the full right to edit his CI. However, this can only be done if you are 100% sure of the inaccuracy or inconsistency of the information specified in the document. In this case, you need to write a statement stating the facts and details, indicating the place where, in your opinion, a mistake was made.
Based on this application, representatives of the Central Catalog of Credit Histories will first send a request to the credit organization to which you have a complaint, and then decide how to change a bad credit history. The term for the consideration of the request and the answer is carried out within 1-3 months from the date of the applicant's request. Accordingly, it will depend on the outcome of the application whether changes will be made to the CI or not.
Can I edit my credit history myself?
Every citizen is able to change his credit history personally. To do this, he needs to work on the mistakes (to clarify the reasons for the damaged dossier) and with the further processing of loans not to violate the terms of the bank agreement. If you follow these simple rules, your reputation will be restored.
When can a credit history be corrected?
CI can be corrected if mistakes were made in the personal data of the borrower. A powerful argument in favor of correcting the dossier is, for example, the fact of opening loans by intruders (according to the stolen or lost passport of the applicant). In this case, the editorial board of the “credit reputation” of the borrower is available after submitting an application to law enforcement agencies and conducting an appropriate investigation.
In addition, the refusal of the BKI representatives about the reasoned corrections in the credit history can be disputed in court.
Is it possible to close a bad credit history?
Having found their CI in the “black lists” of banks, many borrowers are wondering how to close a bad credit history. Is it realistic to do this? However, this cannot be done, since all information in the Central Catalog of Credit Histories is accumulated and stored. Each borrower can correct his bank dossier only over time.
Information on the borrower's credit activity is stored for 15 years. After this time, the story is canceled.
Summary
A credit history is a business card of any borrower. Therefore, do not allow your reputation to be damaged!
