MyCRA Specialist Credit Repair Lawyers

Tag: consumer advocate for accurate credit reporting

  • Credit rating self-checks essential for prospective home buyers

    prospective home buyersMedia Release

    Credit rating self-checks essential for prospective home buyers.

    19 February 2013

    A credit rating self-check should be top priority for prospective home buyers before finance application to ensure ‘surprise’ bad credit doesn’t mean they lose their dream home, according to a consumer advocate for accurate credit reporting.

    CEO of MyCRA Credit Rating Repair, Graham Doessel, says a credit file check will reveal any adverse listings which will lead to credit refusal.

    “Home buyers should ignore their credit file when applying for finance at their own peril. In many instances it can be more important to have a clear credit rating than a huge deposit,” Mr Doessel says.

    He says many people assume if they pay their bills on time they should have a clear credit history, but surprise bad credit and credit reporting errors can and do occur.

    “So many of my clients are unaware they have defaults until they apply for major credit such as a home loan, and are flatly refused because of defaults. The clients can lose the house and have their dreams shattered, all because of a credit file which contains defaults that may not even be lawful,” he says.

    A credit file exists for anyone who has ever been ‘credit active’ and is used by lenders to assess the risk and borrowing capacity of potential borrowers.

    Defaults are put there by creditors when accounts have remained unpaid for more than 60 days.

    Defaults remain on a person’s credit file for 5 years from the date of listing, and have the potential to severely impact a person’s ability to obtain credit.

    “Currently, any default can be enough for an automatic decline with most of the major banks. Many lenders are even rejecting loans for excess enquiries such as two in thirty days or six within the year.”

    “It also affects the type of loan people may be eligible for, the interest rate they are offered and price of establishing the loan. The lending options become more expensive and limited,” Mr Doessel says.

    He says many clients had what they thought were impeccable repayment histories, but found out the hard way that they were the victim of credit reporting errors.

    “At this time in Australia, creditors basically have the go ahead to list defaults and other negative listings on consumer credit files with very little by way of checking in terms of accuracy of that listing,” Mr Doessel says.

    The onus is on the consumer to ensure their credit file reads accurately.

    “That’s why it’s so important for everyone to know what is said about them on their credit file, and to know how to dispute any errors that come up,” he says.

    House hunters can request a copy of their credit report from one of the major credit reporting agencies such as Veda Advantage, Dun and Bradstreet or TASCOL (if in Tasmania). These agencies will provide people with a free copy of their report within 10 working days from receipt of the request.

    “If you request this report well before you are ready to buy a house, you can potentially save yourself the embarrassment and heartache of being knocked back for finance due to credit file defaults, and that’s also one less lender-generated credit enquiry on your credit file,” he says.

    Demand for ‘credit rating repairers’ has grown due to what Mr Doessel says is a credit system fraught with difficulties.

    He says many of his clients have attempted to dispute an unfair listing themselves and have come up against problems.

    “Most times the Creditor says defaults are never removed, but can be marked as paid if the account has been settled. Effectively they are bullied into paying the overdue account and are still copping the default on their credit file.”

    But Mr Doessel says if a listing contains errors or inconsistencies, it should be removed.

    “It takes someone who is aware of how to work within the legislation, demonstrate effectively where the Creditor has made errors and show cause as to why a listing is unlawful and should be removed. Unfortunately this is something many consumers have neither the time and or skills to do effectively,” he says.

    /ENDS.

    Please contact:

    Graham Doessel – CEO MyCRA Ph: 07 3124 7133

    Lisa Brewster – Media Liaison media@mycra.com.au

    246 Stafford Road, STAFFORD QLD. http://www.mycra.com.au

    MyCRA Credit Repair is Australia’s number one in credit rating repair. We permanently remove defaults from credit files.

    Image: graur codrin/ www.FreeDigitalPhotos.net

  • A ‘fair go’ in the credit system for those under financial strain still a way off.

    Media Release

    [fusion_builder_container hundred_percent=”yes” overflow=”visible”][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”]

    Financial Hardship
    Financial Hardship

    A ‘fair go’ in the credit system for those under financial strain still a way off.

    14 February 2013

    From March 1, national credit reform will see steps made towards a fairer credit system for disadvantaged Australians, but whilst a consumer advocate for accurate credit reporting welcomes the changes, he says those consumers suffering credit impairment may still come across difficulties getting fair treatment in the credit reporting landscape.

    CEO of MyCRA Credit Rating Repair, Graham Doessel says for those Australians experiencing financial hardship, better protections will be afforded through significant reforms to the National Consumer Credit Protection Act which is due for implementation on March 1 2013.[/fusion_builder_column][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”][i]

    “For those people doing it tough – one of the most important things they need is to be able to open a dialogue with their bank and make moves to guard their asset and their credit file during periods of financial difficulty, and this will be formalised under the new financial hardship laws,” Mr Doessel says.

    But he says for credit impaired individuals, we are yet to see the full extent of any ‘fairness’ until the implementation of amendments to the Privacy Act 1988 occur in 2014.

    “Whilst there are many aspects to this credit reform which will be helpful to those disadvantaged Australians, such as hardship provisions and capping pay-day loans, the most significant change for people forced ‘on the fringe’ will be within the area of correcting credit reporting mistakes, which won’t be implemented until March 2014,” he says.

    The Privacy Amendment (Enhancing Privacy Protection) Bill 2012 will change the Privacy Act 1988 in the area of correction of credit reporting inconsistencies, including enabling consumers to force their Creditor to justify a disputed listing; and give consequences for credit reporting breaches.

    Next month’s implementation of the National Consumer Credit Protection Amendment (Enhancements) Act 2012 will also bring reforms to a range of credit areas, with the sole regulator being Australian Securities and Investment Commission (ASIC).

    A range of credit reforms will include;

    * Changes to procedures for hardship applications under the National Credit Code.

    * A ban on short-term credit contracts (that is not a continuing credit contract; where the credit provider is not an authorised deposit-taking institution (ADI); the credit limit of the contract is $2,000 or less; and the credit contract is for a maximum term of 15 days or less).

    * New obligations for small amount credit contracts (that is not a continuing credit contract; where the credit provider is not an ADI; the credit limit of the contract is $2,000 or less; and the credit contract is for a maximum term of 1 year) including:

    * introducing presumptions of unsuitability where a consumer is in default of an existing small amount credit contract; or in the preceding 90 days, a consumer has been a debtor under two or more other small amount credit contracts

    * Specific protections for reverse mortgages – such as the requirement to provide consumers with projections of the debtor’s equity in the property under a reverse mortgage and a reverse mortgage information statement.

    * Remedies for unfair or dishonest conduct by credit service providers.[ii]

    Mr Doessel says whilst the new obligations for Creditors will have significant advantages, they are only part of the credit reform ‘puzzle’. He says credit reporting mistakes still occur frequently, and individuals can be disadvantaged and refused mainstream credit by a system that has failed them.

    “People with defaults on their credit file can be severely disadvantaged – locked out of mainstream credit for 5 years. Not all defaults deserve to be there. People are getting let down by the system and have equal trouble correcting their credit reporting mistakes.”

    “Whilst the powers that be say that there is a legitimate avenue for correcting credit reporting mistakes for the individual, many consumers who have dealt with big companies for even small complaints issues will attest to the difficulty in getting a straight answer, getting someone who knows what they’re talking about first time, and ultimately correcting the mistake,” he says.

    He is hopeful that a large piece of the puzzle for those suffering hardship unfairly will be completed once the Privacy Act 1988 amendments come into effect in March 2014.

    “It remains to be seen next year how changes in credit reporting law will allow credit impaired individuals to be able to address inconsistencies on their credit report which can see them disadvantaged and funnelled into expensive credit such as payday loans,” Mr Doessel says.

    He hopes Privacy Act amendments will see fewer of those consumers locked out of mainstream credit unnecessarily – but he says it is a matter of seeing how the laws pan out.

    “My concern is, how ‘late payment notations’ (which are being recorded now as part of the Privacy Act changes) will impact credit suitability and I would hope repayment history information will not undo credit approval if the debtor has managed to avoid a default and negotiate a variation of repayment terms because of temporary hardship under these new laws,” he says.

    “So there is still going to be a time of uncertainty for many involved in credit, including for consumers. I know the intention is that eventually, we will see a better and fairer credit system for all – but I think the road to it could be a rocky one,” he says.

    /ENDS.

    Please contact:

    Graham Doessel – CEO Ph 3124 7133

    Lisa Brewster – Media Relations media@mycra.com.au

    http://www.mycra.com.au/ 246 Stafford Road, STAFFORD QLD. Ph: 07 3124 7133

    MyCRA Credit Repair is Australia’s number one in credit rating repairs. We permanently remove defaults from credit files.

     

    ——————————————————————————–

    [i] http://parlinfo.aph.gov.au/parlInfo/search/display/display.w3p;db=LEGISLATION;id=legislation%2Fbills%2Fr4682_third-reps%2F0001;query=Id%3A%22legislation%2Fbills%2Fr4682_third-reps%2F0000%22

    [ii] http://www.asic.gov.au/asic/asic.nsf/byheadline/ASIC+Credit+Reform+Update+-+latest+issue?openDocument

    Image: David Castillo Dominici/ www.FreeDigitalPhotos.net[/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]

  • Prevent a credit default during a time of mortgage stress.

    mortgage stressMedia Release

    Prevent a credit default during a time of mortgage stress.

    12 February 2013

    For the thousands of Australian home owners who are under financial strain, interest rate cuts may have come too little too late – but a consumer advocate for accurate credit reporting says those families falling behind on mortgage repayments need to be educated about what they can do to try to keep their home and their good credit rating.

    CEO of MyCRA Credit Rating Repair, Graham Doessel says it is vital that when someone is suffering financial hardship of some kind that they open up a dialogue with their Creditors as early as possible.

    “Too many people go into denial about their debts, and this only makes the long term prospects for recovery much worse. If I could give one piece of advice, it would be to talk to your bank and as soon as you encounter difficulties,” Mr Doessel says.

    Despite a recorded decrease in mortgage delinquency rates across the country to 1.2 per cent in September 2012 from 1.6 per cent in March 2012, credit ratings firm Fitch Ratings has recorded some continuing troubled areas where delinquencies remain high.

    Many of these ‘repayment blackspots’ have reportedly been impacted by the global economy through a drop in tourism numbers.[fusion_builder_container hundred_percent=”yes” overflow=”visible”][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”][i]

    Mr Doessel’s credit repair firm deals with many clients who are attempting to salvage their lives and their credit rating after financial hardship, and he says sometimes effective communication and persistence may have prevented defaults.

    “If you are suffering hardship, get on the phone and discuss it with your bank. They may not issue a default on your credit file if you successfully negotiate to put repayments on hold or reduce the repayment amount – as long as you make a firm plan to get back on top of things, and you are able to stick to it,” he says.

    Credit file defaults are issued after credit accounts are 60 days in arrears, and late payment notifications are issued after repayments are one payment cycle late.

    Mr Doessel says the ramifications of having credit file defaults are generally refusal of mainstream credit – including credit cards, store cards and mobile phone plans for the 5 year term of the listing. Too many late payment notations may also impact credit approval.

    “If you are able to borrow, often the interest rate is much, much higher. If your bank can’t contact you, they may even issue you a Clear-out which has a 7 year term,” he says.

    “So you want to avoid having your credit rating black listed if possible.”

    People who need to negotiate with their lender because of hardship issues should now find the process much easier.

    Last year credit reform saw the introduction of changes to procedures for hardship applications. From 1 March 2013, The National Consumer Credit Protection Amendment (Enhancements) Act 2012 takes effect, giving debtors a statutory right to request a hardship variation if they cannot meet their obligations under a credit contract regardless of the amount of credit that is provided under their contract.[ii]

    Tips for Applying For Financial Hardship

    1. SPEAK UP. Firstly, you need to make it clear to your bank that you fear you may fall into arrears on your repayments – especially if you have a situation of temporary difficulty, such as unemployment or illness.

    2. WHAT CAN YOU AFFORD TO PAY? Work out what you can afford to pay prior to requesting a hardship variation. You can get budgeting advice through ASIC’s Money Smart website www.moneysmart.gov.au.

    “This would involve taking the bull by the horns and doing up a serious budget on what’s coming in and what your repayments are on all of your credit accounts,” Mr Doessel says.

    3. BE PRECISE. Put your request in writing and keep a copy as a record. You may need to use the actual words “financial hardship variation” for your lender to officially recognise the request, and to avoid confusion as to what you’re asking for.

    4. KNOW YOUR RIGHTS. Check your loan agreement as to the terms you entered into around financial hardship. Those agreements post-1 July 2010 have a clause which requires the lender to respond to you within 21 days.

    Creditors are legally required to consider a person’s request for variation on payment arrangements, but are not obliged to agree to any hardship variation proposal put forward. If a lender either refuses or fails to respond to your hardship request, you can lodge a complaint with their independent dispute resolution scheme, such as the Ombudsman they are a member of.

    5. DO YOUR RESEARCH. Research how to apply for financial hardship. You can do this through ASIC’s MoneySmart Website, or through sites like Money Help, a website run by the Victorian State Government.

    6. BE CONSISTENT. If you do get a variation on your repayments – keep up all repayments on time every time. And keep an open dialogue with your bank.

    “This fresh chance may be the catalyst to put in place some real changes in how you think about credit – taking a fresh look at ‘things’ ‘wants’ and ‘needs’– and making credit work for you next time instead of the other way around. This doesn’t ensure that mistakes won’t happen with your credit file, but it will ensure that a negative credit listing won’t make its way to your credit file through any fault of yours,” Mr Doessel says.

    /ENDS.

    Please contact:

    Graham Doessel – CEO Ph 3124 7133

    Lisa Brewster – Media Relations media@mycra.com.au

    http://www.mycra.com.au/ 246 Stafford Road, STAFFORD QLD. Ph: 07 3124 7133

    MyCRA Credit Repair is Australia’s number one in credit rating repairs. We permanently remove defaults from credit files.

    ——————————————————————————–

    [i] http://www.news.com.au/realestate/news/australias-mortgage-blackspots/story-fncq3gat-1226570977744#ixzz2KAbn7xXq

    [ii] http://www.asic.gov.au/asic/asic.nsf/byheadline/ASIC+Credit+Reform+Update+-+latest+issue?openDocument http://parlinfo.aph.gov.au/parlInfo/search/display/display.w3p;db=LEGISLATION;id=legislation%2Fbills%2Fr4682_third-reps%2F0001;query=Id%3A%22legislation%2Fbills%2Fr4682_third-reps%2F0000%22

    Image: Nutdanai/ www.FreeDigitalPhotos.net[/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]

  • Lonely hearts ripped out and ripped off this Valentine’s Day by scams.

    romance scamsMedia Release

    Lonely hearts ripped out and ripped off this Valentine’s Day by scams.

    7 February 2013

    A warning this Valentine’s Day for those who use internet dating: be on the lookout for scammers. A consumer advocate for accurate credit reporting warns that getting sucked in by a scammer may not only leave you broken hearted, but can also leave you broke.

    CEO of MyCRA Credit Rating Repair, Graham Doessel warns that because of the personal nature of dating scams, many intimate personal details may be shared, and scammers could not only extract money, but can also garner enough information to steal your identity and take credit out in your name.

    “The costs of identity theft can be significant long term and are magnified by the fact that identity fraud is often not detected until you attempt to take out credit in your own name and are refused due to credit rating defaults from unpaid credit you didn’t initiate,” Mr Doessel says.

    The NSW Fair Trading Commission has issued fresh warnings recently in regards to romance scams, saying consumers are at risk of high debt and dissatisfaction.

    Commissioner Rod Stowe warns if you are looking for love -get introduction agency agreements in writing and beware of predators online and elsewhere.

    “Repeated requests for more money are standard practice for traditional and online romance scammers, whether the requests come from an agency or prospective partners,” he said in a recent media release.[fusion_builder_container hundred_percent=”yes” overflow=”visible”][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”][i]

    “Once you’re on the hook, a scammer will reel you in as long as you take the bait. The internet presents a whole range of risks for consumers looking for love. The ACCC [Australian Competition and Consumer Commission] reported Australians lost $21 million to dating and romance scams in 2011. The average loss for a victim reporting a scam to the ACCC was more than $20,000.”

    Romance scams are so rampant in Australia, that the ACCC now requires online dating sites to display scam warnings and will threaten action against companies that fail to comply.

    Scammers target victims by creating fake profiles on legitimate internet dating services.

    The ACCC warns once you are in contact with a scammer, they will express strong emotions in a relatively short period of time and will suggest you move the relationship away from the website, to phone, email and/or instant messaging. Scammers often claim to be from Australia, but travelling or working o/s.

    “They will go to great lengths to gain your interest and trust, such as sharing personal information and even sending you gifts. Scammers may take months, to build what seems like the romance of a lifetime. They will then ask you for money, gifts or your banking/credit card details.” the ACCC warns on their website.[ii]

    The ACCC says scammers can site various reasons for needing money, including to cover the costs associated with non-existent accidents and illnesses, various fees and charges associated with precious goods such as diamonds, gold bullion and gemstones, or to arrange a meeting which never occurs.

    Mr Doessel says it is not always easy to forget a romance scam if the fraud has impacted your credit file.

    “If you fall victim to identity theft, you are hit three times – you may have lost a large sum of money, secondly you may be emotionally heartbroken, then thirdly you are locked out of credit for 5 years because of defaults on your credit file.”

    “You may not even get a mobile phone plan if you can’t prove you didn’t initiate the credit in your name,” he says.

    The ACCC’s SCAMwatch outlines some ways people can protect themselves when dating online:

    – ALWAYS consider the possibility that the approach may be a scam…Try to remove the emotion from your decision making no matter how caring or persistent they seem.

    – Talk to an independent friend, relative or fair trading before you send any money. THINK TWICE before sending money to someone you have only recently met online or haven’t met in person.

    – NEVER give credit card or online account details to anyone by email.

    – Be very careful about how much personal information you share on social network sites. Scammers can use your information and pictures to create a fake identity or to target you with a scam.

    – If you agree to meet in person, tell family and friends where you are going…

    – Where possible, avoid any arrangement with a stranger that asks for up-front payment via money order, wire transfer or international funds transfer. It is rare to recover money sent this way.

    -If you think you have provided your account details to a scammer, contact your bank or financial institution immediately.

    – Money laundering is a criminal offence: do not agree to transfer money for someone else.

    If you think you may be ‘dating’ a scammer, contact the ACCC on 1300 795 995 and if you have given over money, contact Police immediately.

    MyCRA Credit Rating Repair’s website also contains information on identity theft and your credit rating www.mycra.com.au.

    /ENDS.

    Please contact:

    Graham Doessel – Ph 3124 7133

    Lisa Brewster – Media Relations media@mycra.com.au

    http://www.mycra.com.au/ 246 Stafford Road, STAFFORD QLD.

    Ph: 07 3124 7133

    MyCRA Credit Repair is Australia’s number one in credit rating repairs. We permanently remove defaults from credit files.

     

    ——————————————————————————–

    [i] http://www.fairtrading.nsw.gov.au/About_us/News_and_events/Media_releases/2013_media_releases/20130131_valentines_day_warning.html

    [ii] http://www.scamwatch.gov.au/content/index.phtml/itemId/694213

    Image: thanunkorn/ www.FreeDigitalPhotos.net[/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]

  • Know the credit file risks before co-financing with a sibling

    siblings co-financingMedia Release

    Know the credit file risks before co-financing with a sibling.

    1 February 2013

    Real estate agents have recently reported an increase in siblings co-financing on homes in order to break into the property market, but this has a consumer advocate for accurate credit reporting concerned that some siblings could be getting financially involved without understanding the full implications for their future.

    CEO of MyCRA Credit Rating Repair, Graham Doessel says real risks can arise when anyone co-finances, for both their relationship and their credit rating.

    “I understand it is hard for young people to get a toe in the property market, but it is so important for them to understand, when you co-finance, you must trust your personal credit rating to your sibling for the life of the agreement,” Mr Doessel says.

    Real estate agents say brothers and sisters purchasing together now make up 10 per cent of traffic at open houses and inspections.

    The trend, which has grown in the last three months, allows buyers to afford mortgages that would otherwise be beyond their reach on a single-income.

    “It is how they’re affording to break into the property market,” agent Silvia Vitale of Laing + Simmons Potts Point told the Sunday Telegraph this week.[fusion_builder_container hundred_percent=”yes” overflow=”visible”][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”][i]

    But Gold Coast mortgage broker, Heather Nyssen, recently discouraged the trend, saying that siblings are usually quite young when they enter the financial partnership, and due to changes in circumstances can end up restricted by the obligation in later years.

    “In some cases they buy it so one or other can live in it, or they buy as an investment property, but they often end up in a bad position,” she told Australian Broker on Thursday.[ii]

    Mr Doessel agrees “Not only can the obligation restrict financial decisions in the future, but there is the potential for something to go wrong which sees both credit files defaulted if one sibling makes a mistake.”

    He says if repayments on any accounts linked to the property are not made on time, both parties could be held responsible and defaulted or a late payment notation listed on both credit files accordingly.

    “Rates, energy and of course finance repayments need to be paid on time every time to avoid a late payment notation on your credit file, and paid within 60 days to avoid a default listing,” he says.

    Defaults remain on a person’s credit file for five years, and late payment notations for two years.

    “If you have a default listing it can be difficult to get additional finance, a credit card, or even a mobile phone plan. If you have too many late payment notations against your name, it may also weigh negatively on your ability to obtain credit,” Mr Doessel says.

    He recommends those siblings wanting to co-finance on a property take these things into consideration:

    1. Know about your sibling’s credit history. If your sibling has financial skeletons in the closet, you should be wary about leaving your credit rating at risk. It would be a good idea to order a copy of your credit rating (your credit report) to make sure each of you is fully aware of the other’s financial history.

    For assistance to obtain your credit report at no cost, contact MyCRA http://www.mycra.com.au/credit-file-request/

    2. Ask what debts they currently have. This will give you an indication of how your brother or sister feel about money, and how much debt they consider normal to handle.

    3. Talk about paying bills. Do they always pay them on time? If not, why not? This will give you a good indication of how important they view credit repayments.

    4. Ask what their financial goals are for the future. Do they match yours? If you intend to hold on to the property whilst your sibling wants to sell in a few years to repurchase, are you prepared to pay them out? Will anyone be living in the property? How will you divide expenses on the property?

    5. Get all agreements in writing. Consider getting a solicitor involved to draft up a formal agreement. You may be family, but in 5 or 10 years your responsibilities and needs may have changed and you need to know what your legal rights and obligations are.

    6. Leave emotion out of it. As much as you may love your sibling – arguments can occur – particularly when money is involved. If the financial relationship is ‘strictly business’, it may be easier to separate the property from all other credit the individuals may possess. This is especially true if the property is purely an investment and neither sibling is living in the property.

    /ENDS.

    Please Contact:

    Graham Doessel Ph 3124 7133

    Lisa Brewster – Media Relations media@mycra.com.au

    Ph 07 3124 7133 www.mycra.com.au www.mycra.com.au/blog 246 Stafford Rd, STAFFORD Qld

    MyCRA Credit Repair is Australia’s number one in credit rating repairs. We permanently remove defaults from credit files.

    Image: imagerymajestic/ www.FreeDigitalphotos.net[/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]

  • Smart borrowing to be taught in schools

    Smart Money Teaching ProgramMedia Release

    Smart borrowing to be taught in schools

    24 January 2013

    Classroom changes aimed at improving financial literacy in Australia have been welcomed by a consumer advocate for accurate credit reporting, who says teaching kids about money, and especially credit is long overdue. He says a new generation needs to be clever with credit to survive.

    Financial literacy lessons are to be rolled out nationally as term one of the school year begins, with the inclusion of Australian secondary schools to the ‘Money Smart Teaching Program’, developed by the Australian Security and Investment Commission (ASIC), adding to a primary school program that began last year.[fusion_builder_container hundred_percent=”yes” overflow=”visible”][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”][i]

    About 120,000 children and 6000 teachers will take part in the trials, with the secondary schools topics set to include compound interest, supermarket unit pricing, finding the most cost-effective mobile phone plan and borrowing money.

    ASIC senior executive for financial literacy Robert Drake says it is hard to succeed in modern life without mastering money skills.

    “Knowing how to handle your money and the choices you have got to make as a consumer is a challenging thing in modern life, and really is a core skill”, Mr Drake told the Daily Telegraph on Monday.”[ii]

    CEO of MyCRA Credit Rating Repair, Graham Doessel says credit is an integral part of today’s culture, but many young Australians do not know how to make it work for them.

    “Many young people amble through their early years with credit, making mistake after mistake that can cost them dearly down the track. I have often said it should be taught in schools,” he says.

    He says he has seen many young people caught in the credit trap – robbing Peter to pay Paul – and in the end their good name suffers for five to seven years due to credit infringements.

    “I have seen young people get in deep with credit – putting cars and electrical goods on hire purchase and getting behind in repayments which sees them taking out new credit just to pay off the old credit. Before they know it, they’re 20 years old and facing Bankruptcy or Court Action and years of being locked out of the finance market coming into the crucial years when they need it most,” he says.

    Mr Doessel says teaching kids the importance of responsible borrowing and encouraging the exploration of philosophies of consumerism would be invaluable to reshape a whole new generation’s attitude to credit.

    “If we can arm our young people with more money knowledge, then collectively they may have a better break when it comes to home ownership and investments, things that seem to have eluded the current generation of twenty-something’s,” he says.

    “To go further, even basic legal responsibilities and requirements around credit would be an invaluable addition to the Australian secondary curriculum which could see rates of default decline as those kids enter the credit market.”

    ASIC’s trial program will take feedback from schools, with an aim to make it available more broadly from 2014.

    /ENDS.

    Please contact:

    Graham Doessel – Director Ph 3124 7133

    Lisa Brewster – Media Relations media@mycra.com.au

    Ph 07 3124 7133 www.mycra.com.au www.mycra.com.au/blog 246 Stafford Rd, STAFFORD Qld

    MyCRA Credit Repairs is Australia’s number one in credit rating repairs. We permanently remove defaults from credit files.

    ——————————————————————————–

    [i] http://teaching.moneysmart.gov.au/professional-learning/moneysmart-teaching-packages

    [ii] http://www.dailytelegraph.com.au/money/money-matters/schools-to-run-finance-classes/story-fn300aev-1226557978782

    Image: criminalatt/ www.FreeDigitalPhotos.net[/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]

  • Be bushfire ready: Protect your important documents and protect your good name.

    [fusion_builder_container type=”flex” hundred_percent=”no” equal_height_columns=”no” menu_anchor=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” class=”” id=”” background_color=”” background_image=”” background_position=”center center” background_repeat=”no-repeat” fade=”no” background_parallax=”none” parallax_speed=”0.3″ video_mp4=”” video_webm=”” video_ogv=”” video_url=”” video_aspect_ratio=”16:9″ video_loop=”yes” video_mute=”yes” overlay_color=”” video_preview_image=”” border_color=”” border_style=”solid” padding_top=”” padding_bottom=”” padding_left=”” padding_right=””][fusion_builder_row][fusion_builder_column type=”1_1″ layout=”1_1″ background_position=”left top” background_color=”” border_color=”” border_style=”solid” border_position=”all” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding_top=”” padding_right=”” padding_bottom=”” padding_left=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” center_content=”no” last=”true” min_height=”” hover_type=”none” link=”” border_sizes_top=”” border_sizes_bottom=”” border_sizes_left=”” border_sizes_right=”” first=”true”][fusion_text]

    Media Release

    bushfire warningsBe bushfire ready: Protect your important documents and protect your good name.

    10 January 2013

    With this week’s record heatwave fuelling bushfires across the country, a consumer advocate for accurate credit reporting is warning Australians that their important papers need to be disaster -ready to prevent both loss and theft of identity.

    CEO of MyCRA Credit Rating Repair, Graham Doessel says if Australians need to leave their homes at any time during a disaster – whether that be a bushfire, storm, or flood they need to ensure their important documents are ready to go with them.

    “In a disaster, there is seldom time to fish around for important papers, so documents should be ready to go should victims need to leave their home in a hurry.”

    “In recent years, crooks have been quite savvy and have realised that personal information is the gateway to identity theft. Disaster victims are not immune and in some cases may be targets,” he warns.

    This comes as the Government issued bushfire warnings last week and urged the public to be prepared should disaster strike – including securing important family documents.

    “The next week is set to be a scorcher so it’s crucial Australians are prepared in the event disaster strikes,” Attorney-General and Minister for Emergency Management Nicola Roxon said in a release to the media last Thursday.

    She advised Australians to prepare an emergency kit, including a torch, first aid kit, medication and a battery operated AM/FM receiver.

    “Other items to include in a household emergency kit include copies of important family documents, contact details for your agreed out-of-town contact and spare clothes and strong shoes,” she said.

    Mr Doessel says disasters in the recent past were further plagued by scammers and identity thieves hoping to make a quick buck from the misfortune of others.

    “In the days and weeks following the Queensland floods in 2010, victims were tricked into giving over personal information and banking details, and were also robbed by crooks masquerading as tradespeople,” he says.[/fusion_text][/fusion_builder_column][/fusion_builder_row][/fusion_builder_container][fusion_builder_container hundred_percent=”yes” overflow=”visible” type=”flex”][fusion_builder_row][fusion_builder_column type=”1_1″ layout=”1_1″ background_position=”left top” background_color=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding_top=”” padding_right=”” padding_bottom=”” padding_left=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none” align_self=”flex-start” border_sizes_undefined=”” first=”true” last=”true” hover_type=”none” link=”” border_position=”all”][fusion_text columns=”” column_min_width=”” column_spacing=”” rule_style=”default” rule_size=”” rule_color=”” content_alignment_medium=”” content_alignment_small=”” content_alignment=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” sticky_display=”normal,sticky” class=”” id=”” margin_top=”” margin_right=”” margin_bottom=”” margin_left=”” font_size=”” fusion_font_family_text_font=”” fusion_font_variant_text_font=”” line_height=”” letter_spacing=”” text_color=”” animation_type=”” animation_direction=”left” animation_speed=”0.3″ animation_offset=””]

    [i]

    Likewise, after the Canberra bushfires in 2003, there were reports of fraud.

    “In the Canberra fires, many victims lost their homes, possessions, cars and key identification documents, meaning they had no way to prove their identity or use support services. Equally, impostors had an opportunity to present themselves as such victims, for instance by claiming to be someone whose name and address they had garnered from media reports” an Australian Federal Police Study reports.[ii]

    He says if a disaster victim is unlucky to have their personal information stolen by identity thieves they can have credit taken out in their name.

    “They are hit twice – because they are also robbed of their ability to have a financial future. They are locked out of credit for up to 5 years or until any defaults that are incurred are removed. This is regardless of the source of the default. The process of repair can take months, as it involves the victim proving to Creditors they didn’t initiate the credit in their name,” he says.

    He says documents like passports, marriage, birth, and death certificates, past tax returns and even bank statements and utility bills could all be stolen and used to appropriate someone’s identity.

    “With so much personal information available online as well, even a small piece of personal information found after a disaster may be all the thieves need to set up a new identity for themselves in one of the victim’s names, or attempt to claim compensation with it.”

    Anyone who is suspicious their identity has been stolen or under threat should contact Police immediately, and should also contact the credit reporting agencies which hold their credit file.

    People can go to http://www.mycra.com.au/credit-file-request/ for help to get their credit report.

    Ms Roxon explained that Australian Government’s Preparing for the Unexpected[iii] brochure and the Red Cross’s Emergency REDiPlan[iv] are both good resources to help Australians be better prepared should disaster strike.

    /ENDS.

    Please Contact:

    Graham Doessel CEO – Ph 3124 7133

    Lisa Brewster – Media Relations media@mycra.com.au

    Ph 07 3124 7133 www.mycra.com.au www.mycra.com.au/blog 246 Stafford Rd, STAFFORD Qld

    MyCRA Credit Repairs is Australia’s number one in credit rating repairs. We permanently remove defaults from credit files.

    ——————————————————————————–

    [i] http://www.smh.com.au/environment/weather/vultures-descend-on-victims-with-scams-20110116-19sm0.html

    [ii] http://www.smh.com.au/articles/2004/03/17/1079199293672.html

    [iii] http://www.em.gov.au/Publications/Communityawarenesspublications/Pages/

    PreparingfortheUnexpectedFifthEdition.aspx#preparing

    [iv] http://www.redcross.org.au/prepare.aspx

    Image: think4photop/ www.FreeDigitalPhotos.net

    [/fusion_text][/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]

  • Is your New Year’s Resolution to buy a home? Check your credit rating doesn’t have a shady past first.

    new year's resolution to buy a homeMedia Release

    Is your New Year’s Resolution to buy a home? Check your credit rating doesn’t have a shady past first.

    8 January 2013

    As the calendar has rolled to the 2013 New Year, many Australians have declared their intentions to knuckle down and put together a deposit for a home – but a consumer advocate for accurate credit reporting warns – before people apply for a loan, they should check they don’t have a shady past with credit they are not aware of.

    CEO of MyCRA Credit Rating Repair, Graham Doessel says there are many reasons people can embarrassed with a bad credit rating and refused a home loan at the time of finance application, and the reason is not always as simple as failing to make payments on time.

    “People have got to be dedicated to be able to get together the minimum 10 per cent deposit that is generally required to buy a home today, but some people are getting to the credit check and are told they have bad credit history and they have no idea why,” Mr Doessel says.

    Prospective buyers may apply for a loan, only to be refused due to credit file defaults which show up on their credit report. Any creditor is able to place a default on a consumer credit file if a repayment is later than 60 days. Credit listings range in duration from 5 to 7 years depending on the listing type.

    Mr Doessel says home buyers do not always have bad credit because of something they have done wrong.

    “Paying your bills on time should, but doesn’t always guarantee a clear credit file. As credit repairers, we see a multitude of instances where the creditor has made a mistake and placed a default or other listing on the consumer’s credit file when it shouldn’t be there. Often it’s not until the credit file holder applies for credit that they are made aware of it, but at that time it’s too late, they often lose the home they are buying,” he says.

    “Credit file mistakes are common, and can be because of simple human or computer error but the end result is that the consumer is blacklisted from credit for at least five years unless they can prove the listing is unlawful.”

    Consumers can check their credit file for free every year, by requesting a copy from Australia’s credit reporting agencies.

    “It is good financial practice to request a copy each year, but there is never a more important time to make sure your credit report is accurate as BEFORE you apply for a home loan, so you don’t lose the home you have your heart set on. Credit reporting mistakes do happen, but the watchdog is you,” he says.

    If a default has been listed ‘unlawfully’ you have the right to request its amendment, or removal from your credit file.

    “If there is something amiss on your credit report, if you find have a shady past with credit that you believe is unfair, don’t let that one notation ruin your life. It’s not easy to dispute a credit listing, but if it shouldn’t be there, it’s a point worth fighting for,” Mr Doessel says.

    People can visit http://www.mycra.com.au/credit-file-request/ for help to get their credit report.

    /ENDS.

    Please contact:

    Graham Doessel – CEO Ph 3124 7133

    Lisa Brewster – Media Relations media@mycra.com.au

    Ph 07 3124 7133 www.mycra.com.au www.mycra.com.au/blog 246 Stafford Rd, STAFFORD Qld

    MyCRA Credit Repairs is Australia’s number one in credit rating repairs. We permanently remove defaults from credit files.

    Image: digitalart/ www.FreeDigitalPhotos.net

  • The 7 deadly mistakes with credit that could harm your home loan application

    Media Release

    The 7 deadly mistakes with credit that could harm your home loan application

    Australians are making mistakes every day with credit, and some may be costly enough to mean they are blacklisted from getting a home loan or other credit for the next five years, a consumer advocate for accurate credit reporting warns.

    CEO of MyCRA Credit Rating Repair, Graham Doessel says there is not nearly enough education around credit in Australia, and many people only get educated about their credit rating when they apply for a home loan.

    “Often it’s not until people apply for a home loan that they even know what a credit rating is, let alone understand that the responsibility for checking the accuracy of their credit rating rests with them,” Mr Doessel says.

    He provides seven deadly credit mistakes that many Australians unknowingly make:

    1. Making repayments late

    Previously it would take 60 days before a repayment fell into arrears and would be listed on your credit file. But under new credit reporting law – from December 2012 any payment to a licenced Creditor which is made late can be recorded on your credit file for two years and could impact your ability to get a home loan. [fusion_builder_container hundred_percent=”yes” overflow=”visible”][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”][i]

    “Making repayments on time, every time will significantly reduce your chances of being refused a home loan down the track,” he says.

    2. Repaying only the minimum amount

    Snowballing interest charges can see people come unstuck until they reach the point where they are unable to pay and begin to get into arrears.

    With credit cards, and other finance agreements, pay much more than the minimum amount to avoid high interest charges.

    If you have debt which carries over on your card month to month you should look at a card that has a lower interest rate.

    3. Buying too much credit

    Ignore what the card company or bank sets for your limit – what can you comfortably afford to repay?

    Also, if you intend to apply for finance in the future, a lower credit limit looks better to a prospective lender – so if you don’t need it – consider reducing it.

    You should also leave some room in your finances over and above your credit debts.

    “Many people fall into default when they are ill or there are other emergency situations, because they have no room in their finances to pay for incidentals – and life does happen,” Mr Doessel says.

    4. Choosing the wrong kind of credit

    Make sure your credit suits you. Make it work for you, not the other way around. What kind of payer are you? What do you need the credit for? There’s no point getting a line of credit if you are the big-spender type – you are certain to get into trouble.

    When you choose a credit card – consider what you need it for. If you are going to use it a lot – perhaps the rewards points could be a deciding factor. But if you are only going to use it sporadically – maybe the annual fees should be more important.

    The same goes for any big ticket item you purchase using credit – like houses and cars. What does it need to do for you? What can you actually afford? How long will you need it for? Can you live comfortably with this debt?

    If you need to go down to one income at some point – will you be comfortable then?

    5. Making multiple credit applications

    When choosing credit that’s right for you, by all means do research but only apply for credit or give your personal details when you’re sure you want to proceed.

    “Many people don’t know that all credit enquiries are recorded on your credit file, and too many will be a detriment to your approvability – so only officially apply when you’re sure,” Mr Doessel says.

    6. Not checking credit statements

    You should check all bills and statements when they come in, and query anything you’re not sure about. Maybe you were charged twice for an item, or charged too much. It is a good way to be alerted early to identity theft as well. You should also check your bank account statements in the same way. Any discrepancy should be disputed immediately.

    7. Not checking your credit report

    Most people don’t know that every year they are able to request a copy of their credit report for free from Australia’s credit reporting agencies.

    If you find a credit infringement on your credit report and you don’t believe it should be there, or if you didn’t know about it, then it’s important to insist the discrepancy is rectified, as it will mean you are locked out of mainstream credit for between 5 and 7 years – depending on the listing type.

    Often people are told by Creditors and the agencies that the bad credit is there to stay for the term – it can’t be removed. But this may not be true.

    For professional advice on how to tackle Creditors and the credit reporting agencies about a listing which should not be there, you can contact a reputable credit repairer.

    “A credit repairer will conduct an audit-like investigation into the circumstances surrounding the listing, and assess the Creditor’s compliance with credit reporting and industry law, and negotiate for the removal of bad credit which is proven to be listed unlawfully by the Creditor,” Mr Doessel says.

    /ENDS.

    Please contact: Graham Doessel – PH 3124 7133

    Lisa Brewster – Media Relations media@mycra.com.au

    Ph 07 3124 7133 www.mycra.com.au www.mycra.com.au/blog 246 Stafford Rd, STAFFORD Qld

    MyCRA Credit Repairs is Australia’s number one in credit rating repairs. We permanently remove defaults from credit files.
    ——————————————————————————–

    [i] http://www.comlaw.gov.au/Details/C2012B00077

    Ambro/ www.FreeDigitalPhotos.net

     [/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]

  • Buying a home? 5 things you need to know about Australia’s new credit reporting laws before you apply for finance.

    Media Release

    Buying a home? 5 things you need to know about Australia’s new credit reporting laws before you apply for finance.

    Some major changes have occurred to Australia’s Privacy Laws, and home buyers need to know about them before they apply for finance. A consumer advocate for accurate credit reporting warns potential home buyers they need to get up to speed with some of the main changes to credit reporting which could see more people refused a home loan in the coming months and years ahead.

    CEO of MyCRA Credit Rating Repair, Graham Doessel says some simple mistakes made with repayments now, could see people blacklisted from credit even before the Privacy Amendments (Enhancing Privacy Protection) Bill 2012’s March 2014 deadline for implementation.

    “Potential home buyers need to know that from this point on, they need to make every credit repayment on time to avoid having late payment information show up on their credit history and potentially ruin their chances of getting the home they want,” Mr Doessel says.

    Mr Doessel explains more about this change, and other factors in Australian credit reporting which impact your credit rating:

    1. Repayment History Information

    From December 2012, whether or not a credit account was paid on time will be part of your credit history and will be used when a lender is assessing your suitability for a home loan.

    The notation will remain as part of your credit history for 2 years.

    The Government intends for these reforms to decrease levels of over-indebtedness in the market.[fusion_builder_container hundred_percent=”yes” overflow=”visible”][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”][i]

    But Mr Doessel is worried it could push more borrowers into higher interest rate loans due to being refused credit with mainstream lenders.

    “Many people pay bills late, for a variety of reasons – this doesn’t necessarily mean they intend for the account to go into default. But these late payers could find they end up refused credit, or charged thousands more in interest due to these notations,” he explains.

    2. Types of credit

    The new laws will now allow information on the type of credit accounts you have, and when they were opened and closed to be shown on your credit history. This will give lenders more ability to determine the relevance of each listed credit account for your specific situation.

    3. Credit limit of each account.

    The credit limit on each credit account will be used to assess the potential volume of credit the potential borrower could have access to.

    But there will be no way of telling what level of debt you actually have only what you could potentially redraw to.

    “It may be worth reducing unnecessary credit limits on your accounts before you make your application,” Mr Doessel says.

    4. Beware excess credit enquiries.

    Whenever a person other than you makes an enquiry on your credit history – that enquiry is recorded on your credit file.

    Mr Doessel says some lenders will decline a finance application due to too many credit enquiries, such as two enquiries within thirty days or six within the year.

    “By all means ask questions, and do your research on the best home loan for you, but when it comes to giving over your details, and making applications, leave that until you have decided which lender suits you best, to avoid being disadvantaged,” he says.

    5. It will still be up to you to ensure your credit file is accurate.

    With all of the new information available to lenders about your credit history, it is more important than ever for that information to be accurate.

    You can apply for your credit report for free every year by making a request to Australia’s credit reporting agencies – Veda Advantage, Dun & Bradstreet and Tasmanian Collection Services (if in Tasmania).

    “It is up to you to ensure your credit file reads accurately,” Mr Doessel says, “and the saving grace for this legislation is the improvements set to be implemented in 2014 around access and correction of your credit file.”

    From March 2014, Creditors will be forced to justify disputed credit listings. Notably, your Creditor will have to substantiate the information they report on your credit file if you dispute it.

    “This change is crucial, considering the power the Creditor has to impact your ability to obtain credit for years to come. Up till now, there has been little obligation within the legislation for the Creditor to justify credit listings, nor remove incorrect data,” Mr Doessel says.

    If the dispute escalates, you can complain directly to the Creditor’s Ombudsman, and in some instances may have a right to remedy under the direction of the Privacy Commissioner.

    “Finally there is some real incentive for Creditors to take due care with adding listings to credit files and we as credit repairers ultimately have a better avenue to help our clients remedy their credit rating errors,” Mr Doessel says.

    /ENDS.

    Graham Doessel – PH 3124 7133

    Lisa Brewster – Media Relations media@mycra.com.au

    Ph 07 3124 7133 www.mycra.com.au www.mycra.com.au/blog

    246 Stafford Rd, STAFFORD Qld. 4053
    MyCRA Credit Rating Repair is Australia’s leader in credit rating repairs. We permanently remove defaults from credit files.

    ——————————————————————————–

    [i] http://www.attorneygeneral.gov.au/Media-releases/Pages/2012/Fourth%20Quarter/29November-2012-FamiliestobenefitasprivacyreformspasstheParliament.aspx

    Image: vichie81/ www.FreeDigitalPhotos.net[/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]

  • Miss a bill payment by one day and risk your credit rating: New Privacy Laws passed today.

    Media Release

    Miss a bill payment by one day and risk your credit rating: New Privacy Laws passed today.

    29 November 2012

    [fusion_builder_container hundred_percent=”yes” overflow=”visible”][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”][UPDATE: Listen to the with Privacy Commissioner, Mr Timothy Pilgrim and Graham Doessel on News Talk 4Bc ]

    The credit history of Australian consumers is about to go under the microscope following the passing in Parliament today of amendments to Australia’s Privacy laws, and a consumer advocate for accurate credit reporting says many consumers will not be prepared for the changes around credit reporting which are about to take place.

    CEO of MyCRA Credit Rating Repairs, Graham Doessel says most Australians won’t know that from December 2012, they need to make bill payments to licenced Creditors on time, every time to avoid having a late payment recorded against their name. He is calling for greater consumer education to avoid unfair and surprise bad credit.

    “Many people pay bills late, for a variety of reasons – this doesn’t necessarily mean they intend for the account to go into default. People who pay bills late often, by accident or otherwise need to be told that this habit could have a detrimental effect on their ability to obtain credit in the future.”

    Mr Doessel goes on to say “I believe the Government should do its best to ensure that every credit active individual knows about these important changes to credit reporting law prior to the reporting of repayment history on Australian credit files.”

    Amendments to Australia’s Privacy Act in the form of the Privacy Amendment (Enhancing Privacy Protection) Bill 2012 – which includes major changes to Australia’s credit reporting laws were passed in Parliament today and come into effect from March 2014.

    Privacy Commissioner Timothy Pilgrim has also warned consumers that they need to prepare for the changes around credit reporting.

    “If a person misses making a payment from as early as December 2012, it will be able to be recorded on their credit record and may affect their ability to access credit in the future. People will not only need to be vigilant about paying their bills on time, they should also make sure that the information held by these organisations is correct. In most cases they can do this for free’,” Mr Pilgrim said in a statement to the media.[i]

    Mr Doessel reiterates the importance for every consumer to ensure their credit report reads accurately in the coming months.

    “There will be so much more information open to lenders now, and consumers should routinely check their credit file, to ensure there are no inconsistencies, and to generally be aware of what is being said about them on their credit report that could see them refused credit in the future,” he says.

    Every credit file holder is able to obtain a copy of their credit report for free every year from one or more of Australia’s credit reporting agencies – Veda Advantage, Dun and Bradstreet and Tasmanian Collection Services (if in Tasmania).

    A report will be mailed to them within 10 working days. Or for a fee to the credit reporting agencies, they can request an urgent copy.

    “It is the consumer’s responsibility to maintain the accuracy of their own credit file, and it will be more important than ever now. People should be encouraged to request a free credit report every year – regardless of whether or not they intend to apply for credit in the near future,” Mr Doessel says.

    If consumers find inaccurate information or inconsistent data on their credit report they do have the right to have that information rectified.

    Mr Doessel says whilst new laws covering credit corrections within the Privacy Amendments (Enhancing Privacy Protection) Bill 2012 are intended to make the process of disputing unfair or inconsistent entries easier, lack of knowledge of credit reporting legislation could still disadvantage the consumer.

    “As it currently stands, disputing an unfair credit listing is a bit like a battle between David and Goliath, with the consumer rarely holding enough knowledge of what constitutes an unlawful credit listing to be able to remove it from their credit file on their own. It will be interesting to see if this will change after the March 2014 deadline,” he says.

    /ENDS.

    Graham Doessel – Ph 3124 7133

    Lisa Brewster – Media Relations media@mycra.com.au

    Ph 07 3124 7133 www.mycra.com.au www.mycra.com.au/blog

    246 Stafford Rd, STAFFORD Qld. 4053
    MyCRA Credit Repairs is Australia’s number one in credit rating repairs. We permanently remove defaults from credit files.

     

    ——————————————————————————–

    [i] http://www.oaic.gov.au/news/media_releases/media_release_121129_privacy_changes.html[/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]

  • Stay safe this Christmas: Scam victims should be worried about 5 year blacklisting on their credit rating

    Media Release

    Stay safe this Christmas: Scam victims should be worried about 5 year blacklisting on their credit rating

    As more Christmas scams come to the fore, a consumer advocate for accurate credit reporting is warning consumers that scammers are not just after the money in their bank accounts, but are after much more – their financial identity.

    CEO of MyCRA Credit Rating Repairs, Graham Doessel says consumers need to be wary of the opportunities fraudsters may take to misuse their personal information.

    “Scams and other fraud attempts are becoming much more sophisticated as profits get more lucrative. Many fraudsters are into building a profile of their victim – extracting layers of information which allows them to access credit in the victim’s name – including loans and even properties.”

    “The difficulty for recovery when someone has tapped in to your credit rating is that generally you have unpaid debts in your name, which are placed in default – which basically means for 5 years your own ability to obtain credit is ruined,” Mr Doessel says.

    This warning comes as the Australian Banker’s Association (ABA) last week announced reports of a telephone scam where fraudsters were impersonating them and offering instructions on how to obtain a ‘refund’ for overcharged bank fees.[fusion_builder_container hundred_percent=”yes” overflow=”visible”][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”][i]

    The ABA said criminals asked customers to proceed to a post office to receive the so-called ‘refund’ – ranging from $5 000 – $7 000.

    Victims are then asked to wire money via Western Union for costs associated with the ‘refund’.

    But in addition, scammers also tacked on a request for personal details, which signifies an attempt to misuse those details in the future, possibly for identity theft purposes.

    Fraudsters asked these questions:

    – With whom do you bank?
    – For how long?
    – What is your credit card number?
    – What is your driver’s licence number?

    Mr Doessel says fraudsters are attempting to gather extra information from their victims over and above what they might already have in front of them.

    “If they have your full name plus who you bank with, and your driver’s licence number – they have the basic building blocks for an identity theft attempt. They can call the bank and have some kind of identity information on which to proceed with accessing bank accounts AND accessing further credit in your name,” he says.

    The bank refund phone scam has been added to a long list of scam attempts running over the past few months, and many more could emerge as Christmas approaches.

    Mr Doessel says sometimes people don’t know they have been a victim until after they apply for credit and are refused.

    “By that time, it is such a struggle to recover your good name. For an identity theft victim to have a chance at removing bad credit history, you must prove you didn’t initiate the credit in the first place. This can be difficult if the scam happened months or years before,” he says.

    What to do if you suspect you have fallen for a scam

    1. Contact the Police immediately. Don’t be embarrassed or dismiss it because you don’t think the amount was significant enough. It is only through identity theft being reported that data gets collected and appropriate preventative measures eventually get put in place.

    2. Contact your Bank. They should be able to flag your accounts so that no credit can be obtained in your name.

    3. Contact the credit reporting agencies that hold your credit file. In Australia, this is Veda Advantage, Dun and Bradstreet and TASCOL (if in Tasmania). You should inform them that you may be at risk of identity theft and they may have a plan of action for protecting your credit file.

    4. At this time, you should also order a copy of your credit report. If there are any inconsistencies on your credit report – change of address, strange credit enquiries and instances of credit you don’t believe you’ve access, then you may already be a victim – and should do all that’s possible to follow up on each account so as not to accrue defaults on your credit file that should not be there.

    5. If you find you have defaults that shouldn’t be there, take steps to remove them. Although it seemed so easy for the fraudster to use your good name in the first place, you are now faced with proving the case of identity theft with copious amounts of documentary evidence in order to get the credit listings removed from your credit file.

    If you have neither the time nor the knowledge of Australia’s credit reporting system and credit legislation that you may need to fight your case yourself, you can seek the help of a professional credit repairer.

    Visit www.mycra.com.au for more information on identity theft and bad credit or call MyCRA on 1300 667 218.

    /ENDS.

    Please contact:

    Lisa Brewster – Media Relations media@mycra.com.au

    Graham Doessel – CEO Ph 3124 7133

    Ph 07 3124 7133 www.mycra.com.au www.mycra.com.au/blog 246 Stafford Rd, STAFFORD Qld

    MyCRA Credit Repairs is Australia’s leader in credit rating repairs. We permanently remove defaults from credit files.

     

    ——————————————————————————–

    [i] http://www.bankers.asn.au/Media/Media-Releases/Media-Release-2012/Phone-Scam-Alert[/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]

  • A schoolie’s guide to the financial future: 5 important credit lessons.

    Media Release

    A schoolie’s guide to the financial future: 5 important credit lessons.

    While schoolies across Australia are celebrating finishing twelve years of education and looking forward to a bright future of bigger and better things, a consumer advocate for accurate credit reporting says when the good times are over, school leavers should prepare themselves for their new financial life as young adults.

    CEO of MyCRA Credit Rating Repairs, Graham Doessel says many young people amble through their early years with credit, making mistake after mistake that can cost them dearly down the track.

    “Young people can often get into a really bad pattern with credit, taking out credit cards, putting cars and electrical goods on credit and getting behind in repayments which sees them taking out new credit just to pay off the old credit.”

    “Before they know it, they’re 20 years old and facing bankruptcy or Court Action and years of being locked out of the finance market coming into the crucial years when they need it most,” Mr Doessel says.

    He says young people have got to be wise and ensure they are making credit work for them.

    He provides some advice for those young people coming of financial age:

    5 Important Credit Lessons For School Leavers

    1. Your credit file follows you…everywhere in Australia.

    Once you turn 18, you can become credit active, and can take out credit in your name. The history of your credit activity, good and bad is detailed on your credit file, which can be accessed by those thinking of lending you money.

    Your credit file lists personal details like name and address, but also any times you have applied for credit, any defaults (overdue accounts), court judgements, writs and bankruptcies.

    This credit file stays with you for life, and is added to by Creditors over your life.

    2. Overdue accounts are considered bad credit history.

    Many young people don’t realise how easy it can be to end up with a bad credit rating. Any account which is 60 days overdue (this ranges from mobile phones to credit and store cards, car loans to mortgages), is then considered in default. The Creditor then has the right to list this default on your credit file.

    “Even too many credit enquiries can show negatively on your credit report – so don’t apply with too many lenders – by all means do your homework but don’t sign up or give over your details until you’re sure you want the credit,” he says.

    3. Bad credit history matters.

    A single default for as little as $100 can stop you from getting mainstream credit in the current market for the term of the listing – which is five years.

    You may be forced to pay a whole lot more in interest to secure credit because of the risk of lending to someone with a bad credit rating.

    “Endeavour to pay all of your accounts on time. If you can’t pay, then contact your Creditor to work something out. You have to think ahead about what you want to achieve in another five years and whether the choices you make now could hinder those future plans,” Mr Doessel says.

    4. With all financial dealings, and especially credit – cover yourself at all times

    If you’re dealing with a Creditor in a tough situation, get the name of the person you’re dealing with, write down what is said and if a resolution is reached – get it confirmed in writing.

    If you need to cancel an account, don’t assume its cancelled until you receive written confirmation. If you are moving, provide a forwarding address.

    “This can be a common reason people get bad credit when they move – they may cancel a phone or electricity account and be left with a bill they weren’t aware of,” he says.

    Protect your credit file from misuse by keeping your personal information closely guarded. Your personal information is the key to your financial identity.

    “At all times – online, while making purchases, while banking, you need to be aware of the ways your identity could be compromised. You may not have a lot of money in your accounts – but you may have access to credit – and crooks can open accounts in your name and leave you with debts you can’t afford and your financial future ruined,” Mr Doessel says.

    5. You are responsible for the accuracy of your credit file

    Creditors can and do make mistakes with credit files all the time, but the responsibility to ensure your credit file reads accurately rests with you. Make it a habit to check your credit file once every year. This is free to do annually. All you do is contact the credit reporting agencies Veda Advantage (www.vedaadvantage.com.au), Dun & Bradstreet (ww.dnb.com.au) and Tasmania’s TASCOL (www.tascol.com.au).

    They will mail you a report within 10 working days.

    If you believe there has been a mistake on your credit file, then you have the right to have the mistake rectified. This may not be easy, but it is a point worth fighting for.

    For more information on your credit rating, see the MyCRA Credit Rating Repairs website www.mycra.com.au.

    /ENDS.

    Please contact:

    Graham Doessel – Director Ph 3124 7133

    Lisa Brewster – Media Relations media@mycra.com.au

    Ph 07 3124 7133 www.mycra.com.au www.mycra.com.au/blog 246 Stafford Rd, STAFFORD Qld

    MyCRA Credit Repairs is Australia’s leader in credit rating repairs. We permanently remove defaults from credit files.

    Image: photostock/ www.FreeDigitalPhotos.net

  • The risks you’re taking with credit this Christmas that could see you left without a home

    Media Release

    The risks you’re taking with credit this Christmas that could see you left without a home

    A consumer advocate for accurate credit reporting warns Australians who use credit over the Christmas period they should be cautious about the ways their credit rating can be put at risk, which could see them refused finance in the New Year.

    CEO of MyCRA Credit Rating Repairs, Graham Doessel says after the highs of Christmas, the New Year can see people weighed down by credit stress, and the reason is not always due to overspending.

    “Many people throw things on credit at Christmas and think nothing of it, but we should be on guard for the ways this can potentially lead to credit stress and bad credit history in the following months.”

    “If you’re lumbered with a bad credit rating, you’re generally locked out of mainstream credit for a significant time – between 5 and 7 years. You can be refused a home loan, and most other credit for that matter – even mobile phone plans.” Mr Doessel says.

    He says people have an increased risk of damaging their credit rating during Christmas and covers 5 major ways this can occur:

    1. Identity theft.

    Identity theft and fraud has grown in severity and volume to now be the fastest growing crime in Australia.[fusion_builder_container hundred_percent=”yes” overflow=”visible”][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”][i]

    Scammers are out in full force at Christmas, people can be lax with their personal information and credit cards are used more frequently and at a variety of locations.

    Security company, McAfee’s recently released their warning ’12 scams of Christmas’ hoping to warn consumers about where cybercriminals may be looking to take advantage of consumers over the festive months. Scams warnings are given for fake vacations, fake gifts and e-cards, malicious mobile apps and a multitude of online dangers including bogus websites and phishing scams.[ii]

    “If fraudsters are able to get hold of your personal details they have the key to your good credit rating. They can run up credit all over town in your name. Often it’s not until you apply for credit in your own right and are refused that you realise your credit file has been misused – but by then it’s too late. Your life is basically set to be turned upside down,” Mr Doessel says.

    2. Overlooking bill payments.

    With the busy lead up to Christmas, some people can find they overlook repayment of basic accounts. Then if they go on vacation, it can easily escalate the overdue account into default status.

    “Overdue bills for as little as $100 can be just as damaging to your credit file as missing a mortgage repayment. Any credit account which is more than 60 days overdue can be listed by the Creditor and will show on your credit rating. Basically any negative listing will hinder your chances of getting credit in the future,” Mr Doessel says.

    3. Moving and transfers.

    “A change of address is a very common reason bills and warning notices go unnoticed and unpaid – and you can have a bad credit rating attached to you that you have no idea about until you apply for a home loan,” he says.

    As Christmas and New Year is a very common time for transfers and other work changes to occur that could see people moving interstate, people should tie up all loose ends at their current address, ensuring all changes of address and accounts are settled and confirmed in writing to avoid being blacklisted for credit.

    4. Over committing and spiralling into debt.

    Some people feel the pressure to give so much they do so at the expense of their own budget and ultimately end up with a debt they cannot pay back.

    The consequence of this can be getting into more debt to pay the original debt. People then end up with loan commitments they can’t meet or other bills get neglected because they just can’t afford to pay it all. Creditors start to close in and their credit file is damaged.

    5. Overlooking errors and omissions from Creditors.

    Creditors may also be affected by Christmas. The volume of transactions may increase while staff decrease, putting pressure on some Creditors’ systems.

    For this reason it is crucial for people to keep watch on their own finances.

    “Despite being a busy period for all families, it is important to check your bank statements and bills at this time. Creditors can and do make mistakes with billing. Also keep abreast of which bills are due and when. If you notice you haven’t received a bill and you believe it’s due, you should chase it up. No news is in this case not good news, and could mean you have an overdue account noted on your file,” he says.

    Christmas is also a good time for people to check their credit file. They can request a free copy of their credit file from one or more of the credit reporting agencies and a credit report will be sent within 10 working days.

    “If there are errors on your credit report, or it contains negative listings – defaults, writs or Judgments which are unfair or shouldn’t be there, then it is important to know you have the right to have them rectified or removed,” Mr Doessel says.

    Contact MyCRA Credit Rating Repairs for more information on credit rating repair on 1300 667 218.

    /ENDS.

    Please contact:

    Graham Doessel – Director Ph 3124 7133

    Lisa Brewster – Media Relations  media@mycra.com.au

    Ph 07 3124 7133 www.mycra.com.au www.mycra.com.au/blog 246 Stafford Rd, STAFFORD Qld

    MyCRA Credit Repairs is Australia’s leading credit rating repairer. We permanently remove defaults from credit files.

    Image: sixninepixels/ www.FreeDigitalPhotos.net

     

     

    ——————————————————————————–

    [i] http://www.crimecommission.gov.au/publications/crime-profile-series-fact-sheet/identity-crime

    (2) https://blogs.mcafee.com/consumer/12-scams-of-christmas-2012[/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]