MyCRA Specialist Credit Repair Lawyers

Tag: Graham Doessel

  • How to improve your credit score: what to do when you have a bad credit history

    Help for frustrated Australians who find out they have a bad credit rating.

    By GRAHAM DOESSEL – CEO and founder of MyCRA Credit Repairs and www.fixmybadcredit.com.au.

    There are approximately 3 million Australians* with adverse listings on their credit file, also known as a ‘bad credit rating’. Adverse listings can include, default listings, writs, Judgments, bankruptcies*, even excess credit enquiries. All of these can impact your ability to obtain credit. The consequences of having any issues with your credit file include home loan refusal, personal loan declined, and even being turned away from getting a mobile phone plan.

    One problem is many people go searching on the internet for help with ‘improving their credit score’. This is most commonly an American term which has no bearing on Australian credit reporting law.

    The Australian credit reporting system is currently a ‘negative’ reporting system. Only negative entries are included, and generally when a lender requests a credit report and sees listings on your credit file, they will be seeing these entries as negative. The laws are currently undergoing changes – but as a general rule – you don’t want late payments, defaults or credit errors holding you back from an otherwise perfect ability to service a loan or forcing you into choosing a loan at sky-high interest rates. You could pay thousands extra on a higher interest rate than your standard variable rate.

    So you may be wondering, how then, can I fix my bad credit?

    Well it depends on what comes up on your credit report….

    The first thing you need to do is request your credit report. This can be obtained from one or more of the credit reporting agencies, and is a file on all of your credit information. You can request a copy of your credit file for free every 12 months.

    If there are any adverse listings on your credit file which you believe are incorrect, contain errors or just should not be there – then you have the right to have those credit file errors removed.

    The problem with attempting to dispute errors on your credit file with creditors yourself is two-fold. Without knowledge of the legislation, people almost invariably get caught in legal ‘loop-holes’ which see the default, writ or Judgment left on the credit file, or at best see the listing marked as ‘paid’. Both of these results DO NOT give you that home or car loan as lenders still consider even a paid listing as bad credit history.

    Secondly, by talking to creditors themselves about credit file errors, people can accidentally ‘alert’ creditors to any mistakes they may have made in the initial method of credit reporting – allowing them to fix up their mistakes and negate the need to remove the credit file default which was placed in error.

    If you are just starting out and wondering “How can I repair my bad credit?” then the best course of action is to instill the help of a credit repairer before you do anything yourself. They can help you get a copy of your credit file, and go through the bad credit history with you. They can then use their knowledge of credit reporting legislation to see where any errors in credit reporting were made, and help to enforce the legislation that creditors are bound to comply with.

    If they are successful, you not only get help with removing errors, but many times you are able to start off with a completely clean credit rating. You have a clean slate and can go for any loan you choose at the best interest rates.

    Once you have those defaults removed, then you can certainly ‘improve’ your credit history in the future with these 5 easy steps:

    1. By ensuring all bills are paid on time. Keep track of and be aware of any stray bills – particularly when major changes are occurring in your life like moving house, divorcing, death, and illness.

    2. By using credit. Having no credit history means there is nothing to calculate and the risk appears high to lenders. We should start by borrowing something small. Repaying mobile phone plans, internet accounts, or store credit on time will appeal to anyone checking our credit report.

    3. Obtain a credit report every 12 months. This ensures there are no errors on your credit file. Sometimes human error means the wrong person gets the bad credit file entry, or adverse listings are entered incorrectly or unlawfully. If in doubt, talk to a credit repairer.

    4. Beware excess credit enquiries. Only apply for credit you feel you have a very good chance of being approved for, and only applying for credit we have full intention of pursuing.

    5. Show stability. If you are thinking about applying for major credit in the near future, consider that lenders are looking for a stable address, stable income stream and regular savings as well as a squeaky clean credit file to help with assessing your suitability for a loan.

    * Veda Advantage 2009

    * MyCRA Cannot remove bankruptcies from credit files

    Image: graur razvan ionut/ FreeDigitalPhotos.net

  • NCCP class action is passing the buck

    A class action against banks for irresponsible borrowing – seems unlikely when considering how hard it is for so many to get a home loan in this country – particularly for those people with a bad credit history.

    By GRAHAM DOESSEL CEO of MyCRA Credit Repairs and www.fixmybadcredit.com.au

    As discussed with Kevin Turner of Brisbane’s 4BC Real Estate Talk.

    Australian banks are being brought to answer under new NCCP legislation with a massive class action instigated by struggling borrowers, according to Broker News.

    The lawyers of 300,000 struggling bank customers are putting together a case alleging bank lending has put borrowers at risk. The case will be built around first home buyers and lower income households who have received loans since the onset of the financial crisis.

    It will allege that some of these borrowers are experiencing severe financial hardship through no fault of their own, through being allowed to enter a loan contract that they could not afford.

    The case is being spearheaded by retired international insurance broker Roger Brown, according to Fairfax Newspapers, who has been quoted as saying the way banks have been lending has been “irresponsible”.

    In my view, borrowers need to take responsibility for understanding the commitment they are entering. Anyone who signs a contract should not do that lightly – a loan is a serious commitment which stretches for longer than many first home buyers have been alive. Buyers need to be comfortable in it long term, allowing for future changes that no bank can calculate on.

    If people only just qualify for the mortgage with the first home buyer’s grant, and then they go and add further and further credit commitments to the mix, of course they are going to run into trouble. But how can that be the bank’s fault? The First home buyer’s grant is intended as government assistance, not as help to prop up people who would otherwise fail to qualify.

    In real terms our system makes it extremely difficult for people to get a home loan and heaven forbid them having a bad credit rating for not paying a bill on time.

    We help more and more clients with a bad credit rating every day. These people have saved for a deposit for years, only to have their dream of home ownership ripped out from under them because of something like a small Telco default.

    If the banks had in some way falsified information, then of course that would be irresponsible and deserving of a class action. But if these buyers have really just failed to fully understand their own responsibilities and the ramifications of late payments until it was too late, then I don’t believe that is grounds for suing the banks.

    What is needed is more education in general from governments and the industry, and that would be a great outcome for Australian borrowers in general.

    People need to understand credit from a young age, how it can work for them, what can go wrong and how much is too much. They need to be educated about their credit rating and how essential it is to keep a clear credit file.

    For more information on how a bad credit rating affects people’s lives, to order a free credit report or to learn how to fix a bad credit rating, visit our main website www.mycra.com.au or call us tollfree on 1300 667 218.

  • Telstra’s at it again. And this time it may affect YOU.

    Your credit file could be affected by errors in the telecommunications industry…here is a media release we sent out last month about a significant data breach which occured with Telstra’s customer files. We are eager to see what the Privacy Commissioner’s findings will be on this incident.

    Media Release

    12 December 2011

    A massive data breach of Telstra’s customer database has potentially put around 800,000 of its customers at grave risk of having their passwords stolen and their personal information pilfered by identity thieves.

    The data breach which occurred last Friday, saw detailed personal information which was supposed to be available to Telstra customer service agents only, exposed and openly accessible on the internet.

    The Sydney Morning Herald reported on Friday a user of the Whirlpool forum stumbled upon the “Telstra bundles request search” page after doing a Google search for a Telstra customer support phone number they were told to contact.[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]

    SMH reported the information of any Telstra customer was searchable even by last name, bringing up the customer’s account number, what broadband plan they were on, what other Telstra services they were signed up to and notes associated with the customers’ accounts including in many cases their usernames and passwords.

    There were also other details about technician visits, SMS messages sent to private mobile numbers and credit check details.

    Telstra has reportedly reset approximately 60,000 customer passwords as a precaution.[ii]

    Telstra bundle customer, Graham Doessel is one of those potentially at risk.

    He also happens to be the CEO of a company dealing in credit repair for people who have been unlawfully blacklisted from borrowing facilities. He says as much as 50% of his clientele who present with credit file errors and inconsistencies are Telco customers, and many of those are Telstra customers.

    “This data breach is a crucial example of how errors occur so easily in the Telco industry. Unfortunately they have the potential to severely damage someone’s financial future.”

    “Every day we deal with customers who can’t get a home loan, because their credit rating is damaged by improper execution of policies and procedures in the Telco industry,” Mr Doessel, of MyCRA Credit Repairs says.

    Mr Doessel is concerned he is amongst those Telstra customers whose personally identifiable information may have been viewed, and copied for purposes of fraud during the time the information was readily available on the internet.

    “The issue is about both our possible stolen passwords, and our possible stolen personal details – a huge commodity for fraudsters. What’s to say fraudsters haven’t jumped on the internet while this information has been available and copied it?”

    “Personal details are the building blocks for constructing a fake identity. Once someone has fake ID documents, they can take out significant amounts of credit in the victim’s name. Often people don’t find out about it straight away and that can result in defaults from creditors and massive long term credit issues,” he says.

    Mr Doessel recommends anyone who feels they may be at risk by this data breach take a few precautionary steps to ensure their credit file is protected:

    1. Change passwords. Even if Telstra hasn’t advised you otherwise, go in and change your password. If you have that same password for unrelated accounts, change that as well.

    2. Contact creditors and advise them you may be at risk of identity theft. This will allow them to ‘flag’ your accounts and halt any suspicious activity.

    3. Check your credit file. Obtain a free copy of your credit file and check there is nothing suspicious already present on your credit file.

    4. Alert credit reporting agencies. They can put an alert on your credit file which informs you of any changes to contact details, or suspicious credit enquiries you may not have initiated.

    The Privacy Commissioner, Timothy Pilgrim made a statement yesterday:

    “I have opened a formal investigation into the Telstra data breach. At a briefing today Telstra has assured our office that the immediate problem has been rectified and that personal data is no longer accessible.

    I have asked that Telstra also provide me with a detailed written report on the incident, including how it occurred, what information, if any, was compromised and what steps they have taken to prevent a reoccurrence. I will consider all the information provided by Telstra and hope to be in a position to issue an investigation report in late January 2012,” Mr Pilgrim says.

    It is uncertain exactly what and or how much the Privacy Commissioner could determine Telstra would be liable for.

    A recent decision handed down by the Privacy Commissioner only last week, saw one individual complainant awarded $7500 in compensation after a Leagues Club was found to have breached their privacy.[iii]

    This is not the first time a major data breach has occurred with Telstra. In October 2010, a mailing error saw around 60,000 letters containing personal customer information sent to other customers.

    The Privacy Commissioner found the privacy of Telstra customers was only breached in 2010 due to human error, and did not occur due to any systemic failure of Telstra’s processes or procedures, therefore they were not required to pay damages in this instance.[iv]

    /ENDS.

    Please contact:

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

    Graham Doessel – Director info@mycra.com.au

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

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

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  • Personal information…the gateway to identity theft

    Hackers access databases searching for personal information that can be extracted and misused or traded to fraudsters for purposes of identity theft. We look at how your identity and ultimately your clean credit file can be put at risk. By GRAHAM DOESSEL.

    It’s Saturday night in Las Vegas. Thousands of pairs of shoes sit neatly in boxes on warehouse shelves in the dark. The store’s customers and staff are at home enjoying their evening. In the credit information office, the lights are off, the filing has been done. But in the dark, thousands of the store’s computers are being remotely accessed by hackers.

    The personal information of the shoe store’s customers is likely being transferred. It is likely this information will now be sold on the black market to fraudsters. This information could now be used to further attack those unsuspecting customers. Those customers could now be a target for identity theft and receive phishing emails in order to get further information from victims, including the credit card number.

    This may have been how the saga transpired for shoe company, Zappo.com on the weekend. In a story from the Sydney Morning Herald this morning it was reported that on Sunday Amazon.com owned shoe retailer Zappos.com announced it was hacked. Hackers broke into the credit card database. Up to 24 million of its customers’ personal information may have been accessed. The company said customers’ credit card information was not stolen, but names, phone numbers, email addresses, billing and shipping addresses, along with the last four digits from credit cards and more may have been accessed in the attack.

    Here is an excerpt from that story, titled ‘Zappo’s customers details walk out the door’:

    It is not yet known how hackers gained access to the database or if a zero day exploit was used, but a security expert said it is likely customer data will now be sold in the cyber underground.

    Robert Siciliano, a McAfee consultant and identity theft expert, told Mashable he expects whoever hacked Zappos’s site to now sell the data to people who run phishing scams.

    “They’ll sell it 10,000 accounts at a time, short money, like $100,” he said adding there is enough information for a hacker to approach affected users as either Zappos or the credit card company and then ask them for more data — the classic phishing scam — which might be supplemented with a voicemail “vishing” attack as well, Mashable reported.

    Zappos said it was contacting customers by email and urging them to change their passwords.

    Las Vegas-based Zappos said the hackers gained access to its internal network and systems through one of the company’s servers in Kentucky.

    And in the news last week, we get an insight in to the type of crime ring that hackers may sell this information to. AFP report titled ’50 held in Puerto-Rico based identity ring’.

    The U.S. Justice Department announced late last week it has charged 50 people with conspiracy in a scheme to acquire personal identification information on US citizens in Puerto Rico and then sell it through fraudulent documents.

    Typically, the documents consisted of forged Social Security cards and birth certificates. They were sold for prices ranging between $700 and $2,500.
    The documents were sold from April 2009 until December 2011 to buyers throughout the United States.

    “The alleged conspiracy stretched across the United States and Puerto Rico, using suppliers, identity brokers and mail and money runners to fill and deliver orders for the personal identifying information and government-issued identity documents of Puerto Rican US citizens,” said Assistant Attorney General Lanny Breuer in a statement.
    The indictment alleges that identity brokers ordered the forged documents for their customers from Puerto Rican suppliers by making coded telephone calls.
    They would refer to “shirts,” “uniforms” or “clothes” as codes for various kinds of identity documents.
    “Skirts” meant female customers and “pants” meant male customers who needed documents in various “sizes,” which referred to the ages of the identities sought by the customers.

    Payment was made through money transfers while the documents were sent by mail.

    Some of the persons receiving the forged documents used them to obtain drivers licenses, US passports and visas, the Justice Department reported. Others are accused of using the documents to commit financial fraud.

    Sure this crime went on in the U.S. but it couldn’t happen here – could it?

    Well, to begin with – how many Australians have credit card details registered with Amazon, for example? We might live on an island, but U.S. crime can always reach our shores via the internet. Just look at the Sony PlayStation saga as a specific incident of how our details are not immune to theft on overseas shores.

    With identity theft being the fastest growing crime in Australia – it seems criminals here will be hot on the heels of the U.S. with newer, better, more sophisticated ways to get something for nothing.

    Interestingly, many hacks are actually not instigated to commit identity theft, but are statements to different industry bodies. For example the recent Robin Hood-style hacking of Texas security analysis company, Stratfor on Christmas Eve. Hackers obtained thousands of credit card numbers and other personal information from the firm’s clients and started making payments to several charities.

    “The assault was believed to have been orchestrated by a branch of the loosely affiliated hacker group called Anti-Sec and appeared to be inspired by anger at the imprisonment of Bradley Manning, the US army private accused of leaking US government files to WikiLeaks. An online statement from the group said the attack would stop if Manning was given ”a holiday feast … at a fancy restaurant of his choosing”,” the Brisbane Times reports.

    MP Malcolm Turnball and billionare businessman David Smorgon were amongst the victims who had relatively small amounts extracted from their credit card and donated to charities such as Save the Children, Red Cross and CARE.

    But for those hackers whose main aim is to extract details from databases and onsell them to fraudsters – we should all be very wary. And unfortunately, there is always that element of doubt about the security of our personal information in company databases.

    A leading fraud expert made this suggestion for online credit card use:

    In a story the Courier Mail featured in October last year, titled ‘Queensland Police Fraud chief Brian Hay calls for banks to bring in credit cards that can only be used in Australia to stop cyber-crime’, Det. Supt. Hay made some valid suggestions about how Australians can protect themselves from this type of fraud. One included for shoppers to have a credit card specifically for online purchases with a small credit limit. This is good advice to follow to prevent having large amounts extracted from credit cards if the companies with those details are ever hacked.

    Unfortuanately, it doesn’t stop identity thieves ‘phishing’ for further information on their victim for purposes of full-blown identity theft.

    If credit is taken out by fraudsters in the victim’s name, they can end up with defaults on their credit file – and this is not easy to recover from. First the victim has to prove they didn’t initiate the credit themselves. This would require documentary evidence and Police reports. But the identity theft victim would be virtually banned from obtaining credit until they are able to wade through the mess that has been created for them on their credit report, and clear their good name.
    For help with credit repair following identity theft, contact MyCRA Credit Repairs on 1300 667 218 or visit our main website www.mycra.com.au.

    Image: Danilo Rizzuti / FreeDigitalphotos.net

     

  • Australian Bureau of Statistics Housing Finance Nov 2011

    The ABS has today released its new figures on Housing finance for November. The number of committments for owner occupied dwellings has risen 1.4% – higher than was expected by economists.

    Positive results for the housing market, but home buyers will still have to work hard to ensure they meet banking criteria, including presenting with a clean credit file.

    By GRAHAM DOESSEL.

    The Herald Sun reported Macquarie senior economist Brian Redican as saying the November  data was encouraging.

    “Definitely, we are seeing a step in the right direction,” he said.

    Mr Redican said the housing sector might receive a boost from the two successive interest rate cuts by the Reserve Bank of Australia (RBA) late last year, and the prospect of more cuts to come in 2012.

    “I think it does have to have a positive impact.

    “These numbers don’t reflect those cuts yet and it will have to take a few more months for that to flow through.

    “What it does do is just make housing more affordable for those people that were thinking of going into the housing market.”

    ABS HOUSING FINANCE NOVEMBER 2011

    NOVEMBER KEY POINTS
    VALUE OF DWELLING COMMITMENTS

    November 2011 compared with October 2011:

    The trend estimate for the total value of dwelling finance commitments excluding alterations and additions was flat (0.0%). Investment housing commitments fell 0.5%, while owner occupied housing commitments rose 0.2%.

    In seasonally adjusted terms, the total value of dwelling finance commitments excluding alterations and additions rose 2.1%.
    NUMBER OF DWELLING COMMITMENTS

    November 2011 compared with October 2011:

    In trend terms, the number of commitments for owner occupied housing finance rose 0.6%.

    In trend terms, the number of commitments for the purchase of established dwellings rose 0.8% and the number of commitments for the purchase of new dwellings rose 0.5%, while the number of commitments for the construction of dwellings fell 0.9%.

    In seasonally adjusted terms, the number of commitments for owner occupied housing finance rose 1.4%.

    In original terms, the number of first home buyer commitments as a percentage of total owner occupied housing finance commitments rose to 20.0% in November 2011 from 19.1% in October 2011.

     

    With talks of a weakening economy, we don’t imagine banks will be easing up on their lending criteria. It will still be essential for borrowers to have a squeaky clean credit file, which could involve people checking their credit report for errors if they are unsure why they may be refused finance.

    If potential borrowers need help with credit repair, they can contact us at MyCRA Credit Repairs on 1300 667 218 or visit the main website www.mycra.com.au.

    Image: Idea go/FreeDigitalPhotos.net

     

     

     

     

     

  • How to keep your credit rating healthy

    7 ways to keep a squeaky clean credit file and get that home loan or finance….

    By Graham Doessel.

    Many people don’t realise how easy it is to get a bad credit rating, or how difficult credit repair can be.

    A clear credit file is so important because it is the key to your financial freedom. In today’s economic times, it is essential that your credit file be kept clear of any black marks.

    Any defaults (overdue accounts which have lapsed past 60 days), writs, judgements or bankruptcies which are recorded on your credit file will remain there for 5 years.

    A bad credit rating can prevent you from obtaining a mortgage, car or personal loan with banks but many don’t know it can also prevent you from obtaining a simple mobile phone plan.

    So how do you go about avoiding a credit rating default and keep your credit rating looking as healthy as possible? Outlined below are 7 essential tips:

    1. Use credit
    It may be tempting to get rid of all credit. But it is easier to obtain credit for a mortgage or business loan if there is some kind of reference of your credit history on your credit file. Taking out small accounts such as a mobile phone plan may be a good choice as long is each payment is made on time.

    2. Pay bills on time
    If you pay all accounts on time and by the due date, there is less chance you could receive a default listing on your credit file. If you can’t pay your account by the due date don’t bury your head in the sand – call the creditor and try to work out some type of payment plan.
    This contact may be enough to ensure your credit rating is not tarnished. If you receive a bill you don’t agree with, it is still essential to pay the account by the due date to avoid a default listing. Better to make the payment and be reimbursed for the difference than be paying for 5 years for someone else’s mistake.

    3. Be smart with credit
    Credit should be the key to financial freedom, but often it is the source of a great many problems in people’s lives. Yahoo’s Money and Your Life website has help for managing debt and finances. This article has some great tips for keeping credit under control and making it work for you http://au.pfinance.yahoo.com/moneyand yourlife/managing-debt/article/-/8044026/expert-tips-for-cutting-credit-card-debt/.

    4. Be aware of excessive credit enquiries.
    You should only apply for credit if you feel you have a very good chance of being approved. Declined credit applications on your credit file can hinder your chances of obtaining a home loan. Likewise, you should only apply for credit you have full intention of pursuing. Every application is noted on your credit file, but not whether it was approved. If you go ‘credit shopping’ and apply for credit everywhere – the lender may consider you a bad risk due to those excessive credit enquiries showing up on your credit report.

    5. Educate yourself on ways your credit rating can be damaged
    It may not be simple overdue accounts which leave you with a bad credit file. People who have recently divorced or separated are particularly vulnerable to problems due to joint accounts. Also victims of identity theft can have a number of defaults on their credit file they are unaware of. Often times simple errors can occur which you aren’t aware of until you apply for credit and are flatly refused.

    6. Check your credit file regularly
    It’s important to check your credit file and understand what lenders may be seeing on your credit rating. Usually every 12 months should pick up any discrepancies that may need addressing.

    Under current legislation you can obtain your credit report for free from the major credit reporting agencies Veda Advantage, Dun & Bradstreet, and TASCOL (Tasmanian Collection Services). Your credit report will be sent to you within 10 working days.

    7. Fix credit rating
    If you do find credit rating defaults that you believe have errors, are unjust or you feel just shouldn’t be there – there is a good chance they can be removed. Many creditors will tell individuals that a default can never be removed, but can be marked as paid if it has been paid. This may not be enough to ensure credit is obtained with many lenders.

    You may be better off seeking the services of a reputable credit repair company than attempting to negotiate with creditors on your own to fix your credit rating. The credit repairer will negotiate on your behalf, working with creditors and understanding current legislation and how it applies to your credit file.
    Sometimes if individuals are unskilled in the current legislation they can do more harm than good when it comes to credit rating repairs.

    Visit the MyCRA Credit Repairs website www.mycra.com.au to get more information or help with your credit file or contact us tollfree 1300 667 218.

    Image: digitalart/ Freedigitalphotos.net

  • Identity criminals harvesting data on our children

    Media Release

    10 November 2011

    Police are concerned identity criminals may turn to targeting the Facebook accounts of children, storing their readily available personal information until they come of age.

    They confirm ‘warehousing data’ is a new trend amongst identity criminals, and warn personal information could be stored and used to set up fake identity documents when the child turns 18, which would allow fraudsters to take out credit in their name.

    A national credit repairer cautions this could leave the newly credit active young person blacklisted from credit well into their 20’s.

    “The amount of personal information that many young people have freely available for viewing on Facebook is frightening. These young people don’t grasp that the information they are posting now, can come back to haunt them later – if that information is stored and misused, their lives can be turned upside down – for 5 years they are locked out of credit, refused cards, loans, even mobile phones,” Director of MyCRA Credit Rating Repairs, Graham Doessel says.

    The Australian Federal Police’s national co-ordinator of identity security strike team, Ben McQuillan spoke about the dangers of identity crime on Tuesday at a forum in Sydney on money laundering and terrorism.

    He warned listeners about the new trend of ‘warehousing’ which involves storing data for a time, making it harder for a victim or bank to trace where and when the data was stolen.

    ”If people know your full name, your date of birth, where you went to school and other lifestyle issues, and they were to warehouse that data, there is a prospect that could then be used to take out loans or credit cards or to create a bank account that could then be used to launder money,” Mr McQuillan told the Sydney Morning Herald.

    Mr Doessel says identity theft  is not only about the initial loss of monies, but if the fraud amounts to credit accounts in the victim’s name going undetected and unpaid past 60 days, a person’s credit file can be ruined for 5 years due to defaults.

    “It need not be major fraud to be a massive blow to the identity theft victim. Unpaid accounts for as little as $100 can have the same negative impact on someone’s ability to obtain credit as a missed mortgage payment. So any misuse of someone’s credit file can be extremely significant,” he says.

    Proving the case of identity theft when attempting to recover a clear credit rating can be difficult for the individual to undertake, as Mr Doessel says the onus is on the victim to prove to creditors they didn’t initiate the credit.

    “The fact that the perpetrator is long gone and the actual act of identity theft happened years earlier will only add to that difficulty,” he says.

    Identity theft and subsequent fraud has become rampant worldwide. A survey commissioned by the Attorney-General’s office in July showed 1 in 6 Australians had been or knew someone who had been the victim of identity theft or misuse.

    The survey also revealed that the majority of identity theft or misuse occurred over the Internet (58 per cent).

    A U.S. study released earlier this year, revealed some alarming statistics about Facebook. Of the 20 million minors who actively used Facebook in the past year, 7.5 million—or more than one-third—were younger than 13 and not supposed to be able to use the site.

    It also revealed that one million children were harassed, threatened, or subjected to other forms of cyber-bullying on Facebook in the past year.

    “Clearly, using Facebook presents children and their friends and families with safety, security, and privacy risks,” the report said.

    Mr Doessel recommends parents take an active role in their child’s computer use. He recommends parents and children engage in what information is being provided quite publicly on social networking sites:

    1. Keep Privacy settings high, browse in a secure web browser, which should begin with https: and set profile to ‘Friends only’.
    2. Don’t post personally identifiable information such as full name, date of birth, phone number, and address.
    3. Do not add friends you don’t know. They could be gathering information about you or spreading viruses.
    4.  Be careful about clicking on links – even if they come from friends. Many posts contain viruses which can spread through your whole friends list, or links to sites which require you to enter personal information.
    5. Parents and children should sign up to the government’s StaySmartOnline’s alert system www.staysmartonline.gov.au , which provides many tips for safe social networking.

    If people are concerned their information may already have been compromised, they should contact authorities. For those who are credit active, they should check their credit file immediately, which could bring up any inconsistencies.

    A credit report is free once a year, and can be obtained from one or more of Australia’s credit reporting agencies.

    Any change in contact details, or strange new credit enquiries which show up on the report could mean that the person’s credit file is being misused.

    “If there are defaults on the victim’s credit file, they can instil the help of a credit repairer who can work within the legislation to negotiate with creditors and restore the clear credit rating,” Mr Doessel says.

    /ENDS.

    Please contact:

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

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

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

    Links:
    1.http://www.smh.com.au/technology/technology-news/police-warn-of-sophisticated-plan-to-steal-identities-20111108-1n5l8.html#ixzz1dB4ctHcT
    2.http://www.ag.gov.au/www/ministers/mcclelland.nsf/Page/MediaReleases_2011_ThirdQuarter_3July2011-Newresearchshowsidentitytheftaffectsoneinsixpeople
    3.http://www.consumerreports.org/cro/magazine-archive/2011/june/electronics-computers/state-of-the-net/facebook-concerns/index.htm

    Image: Clare Bloomfield / FreeDigitalPhotos.net

  • Consumers slugged almost $23,000 more in additional home loan repayments

    Media Release

    1 November 2011

    Home loan rates are set to be reduced today, but for millions of Australians who are living with defaults on their credit file, they will be hit with $22,867.15 more in home loan repayments over the first three years of the loan.

    The Reserve Bank of Australia is today tipped to hand over a reduction of a quarter of one percentage point in interest rates, taking the cash rate down to 4.5 per cent.

    Some big banks are expected to respond immediately, with the potential to pass on a saving of $49 per month to the average householder.

    But for those approximately 3 million or more Australians who are living with credit rating defaults, the interest rates cuts will be negligible.

    A national credit rating repairer says those families who are unlucky to have defaults on their credit file for 5 years will be paying a staggering $702.21 more per month with non-conforming loan interest rates.

    “We talk about massive savings for the average Australian with these cuts, we talk about encouraging people to switch lenders to increase competitive rates, but this is not a reality for people with defaults.”

    “Most banks won’t lend them money, forcing them into non-conforming loans and paying top dollar because their credit file shows they are a bad risk – and it may not be true,” says Graham Doessel from MyCRA Credit Repairs.

    There are more than 14 million credit files in Australia (14.7 million files are held by credit reporting agency, Veda Advantage alone), and approximately 3.47 million negative listings, but the number of possible errors which exist is not certain.

    The possible volume of errors on Australian credit files was exposed by a small scale study conducted in 2004 by the Australian Consumer Association (now Choice Magazine). It revealed about 30% of credit files were likely to contain errors.

    “In our view, there are serious, systematic flaws which are leaving an increasing number of Australian consumers vulnerable to defamation, mis-matching and harassment,” the ACA report said.

    Transferring those figures from the Choice study to the number of credit files in Australia today, could mean potentially 4 million errors currently exist on credit files in Australia.

    Recently Channel 7’s Today Tonight interviewed Veda Advantage’s Head of External Relations, Chris Gration on the possible number of errors on credit reports. He admitted errors within their system alone amounted to 1%.

    “We give out about 250,000 credit reports to consumers every year. But only in 1 per cent of cases is there a material error on the file, so a default or an enquiry that’s incorrect,” Mr Gration told Today Tonight.

    Mr Doessel says,

    “Even if as little as 1 per cent of those 14 million credit files contained errors, that would still currently leave 140,000 credit files in Australia containing errors that just shouldn’t be there.”

    Under current credit reporting legislation, it is up to the consumer to check for errors.

    Credit file holders are able to obtain a copy of their credit report from one or more of Australia’s credit reporting agencies for free every 12 months.

    But Mr Doessel says consumers are often not aware across the board of their responsibility to check the accuracy of their own credit file, so many errors go undetected.

    “Often it is not until people apply for a loan that they learn they have an adverse listing on their credit file, but by then it is too late and they are generally refused credit or forced to take on non-conforming loans at sky-high interest rates to secure the home,” he says.

    When disputing any adverse listing, it is up to the credit file holder to provide reason as to why the creditor has not complied with legislation.

    “Unfortunately many people find this process difficult – negotiating with creditors is not always easy for the individual to undertake.  Our job as credit repairers is to check the process of listing defaults for legislative and or compliance errors, any such errors could deem the credit file default listing unlawful, at which time we advise the creditor to remove the default,” he says.

    /ENDS.

    Please contact:  Lisa Brewster media@mycra.com.au

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

    Links:

    1. 3.47 million negative listings in Australia, Veda Advantage November 2008
    2. Based on average loan of $400,000 over 30 years on non-conforming loan interest rate of 95.% vs standard variable rate of 7%
    http://www.mycra.com.au/calculators/do-i-need-credit-repair.php
    3. http://lws.vedaadvantage.com/personal_solutions/personal_default.aspx
    4. http://www.theage.com.au/news/business/record-class-action-possible-against-veda/2007/05/01/1177788141045.html
    5. http://www.mycra.com.au/media/television.php

    Image: jscreationzs / FreeDigitalPhotos.net

  • First home buyers missing key step to finance approval

    Media Release

    23 November 2011

    First home buyers are dipping their feet into the market again – a drop in interest rates and reduced property prices renewing buyer confidence for the first time in two years, but many are missing one vital check to ensure they are finance-ready, the credit check.

    The Australian Bureau of Statistic’s housing finance figures for September show the number of first home buyers, as a percentage of total owner occupied housing commitments increased to 16.4 per cent compared to 15.4 per cent in August.

    The Real Estate Institute of Australia says although the first home buyer proportion is well below the long-run average of 20.1 per cent, it indicates a modest return of first home buyers to the market.

    “The latest figures show that buyers are gradually returning to the market and we should expect modest increases to continue after the decision on interest rates in November which has made housing more affordable for first home buyers,” concluded REIA Acting President, Pamela Bennett.

    First home buyers wishing to take advantage of more affordable conditions need to know there is more to applying for finance than wages and savings records.

    Director of MyCRA Credit Repairs, Graham Doessel says a borrower’s credit file is one of the key factors to home loan approval, and anyone applying for a home loan should obtain a credit report prior to making a finance application, regardless of whether they think they have a good credit rating or not.

    “There are a great number of credit files which contain errors or which shouldn’t be there, and first home buyers need to know any negative listing will stop them from getting a home loan in this market, or force them into a high-interest loan, potentially costing them a staggering $22,000  more in interest over the first 3 years,” he says.*

    The term of a negative listing is between 5 and 7 years, depending on the type and can include black marks from telecommunications and electricity providers as well as banks and finance companies.

    The most common type of listing is a default, which is recorded if an account is in arrears past 60 days. According to Mr Doessel, defaults from telecommunications providers which are listed in error make up a big part of his clientele.

    “As many as 50 per cent of our clients seek credit repair due to bill disputes and internal errors from Telcos that have seen them black listed from credit and unable to get a home loan,” he says.

    He says it doesn’t need to be a big default to be a big detriment to a person’s loan application.

    “Some defaults for unpaid accounts of $300 can stop borrowers from getting a home loan. Lenders are even rejecting loans for too many credit enquiries, such as two enquiries within thirty days or six within the year,” he says.

    House hunters can obtain a copy of their credit file for free every year from one or more of the credit reporting agencies in Australia, and this file will provide details on any negative listings such as defaults, writs and Judgments which may have been placed against their name by creditors.

    When disputing a negative listing, it is up to the credit file holder to provide reason as to why the creditor has not complied with legislation.

    “Unfortunately many people find this process difficult – negotiating with creditors is not always easy for the individual to undertake.  Our job as credit repairers is to check the process of listing defaults for legislative and or compliance errors, any such errors could deem the credit file default listing unlawful, at which time we advise the creditor to remove the default,” he says.

    /ENDS.

    Please contact:

    Lisa Brewster – media@mycra.com.au

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

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

    Links:

    http://www.abs.gov.au/ausstats/abs@.nsf/Latestproducts/5609.0Main20Features2Sep%202011 opendocument&tabname=Summary&prodno=5609.0&issue=Sep%202011&num=&view=

    http://www.reia.com.au/userfiles/MEDIARELEASE_1320968493.pdf

    * $22,867.15. Based on average loan of $400,000 over 30 years on non-conforming
    loan interest rate of 95.% vs standard variable rate of 7 %.(http://www.mycra.com.au/calculators/do-i-need-credit-repair.php)

    Image: photostock/ FreeDigitalPhotos.net

  • Thousands of Christmas flights won’t be honoured

    Media Release
    4th November 2011

    Australian travellers may be left stranded at the airport holding bogus airline tickets at Christmas time after suffering at the hands of scammers.

    A government agency has warned Australians about cheap flight deals through fake travel websites which have travellers believing they have purchased legitimate airline tickets, but all they have done is been skimmed of their money and left vulnerable to identity theft.

    With a current warning issued by the Australian Competition and Consumer Commission’s SCAMwatch website (www.scamwatch.gov.au ) for flight booking scams, a national credit repairer, MyCRA’s, Graham Doessel says people could find it is more than just Christmas that is ruined.

    “It’s all bad for these poor scam victims. At best they can be left with no holiday – but at worst fraudsters can take their personal details and use them to construct a fake identity which would allow them to borrow in their name – the ramifications of that can last for years,” Mr Doessel says.

    SCAMwatch says it has received a number of reports of fraudulent traders who have copied the ABN and look of legitimate travel websites.

    “Some victims have lost in excess of $1000 for fake international flight bookings, while others report instances of identity theft after interactions with the fake trader,” the SCAMwatch website warns.

    Currently the Australian Crime Commission sites identity theft as the fastest growing crime in Australia, and a recent study presented by the Attorney-General’s office revealed 1 in 6 people have had their identity stolen or misused in some way.

    Identity theft occurs when criminals use a person’s personal details, usually to obtain credit in their name. The benefits can be lucrative, gaining access to large amounts of credit – enough even to mortgage a property in the victim’s name. It is often not until the victim goes to apply for credit in their own right and are refused because of credit rating defaults they didn’t initiate, that they realise they have had their credit file misused.

    “Unfortunately identity theft can turn the victim’s life upside down. Adverse listings can be difficult to have removed, simply because it is up to the victim to prove to creditors they didn’t initiate the credit,” Mr Doessel says.

    MyCRA advises people to take these precautions when booking travel:

    – Be wary of any offer that comes via an unsolicited email.

    – For legitimate-looking websites, check the URL is correct for that company. If it looks suspicious – it may be a fake. Do the research on the airline or travel agency’s own website or contact the company directly to verify details in the offer.

    – Never make the purchase through a link in an email.

    – Take five minutes extra to research the company that is offering the deal to ensure they are genuine.

    – If the flight seems too cheap – it may be a fake.

    – For people who think they may have fallen prey to a scam, they should  contact Police, and if they think their personal details may have been compromised – obtain a copy of their credit file.

    Australians are able to obtain a free copy of their credit report every 12 months from one or more of the credit reporting agencies.

    “If someone suspects fraud, their credit file could show changes, which if detected early, would prevent their good name from being ruined. If there are any unusual credit enquiries, or some attempt to alter personal contact details this should be a red flag. People should alert creditors to prevent their credit rating from being ruined and protect their ability to obtain credit in the future,” he says.

    For more information on identity theft, people can visit the MyCRA Credit Repairs website www.mycra.com.au.

    /ENDS.

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

    Graham Doessel  – Director  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: Free DigitalPhotos.net

  • Internet fraud can happen to anyone

    Media Release

    3 October 2011

    Many of the new forms of online fraud are sophisticated and elaborate – often even fooling those who believe they are computer-savvy, according to a national credit repairer.

    Director of MyCRA Credit Repairs, Graham Doessel dismisses claims victims of online fraud are stupid and are ‘asking’ to be ripped off and says keeping abreast of current scams is sometimes the only way to avoid being a victim.

    “Some of my clients have been cleverly fooled by scammers, who have weaved a tangled web of lies and deceit. It is not just a case of ‘oh we were asked to  send money so we did’ – most people believed they were dealing with legitimate companies and have been unlucky to end up on the wrong end of fraud,” Mr Doessel says.

    Mr Doessel’s comments come as Superintendent Hay, head of the Fraud and Corporate Crime Group, told the Brisbane Times recently, each month about 2000 Queenslanders transferred a total of $2 million to scammers in Nigeria and Ghana.

    Superintendant Hay, joined Investigators from Nigeria, Ghana and the United  States at a conference south of Brisbane last week, focused on tackling the global “fraud pandemic”.

    He urged people to have more compassion for victims of scams.

    “Fraud victims are victims of a crime, they need our respect and need our support and need our help to rebuild their lives,” he says.

    Mr Doessel says his company helps people clear adverse listings from their credit file which they believe should not be there. He says when a client experiences identity theft which leads to the scammer taking out credit in their name, they are left financially crippled.

    “Basically the victim ends up with defaults on their credit file which unfortunately means they are black listed from credit for 5 years. These victims can’t borrow for anything – they can’t even take out a mobile phone plan,” he says.

    Identity theft and subsequent fraud has become rampant worldwide. A survey commissioned by the Attorney-General’s office in July showed 1 in 6 Australians had been or knew someone who had been the victim of identity theft or misuse.

    The survey also revealed that the majority of identity theft or misuse occurred over the Internet (58 per cent), or through the loss of a credit or debit card (30 per cent).  Stolen identify information was primarily used to purchase goods or services (55 per cent) or to obtain finance, credit or a loan (26 per cent).

    Mr Doessel says by blaming the victims of identity theft and scams, we are making light of the often sophisticated nature of fraud and for this reason more people could possibly fall victim to it in the future.“

    People need to know this business is lucrative, and the fraudsters are vehement. New scams are being cooked up every day to dupe people into giving over their money or their personal details. Just because people aren’t fooled by the current scams, doesn’t mean they are totally immune,” he says.

    He says internet users need to keep up-to-date with all scams being perpetrated in the community, and this can start with subscribing to the Government’s Stay Smart Online, and SCAMWatch websites, which  alerts people to new scams and viruses as they arise.

    “Unfortunately this is a war we are all waging against unknown criminals from an unknown location, that can be whoever they want to be in order to steal people’s money or their good name. Fighting it starts with risk awareness and being extremely protective over who gets our personal information,” he says.

    /ENDS.

    Please contact:

    Lisa Brewster – Media Relations   Mob: 0450 554 007 media@mycra.com.au
    Graham Doessel  – Director   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.

    Links:
    http://www.brisbanetimes.com.au/technology/technology-news/fraud-victims-just-dont-listen-police-20110927-1kv5t.html#ixzz1Zg5GiF9x
    http://www.ag.gov.au/www/ministers/mcclelland.nsf/Page/MediaReleases_2011_ThirdQuarter_3July2011-Newresearchshowsidentitytheftaffectsoneinsixpeople

    Image: Michelle Meiklejohn / FreeDigitalPhotos.net

  • Dumping of e-waste in Ghana exposes sensitive data to potential identity thieves

    Media Release
    29 September 2011

    The illegal dumping of Australian e-waste on overseas shores and the potential for those discarded hard drives to still contain sensitive data which exposes the former owners to identity theft and potential misuse of their credit file, demonstrates how urgently Australia needs to change its attitude towards personal data, according to a national credit repairer.

    Director of MyCRA Credit Repairs, Graham Doessel says personal information is a valuable commodity nowadays.

    “Identity theft and subsequent fraud is a lucrative business for criminals, and personal details are the key to potentially racking up thousands of dollars of credit in the victim’s name.”

    “To avoid identity theft, people need to develop the ethos that personal information should be destroyed when it is no longer required, whether that involves cross-shredding documents, or properly wiping hard drives of stored data before discarding,” Mr Doessel says.

    These warnings come after it was revealed by SBS’s Dateline program this week that western countries across the globe, including Australia, had been illegally dumping some 500 containers worth of e-waste such as TVs, monitors and computers into Ghana every month.

    While many locals scavenge the waste for copper and other valuable resources, it was revealed by a local journalist that getting private information from hard drives was also possible and demonstrated accessing personal information from one of the dumped hard drives.

    “You can find personal information, company information…So people can take information and then use it to frame you up or do something against you,” journalist Enoch Messiah says as reported by ZD Net Australia.

    Mr Doessel says a lot of identity fraud is committed by piecing together enough personal information from different sources in order for criminals to take out credit in the victim’s name. He says often victims don’t know about it right away – and that’s where their credit file can be compromised.

    “There is no simple re-imbursement for loss on this scale. Not only can the victim’s bank accounts be drained, but they can also find themselves with several defaults on their credit file that they did not initiate, basically destroying their ability to obtain all forms of credit unless they can be removed,” he says.

    He says once the victim’s credit rating is damaged due to defaults from this ‘stolen’ credit, they are facing some difficult times repairing their credit rating in order to get their life back on track.

    “These victims often can’t even get a mobile phone in their name. It need not be large-scale fraud to be a massive blow to their financial future – defaults foras little as $100 will stop someone from getting a home loan,” he says.

    Once an unpaid account goes to default stage, the account may be listed by the creditor as a default on a person’s credit file. Under current legislation, defaults remain on the credit file for a 5 year period.

    “What is not widely known is how difficult credit repair can be – even if the individual has been the victim of identity theft, there is no guarantee the defaults can be removed from their credit file. The onus is on them to prove their case and provide copious amounts of documentary evidence” he says.
    According to ZD Net, the government recently passed legislation mandating a co-regulatory scheme for computer and TV recycling in Australia, set to be phased in at the end of this year.

    “But people should still be aware that whenever they want to discard a hard drive, they should take adequate measures to ensure all sensitive data is adequately removed before it leaves their hands,” Mr Doessel says.

    Adrian Briscoe, general manager of Asia Pacific for data recovery company Kroll Ontrack, told ZDNet Australia that the best methods to ensure data is completely removed was to use software that overrides the hard-drive sectors seven times, or to physically wipe the hard drive using a degausser that pulses the drive with electromagnetic radiation. Briscoe said it was vital to personally ensure the data is erased before getting rid of old hard drives.

    “I don’t think people necessarily understand the dangers of just releasing a computer back … they have no guarantee that once they release a computer physically, that the data won’t turn up again because they have not actually witness the data being erased,” Briscoe says.

    For more information on credit repair following identity theft, people can contact MyCRA Credit Repairs tollfree on 1300 667 218 or visit their website www.mycra.com.au.

    /ENDS.

    Please contact:   Lisa Brewster – Media Relations   Mob: 0450 554 007 media@mycra.com.au
    Graham Doessel  – Director    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.

    Links: http://www.zdnet.com.au/dumped-aussie-e-waste-a-security-threat-339323066.htm

    Image: Sura Nualpradid/ FreeDigitalPhotos.net

     

     

  • Fears about data breaches are justified

    Media Release
    22 September 2011

    Australians have every right to be concerned about data breaches and loss of personal details, as personal information has become a valuable commodity used to commit identity fraud and potentially ruin the victim’s financial future, a national credit repairer says.

    Director of MyCRA Credit Repairs, Graham Doessel says a recent survey revealing concerns about data breaches shows we are all worried about where our personal information could be put at risk, and this is not without reason.

    “More and more of my clients have been through the ringer attempting to have black marks removed from their credit file due to identity theft, simply because our education, our legislation and our technology is unable to keep up with fraudsters. People want to know their details are going to be safe when they shop, when they use the internet and with the companies that have their details in their computer systems,” Mr Doessel says.

    This comes as a global survey reveals widespread concern over the security of personal information. A survey conducted online by Harris for US-based identity management specialist SailPoint, showed the majority of adults in the United States, Great Britain and Australia are worried about possible exposure of their personal information, and a large percentage of adults have lost confidence in how companies protect their personal information.

    “The widespread impact of data breaches like Epsilon and Sony PlayStation, where millions of consumers were impacted around the world, is making customers more cautious about conducting business with certain financial institutions and retailers,” said Jackie Gilbert, vice president of marketing and co-founder at SailPoint.

    Mr Doessel says personal information is like gold to identity thieves.

    “Basically, a lot of identity fraud is committed by piecing together enough personal information from different sources in order for criminals to take out credit in the victim’s name. Often victims don’t know about it right away – and that’s where their credit file can be compromised,” he says.

    He says once the victim’s credit rating is damaged due to defaults from this ‘stolen’ credit, they are facing some difficult times repairing their credit rating in order to get their life back on track.

    “These victims often can’t even get a mobile phone in their name. It need not be large-scale fraud to be a massive blow to their financial future – defaults for as little as $100 will stop someone from getting a home loan,” he says.

    Once an unpaid account goes to default stage, the account may be listed by the creditor as a default on a person’s credit file. Under current legislation, defaults remain on the credit file for a 5 year period.

    “What is not widely known is how difficult credit repair following can be – even if the individual has been the victim of identity theft, there is no guarantee the defaults can be removed from their credit file. The onus is on them to prove their case and provide copious amounts of documentary evidence” he says.

    Mr Doessel says the best defence an individual can take against identity theft is to get educated on how their personal information can be put at risk.

    “Sites like the Government’s SCAMwatch website, and the Stay smart online website, can give people good practical tips for keeping their information secure,” he says.

    But he also says in the case of data breaches, it comes down to a need to know basis.

    “At best we can minimise the amount of people who hold our personal information. People should always question the need for it to be handed over. If it is not essential, don’t do it.”

    “Unfortunately it seems everywhere we turn some company has been hacked – and it seems every entity with a computer is vulnerable. It is still extremely scary the level of risk our personal information undergoes these days when it is stored online,” he says.

    He says it is important for people to keep up to date with what is on their credit file, to be alerted to any entries which point to a theft of identity.

    Under current legislation a credit file report can be obtained for free every 12 months from the major credit reporting agencies Veda Advantage, Dun and Bradstreet , Tasmanian Collection Service and Experian and is sent to the owner of the credit file within 10 working days.

    For those who are vulnerable to identity theft, they can pay extra with credit reporting agency, Veda Advantage to have their file on an ‘alert’ system, which tracks any changes to their credit file that may occur within a 12 month period.

    Mr Doessel says people who suspect identity theft should report the matter immediately to Police, no matter how insignificant they think the fraud is.

    “This crime is not very widely reported. But it is only through people reporting identity theft that any real statistics get collated on this issue. Likewise, if people want to try and repair their credit rating, the first thing I tell them is to make sure they have a Police report,” he says.

    /ENDS

    Please contact:   Lisa Brewster – Media Relations   Mob: 0450 554 007 media@mycra.com.au
    Graham Doessel  – Director  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.

    Link: SailPoint Survey

    Image: renjith krishnan/ FreeDigitalPhotos.net

  • Being credit file savvy can save you money

    Media Release
    19 September 2011

    Concerned Australians focusing on saving and reducing debt in the wake of the GFC, are overlooking how maintaining a clear credit file can be a simple way of making significant household savings, according to a national credit repairer.

    Director of MyCRA Credit Repairs, Graham Doessel says people eager to save are busy reducing debt and going without life’s luxuries, but in the process are overlooking a key way they can save themselves thousands.

    “A clear credit file allows consumers to shop for the best credit at the lowest interest rate. For instance, on a $400,000 home loan, those with a bad credit rating are potentially slugged around $550 extra per month in interest when comparing a non-conforming loan with a loan at a current standard variable rate,” Mr Doessel says.

    He says if people have a bad credit rating, it sticks for 5 to 7 years, and they are most times shut out of credit with the major banks for this period.

    “Unfortunately those people with a bad credit rating will generally be refused credit by mainstream lenders and funnelled into higher interest rate loans and cards which only seem to perpetuate the debt cycle for the very people who would benefit from saving money,” Mr Doessel says.

    Current information from the Australian Bureau of Statistics on household savings show for the first time since 2003, household savings have dramatically increased. The ABS revealed in March 2011 the saving ratio rose to 10.1% in seasonally adjusted terms in the September quarter 2010.

    Mr Doessel says many of his credit repair clients are in a better financial position than they have been in years for loan qualification, but are held back from taking advantage of competitive interest rates and stable house prices by black marks on their credit rating.

    “Many clients have everything in place for obtaining loans, until they apply for credit with a lender and are knocked back due to credit rating defaults they were previously unaware of – and often those defaults should not be there,” he says.

    He says the best way people can prevent this scenario is to get familiar with their credit file and the ways their good name can be compromised. He provides 6 tips for being credit file savvy:

    1. Make repayments on time. Any bills which are more than 60 days in arrears can be listed by the creditor as defaults on a person’s credit file. This includes home loans all the way through to phone and power bills.

    2. Dispute bills correctly. Many people find themselves with a bad credit rating following bill disputs with creditors such as phone and power companies. Many people are unaware that regardless of whether the bill has been disputed by the customer, if it is more than 60 days late the creditor will generally still list the non-payment as a default on the customer’s credit rating – whether the customer believes the amount is accurate or not. To avoid a bad credit rating when disputing bills, people should pay the bill by the due date and attempt to recover the money from the credit provider afterwards.

    3. Ensure the accuracy of your credit file. All credit active individuals are entitled to a free yearly credit file check from all the credit reporting agencies that may hold a file on them. People should take advantage of this, and ensure there are no errors on their credit file. Mistakes can and do occur on credit files. If there are inconsistencies, people do have the right to have them rectified.

    4. Educate yourself on identity theft. Identity theft is the fastest growing crime in Australia, and it can potentially ruin a person’s good credit rating. Typically, the fraudster extracts personal details from the victim and goes about obtaining credit under their name. Often the victim is not aware of the fraud until they attempt to obtain credit and are refused. Fraudsters have taken out credit cards, racked up thousands of dollars of debt, and in some cases have taken out mortgages in their victims’ names.

    The best way to prevent identity theft is to be aware of how it can occur. The Government’s SCAMwatch website www.scamwatch.gov.au is a great place to start getting educated on what to watch out for. For help with preventing online identity theft, the Government’s Stay Smart Online www.staysmartonline.gov.au website also offers ways to combat identity theft through internet use.

    5. Beware excess credit enquiries. Every time a person other than the credit file holder makes an enquiry on the credit file, this entry is noted. Unfortunately the credit file doesn’t show the nature of the enquiry, or whether the credit was approved or declined. Generally excess credit enquiries on the credit file will also hinder people’s chances of obtaining the best loan.

    People can avoid this by not shopping around for credit, or by ensuring that all banks/brokers they deal with do not run a credit check on them until absolutely necessary. Potential borrowers can obtain a copy of their own credit file without incurring a credit enquiry, and this may be a better option to maintain a clear credit rating.

    6. Keep credit limits to the minimum needed. Reducing credit limits not only prevents overspending – it is also beneficial for a person’s credit rating. Credit limits are recorded on all credit that has been taken out by the credit file holder. This amount shows on a person’s credit file, not the amount they have actually used. People should reduce lofty credit limits closer to the actual debt amount.

    Mr Doessel says all credit active individuals will benefit from educating themselves on credit reporting in Australia, and for those that discover inaccuracies on their credit file they will save themselves money by having them removed.

    “People can greatly benefit from clearing their credit file of errors. Sometimes people have neither the time, nor knowledge of legislation that is required to deal with creditors, and in this instance a credit repairer can do the work for them,” he says.

    /ENDS

    Please contact:

    Lisa Brewster – Media Relations   Mob: 0450 554 007 media@mycra.com.au
    Graham Doessel – Director  07 3124 7133

    http://www.mycra.com.au/ www.mycra.com.au/blog

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

    Link: Australian Bureau of Statistics Household Saving

    Image: Arvind Balamaran/ FreeDigitalPhotos.net

  • Gen Y could be hazardous to their parents’ credit health

    Media Release
    4 August 2011

    Parents who piggy back their children into the property market are not only risking their financial health by doing so, but their good credit rating, a national credit repairer warns.

    Director of MyCRA Credit Repairs, Graham Doessel says the trend of placing the family home as collateral to assist kids into the property market could easily see people up against credit problems if loan repayments aren’t met.

    “There is no doubt it is very difficult for Gen Y to break into the property market, but it is essential that parents understand the risks involved in going guarantor on their child’s home loan. The decision can affect their finances and their ability to obtain credit in the future if things go bad,” Mr Doessel says.

    This comes as the Herald Sun revealed on Sunday Gen Y is using any means possible to break into the property market – one method of which is to use their parent’s property as collateral for their purchase in what is known as a ‘Family Equity Loan.’

    “Aussie Carnegie mortgage broker Mark Daly said family equity loans, which can allow applicants to borrow the entire value of a home and avoid costly mortgage insurance, were becoming more popular with younger cash-strapped buyers,” the article says.

    But Mr Doessel says the risks are often very high on this type of loan. The guarantor is liable for repayments should they not be met, plus all interest, fees and charges, so if the child fails to make repayments, the family home and the parent’s credit file could be put at risk.

    “In instances where repayments are not met, the creditor can place a default on both credit files. Often parents are not made aware the repayments are late until they find the default on their credit file. By then it is too late for their credit rating, and they face being blacklisted from obtaining credit in the future,” Mr Doessel says.

    He says defaults remain on a person’s credit file for 5 years.

    “So for 5 years both parties are unable to obtain further credit and often unable to take out even a mobile phone plan. Parents who may have been close to financial freedom are now facing debt, and a shaky retirement,” he says.

    He says the situation is amplified if the guarantor is unable to cover the repayments.

    “The bank begins to use the property the guarantor put forward as collateral, to recover lost debts. There is a danger the guarantor can lose their home.”

    “By far the most important question parents need to be asking is ‘could we make the repayments on this loan should our child be unable to?’ If there is any doubt of this don’t go guarantor,” Mr Doessel says.

    The Sydney Morning Herald’s Personal Loans Smart Guide provides some other points to consider when making the decision whether or not to go guarantor on a home loan:

    •How much is being borrowed?
    •How responsible is the borrower?
    •How stable is their employment?
    •Does the borrower have any other means of repaying the loan should he or she fall ill, be injured or become unemployed?
    •Can I afford to repay the total sum of the loan?

    Mr Doessel recommends parents seek third party and or legal advice before proceeding. He also recommends a few other policies be put in place:

    1. Insist children have adequate insurance to cover anything that may go wrong during the term of the loan, such as life insurance and income protection insurance.
    3. Set a specific amount that will be guaranteed, and ensure there is an ending to the time period of the guarantee –otherwise the guarantor could be liable for the loan for years to come.
    4. Ask that a copy of all bank statements be provided during the course of the guarantee, so that parents are aware of any late payments. This way, payment problems can be addressed while the parent’s good credit rating is still intact.
    5. If the need for a guarantor is purely due to black marks on the child’s credit file, they may still be able to access credit on their own terms. If the credit file contains a default listing which has errors, is unjust or simply should not be there, under current legislation they do have the right to have that inconsistency removed. This would result in a clear credit file and negate the need for a guarantor.  People can contact www.mycra.com.au for more information.

    /ENDS

    Please contact:
    Lisa Brewster – Media Relations    Mob: 0450 554 007 media@mycra.com.au
    Graham Doessel  – Director   Office Ph: 07 3124 7133

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

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

    Links:
    http://www.heraldsun.com.au/money/young-bank-on-family-home-for-loan-security/story-e6frfh5f-1226133621971
    http://www.smh.com.au/money/tools-and-guides/step-4-going-guarantor-20100529-wmcd.html

    Image: Ambro / FreeDigitalPhotos.net