If you have ever applied for credit, you’ve undoubtedly heard of CIFAS markers.
Businesses and individuals have been referred to by the media in recent years, as some have reported difficulty obtaining credit because of their CIFAS identification on their files. This tutorial goes through CIFAS markers in detail, including what they are, how long they’re there for, and how to get rid of one.
What are CIFAS markers?
CIFAS is a not-for-profit fraud prevention membership organization that operates as a fraud prevention service. It maintains the country’s largest collection of fraudulent behaviour reports and serves as a fraud prevention service.
The non-profit aims to reduce fraud and crime by allowing firms, government agencies, and other groups to share their information. Most financial institutions are members of CIFAS, and they contribute a lot of data about businesses and individuals through it.
The CIFAS markers are adverse opinions from one organization to another that warn of potential customer risks. The most frequent markers on a person’s file are for terms such as “First Party Fraud” and “Application Fraud.”
A CIFAS code is a security measure that restricts access to credit, other financial services, and even medical care at an address.
When you apply for credit, which is quickly verified, such as credit card financing, it might be challenging. An automated system is likely to reject your application because the entry would have to be manually checked.
How do I know if I have a CIFAS marker?
If you’ve been defrauded, a marker will appear on your credit report. This is referred to as a Victim of Impersonation entry. A lender files this for your protection.
One of three credit agencies is responsible for generating your credit report. Each agency is required to provide you with a free copy of your credit report, which will include information on your financial transactions as well as other data such as whether you appear on the electoral register.
For 13 months from the date of entry, a Victim of Impersonation marker will remain visible on your report.
Another type of marker that may appear is CIFAS-Protective Registration. This is a paid-for service that people can apply for through CIFAS or another provider if they believe they have been a victim of identity fraud.
The only way to learn about the other CIFAS marker types is to submit a Data Subject Access Request to CIFAS. This is because the institution that branded your record with a CIFAS marker has no legal requirement to inform you or offer an explanation for why they have done so.
CIFAS markers: the categories and length of time on your file
There are a variety of indicators that may show up on your credit report. Protective Registration, Victim of Impersonation, First Party Fraud, Facility Takeover, Misuse of Facility, Asset Conversion, Application Fraud and Insurance Claims Fraud.
What do CIFAS markers affect?
It’s possible that any CIFAS markers on your file will have an impact on your application whenever you apply for credit or start a new financial service. The following are examples of applications in which it might make a difference:
Mortgage applications
Mortgages are without a doubt one of the most important financial arrangements most of us will ever undertake. It’s only natural that lenders would be concerned about our credit and banking history when we apply for a loan. CIFAS indicators on your account don’t necessarily guarantee that your application will be rejected, but they may cause it to move more slowly
Car insurance applications
Although the CIFAS markers do not prevent you from obtaining auto insurance, they might limit your payment options. You may be denied credit, and instead requested to pay for your insurance up front. It’s possible that your premium will be higher as a result.
Other forms of lending
A credit check may reveal CIFAS indicators in any loan agreement you sign. Any application for business finance, a personal loan, an overdraft, or a mobile phone contract will be affected by a CIFAS marker. While they may not instantly result in your application being rejected, they can cause problems.
Will a CIFAS marker affect my student loan application?
Student loan eligibility is not determined by your creditworthiness, unlike other forms of credit. If a CIFAS marker has caused your bank account to be frozen, though, you won’t be able on student loans.
Does a CIFAS marker show on a criminal record or through a Disclosure & Barring Service check?
The Credit Bureau Act of 1967 established CIFAS as a non-profit credit arbitrator. The foundation, called the Credit Arbitration Standards Board (CASB), was granted authority to police itself. The CASB claims that no special permissions are required to operate an off-the-grid mortgage business in Nevada. Financial conduct matters received by way
Can employers become aware of CIFAS markers?
Employers can check CIFAS records if they want to. In practice, checks are generally limited to certain industries, such as finance and law. They will then rely on any information they obtain to help them make a selection about who to hire.
Can CIFAS markers be removed?
The good news is that CIFAS markers may be challenged. The procedure for removing CIFAS markers is outlined in the sections below. It’s sometimes feasible to remove CIFAS identifiers from the database.
Step 1: Request a CIFAS letter
Create a Direct Subject Access Request (DSAR) to CIFAS, requesting a letter detailing the markers they have on their database. This may frequently be much less information than you think, and the institution that gave it isn’t required to back it up.
Step 2: Contact the institution that issued the marker and request removal
After you’ve received a CIFAS letter, you may contact the institution that issued your marker to obtain further information before requesting that they remove your plaque.
Step 3: Request CIFAS review
If the institution rejects your request for the marker to be removed, you can appeal directly to CIFAS, provided that a final response letter has been issued by the school. Within 14 days, CIFAS must decide on the issue.
Step 4: Complain to the relevant ombudsman or complaint service
If CIFAS upholds the institution’s decision and refuses to remove the marker, you may submit a complaint with the relevant ombudsman for that institution. If it was a bank, for example, you should contact the Financial Ombudsman. The Communications and Internet Services Adjudication Scheme (CISAS) would be the appropriate body if it were
If you’re looking for advice on CIFAS markers, why not contact Richardson Lissack?
