Credit score errors and data breach claims

You can qualify to make a claim for data breach compensation for credit score errors, and we may be able to represent you on a No Win, No Fee basis.

Any error on your credit file could lead to your credit score being adversely affected. It can also lead to you being refused finance, with one of the most problematic examples being a mortgage. Many lenders – especially those who offer good rates – do so on the basis of a clean credit history, so when an error appears, serious problems can occur.

If your credit file has an error on it, this can be classed as the misuse of your personal information. As such, it can amount to a data breach and you can qualify for a compensation claim with us.

When can credit score errors lead to compensation claims?

You may be eligible to bring a claim for data breach compensation for credit score errors where the error or problem on a credit file is caused by just that; an error.

It could be that a lender has placed a late or missed payment fee mark on your account by mistake. There are many ways that automated systems can lead to this happening, especially when mortgage accounts are closed off.

If this is a mortgage lender that has done this, it could affect your ability to get a new mortgage. Although errors can be resolved, a delay in the process of obtaining finance could cause huge problems. What if the sellers of the house you’ve agreed to buy in principle discover you’re having problems obtaining a mortgage and pull out to sell to a competitor? With the fear of a protracted sale or a chain breaking down, this can happen; even when the delay isn’t your fault.

Bang goes your dream home, and you’re back to square one…

Some people won’t know there’s an error

Did you know that many people may not even be aware that credit score errors can fall under the radar?

One of the major issues is that you actually have more than one credit file. You likely have an Equifax credit file and an entirely separate Experian credit file. The error may only be on one of those files, and if you monitor your credit score using one platform, it may only source data from one of those files.

Some lenders will check more than one file, and others won’t. That’s how an error on a credit file could go completely unnoticed by you until a problem occurs.

The impact of credit score errors

It’s the impact of credit score errors that can make you eligible to bring a claim for compensation. Data breach compensation amounts will generally be based on the extent of the impact on you.

There’s the distress when you discover an error on your credit file and the stress of having to deal with it. There’s perhaps the distress of potentially losing your finance opportunity, or the actual loss of the opportunity if something falls through.

This can be claimable, as can financial losses and expenses that are caused as well.

For free, no-obligation advice about your options for claiming for credit file errors, you can speak to our team today. We may be able to offer you No Win, No Fee representation.

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