Is the CCR report too complicated for the ordinary consumer to understand?

[Brendan Burgess]

In this thread

Bank reported incorrect data to CCR

In 2019 i paid off a loan in full however the finance company reported it as settled instead of completed to the CCR in 2020 i applied for a mortgage but got refused due to ccr, i got a copy of my ccr but didnt notice the mistake. In 2021 the bank wrote to me advising of their mistake and...

www.askaboutmoney.com

the OP was refused a mortgage because he had a bad report from the CCR. This surprised him as he had never defaulted. He got his report and saw nothing wrong with it. But the lender did not want to reopen his case.


A loan which he had paid off early was described as "settled". This did not ring any alarm bells because he did not know that "settled" means settled by payment of less than the amount due and a write off of the balance.

He did not find out that "settled" was a negative until two years later when the lender wrote to him to say that they had marked his report incorrectly.

The CCR says that they don't do credit scoring which is fine.

But it would be hard for most people to understand the report so I wonder could it be improved to give some sort of summary
1) Your CCR report is clear
2) You currently have a loan which is in default
3) You are up to date, but had an impairment in March 2019, so your report will not be clear until March 2024

Brendan

 

[Brendan Burgess]

I attach a sample Credit Report

If I spend some time, I could probably figure it out. But a lot of people would find it confusing.

 

[Johnno75]

1) Your CCR report is clear
2) You currently have a loan which is in default
3) You are up to date, but had an impairment in March 2019, so your report will not be clear until March 2024

A sensible suggestion.

Any document should be capable of being interpreted on its own terms. In other words, it should be capable of being read and understood by an average reader as a standalone document.

Accordingly, maybe the insertion of a ‘schedule of terms’ which describes certain terms would be appropriate.

For example:

“Settlement” means “the discharge of the loan for a lesser amount than the amount due”.

“Legal Proceedings” means “the institution of debt recovery or other litigation for recovery of the sums due by the creditor”

And so on.