Credit history check: who needs and how to implement it on their own

It happens that a person turns to the bank to apply for a loan, but he is refused a contract. At the same time, employees of a financial institution almost never explain the reason for such a decision. Most often, this situation can arise if a credit history check has shown that you have had any problems with repaying loans in the past.

In order to minimize the possibility of the bank refusing to issue a loan, it is necessary to fulfill the obligations of the borrower in good faith. Of course, if you want, you can find an institution in which you will issue a loan without checking your credit history. However, such organizations usually offer to conclude a loan agreement on absolutely unfavorable terms: at a high interest rate or with an increased requirement for collateral and guarantors.

The concept of credit history

Before you figure out what your credit history is, it would be nice to understand what it is all about. This is quite an uneasy and voluminous economic concept.

The credit history consists of three parts. It implies information that is transferred by the financial institution to the credit bureau and characterizes the quality of the borrower's performance of the obligations assumed under the loan agreement.

1. The title part of the credit history contains all the information about the borrower.
2. The main part contains information about its subject, which is the recipient of the loan, its registration, as well as on loan agreements.
3. The additional part includes data on users to whom the subject granted the right of access to information, as well as the sources of formation, which are the lenders.

The bank may enter into agreements with one or more credit bureaus. This name means organizations that create, store and process data included in the credit history.

The title parts are stored in the Central Catalog of Credit Histories. Full information is stored in separate CRIs (credit history bureaus). Therefore, to simplify the search for data in the event that a credit history check is required, subject codes that are alphanumeric ciphers are used.

How to find out the credit history

Very often at some point a person realizes that he needs a credit history check. Any citizen of the Russian Federation can receive this service free of charge once a year. However, this is not so easy. The fact is that in Russia there is no single base for credit histories. Instead, a BCI database was created, which is located in the Central Collection of Credit Histories. This structure allows to achieve maximum protection of borrowers' data.

It is important to remember that the verification of credit history can be carried out only with the permission of its subject. That is, when applying for a loan you will be asked to sign a consent to a data request.

Thus, the information in the Central Catalog of Credit Histories can be obtained by the bank with your consent, you yourself or a credit bureau. Of course, you can apply to any bank that provides services to provide a list of credit bureaus that store information about you as a borrower. But if you know the subject code, you can send a request to the CCCH yourself.

There are two answers that you can get from the Central Catalog:

1. Information on the request may not be found if you have never borrowed, or if you executed a loan agreement before 2006, when the Credit History Act did not yet exist.
2. If the credit history exists on you, in response to the request you will receive a list of BCHs that contain information about you.

In the second case, after you get a list of bureaus with the phone numbers and addresses, you should contact each of them and get information about yourself as a borrower.

Thus, every person who borrowed in the past or plans to use this service in the future, it will be superfluous to know that checking credit history can be done independently and absolutely free of charge.