Credit Reference Agency Information Notice

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Credit Reference Agency Information Notice

CREDIT REFERENCE AGENCY INFORMATION NOTICE (CRAIN)
Version: 1.1
Adopted: 26th March 2020

We are credit reference agencies and we play a key role in the UK’s financial ecosystem. This document

explains how we obtain, process and share personal data about consumers and businesses.

This section briefly summarises the key processing activities common to the credit reference agencies.

For more detail, please refer to the rest of this document. In addition, we recommend reviewing each

credit reference agency’s own information notices, which explain the specific processing activities of

that credit reference agency. Links to these documents can be found in section 14.

 Credit reference agencies collect information about consumers and businesses from various

sources and build databases that hold all of this data.

 The sources of that information include public records, such as court judgments (CCJs) and

electoral register information, and financial information from lenders, utilities suppliers and

telecoms businesses.

 Lenders and other organisations carry out searches against that information with one or more

credit reference agencies.

 Organisations can carry out searches for several reasons. These include assessing

creditworthiness and ability to afford financial products, checking the accuracy of other

information, preventing and detecting crime (such as fraud or money laundering), checking

identity, tracing individuals (for example to recover debts that they owe), calculating how

much their insurance premiums should be, and assessing their suitability for a job or a

tenancy.

 When an organisation carries out a search of someone’s information, we will record details of

that search. This is known as a search footprint.

 Credit reference agencies also use consumer data for marketing-related purposes, such as

helping organisations to better direct their marketing, including by screening individuals out

of advertising for credit products so that those products are not offered to people who would

not be eligible for them. They may also use the data to build insight to predict information or

characteristics about the population, to help organisations identify who they want to market

their products and services to.

 Credit reference agencies also use the data in their databases for other activities. These

include analytics and profiling, such as helping lenders build scorecards to use in assessing

credit applications.

 Because not every lender supplies data to every credit reference agency, your credit reference

information held at each credit reference agency might be different.

 Credit reference agencies carry out several types of data processing to help achieve the aims

described above. These include loading data, matching and linking data together as well as

testing, developing and building our products and services.

 Consumers have certain rights that they can seek to exercise in relation to the personal data

held by credit reference agencies. For example, they have rights to obtain a copy of the data,

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to ask the credit reference agency to correct it if it is inaccurate, and to object to the

processing of the data.

Please note:

 This document describes how the credit reference agencies use and distribute the personal

data described in section 4. This data is referred to as “credit reference data”.

 The credit reference agencies are independent businesses. Not all of the products and services

described in this document are provided by all three of the credit reference agencies, or in the

same way, and not all of the data is used by each of them.

 This document does not cover all personal data that the credit reference agencies use and

distribute; for example, this document does not cover processing of personal data in relation

to credit reference agency services you sign up to directly, such as services which allow you to

view your own credit report and score. Section 2 and section 14 below provide links to where

information can be found about each credit reference agency’s other products and services

(including marketing services) and how they use and share other kinds of personal data.

 Consumers can obtain a copy of the information that each credit reference agency holds about

them. Section 9 explains how this can be done.

CONTENTS

This document answers these questions:

1. Who are the credit reference agencies and how can they be contacted?

2. What do credit reference agencies use credit reference data for?

3. What are the credit reference agencies’ legal grounds for handling credit reference data?

4. What kinds of personal data do credit reference agencies use, and where do they get it from?

5. Who do credit reference agencies share credit reference data with?

6. Where is credit reference data stored and sent?

7. For how long is credit reference data retained?

8. Do the credit reference agencies make decisions about consumers or profile them?

9. How can a consumer see what data the credit reference agencies hold about them? Do

consumers have a ‘data portability’ right in connection with their credit reference data?

10. What can a consumer do if their credit reference data is wrong?

11. Can a consumer object to the use of their credit reference data and have it deleted?

12. Can a consumer restrict what the credit reference agencies do with their credit reference

data?

13. Who can a consumer complain to if they are unhappy about the use of their credit reference

data?

14. Where can consumers find out more?

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1. WHO ARE THE CREDIT REFERENCE AGENCIES AND HOW CAN THEY BE CONTACTED?

There are three main credit reference agencies in the UK.

Each is regulated by the Financial Conduct Authority (“FCA”) and authorised to conduct business as a

credit reference agency. The full names and contact details for each are set out below.

Credit reference agency Contact details

Equifax Limited

Post: Equifax Limited, Customer Service Centre PO Box 10036,

Leicester, LE3 4FS

Web address: https://www.equifax.co.uk/Contactus/

Contact_Us_Personal_Solutions.html

Email: UKDPO@equifax.com

Phone: 0333 321 4043 or 0800 014 2955

Experian Limited

Post: Experian, PO BOX 9000, Nottingham, NG80 7WP

Web address: https://www.experian.co.uk/consumer/contactus/

index.html

Phone: 0344 481 0800 or 0800 013 8888

TransUnion International

UK Limited

Post: TransUnion, One Park Lane, Leeds, West Yorkshire, LS3 1EP

Web address: https://www.transunion.co.uk/consumer/consumerenquiries

Email: consumer@transunion.co.uk

Phone: 0330 024 7574

In this information notice, these three companies are referred to as Equifax, Experian and TransUnion

respectively. Together they are referred to as credit reference agencies.

Controllers

Each credit reference agency is a controller of the credit reference data that it holds. This means that

it has certain responsibilities under data protection law to make sure that the data is used fairly and

lawfully.

Where a credit reference agency operates as part of a group of companies, it may share joint

responsibility with the other members of that group when sharing data with them. You can contact

the relevant credit reference agency using the details above if you want to enquire about any of those

group companies or exercise any of your rights in respect of your personal data.

2. WHAT DO CREDIT REFERENCE AGENCIES USE CREDIT REFERENCE DATA FOR?

Credit reference agencies use credit reference data in products and services that they offer to their

clients. The purposes for which those products and services are used are described below, but please

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note that different clients may use the products and services in different ways. Consumers should

check the privacy policies of the organisations that they deal with for details about how they use any

products and services provided by the credit reference agencies.

(a) Credit reporting and affordability checks

Each credit reference agency uses credit reference data to provide credit reporting services and

affordability checks to its clients.

Credit reporting

Organisations use credit reporting services to see how people and businesses are managing payments

in respect of their credit arrangements and how they have done so in the past. For example, if a person

applies for a bank loan to buy a car, the bank may use credit reporting services to check whether that

person has defaulted on any previous credit agreements. It will then use this information, together

with information from other sources, to assess the risk of offering the loan.

Affordability checks

Organisations use affordability checks to help understand whether people or businesses applying for

credit are likely to be able to afford the repayments. The information provided as part of the

affordability checks may affect a person’s or business’s ability to obtain credit.

These activities help promote responsible lending, prevent people and businesses from getting into

more debt than they can afford, and reduce the amount of unrecoverable debt and insolvencies.

(b) Checks to validate and verify data, and help prevent and detect fraud, money laundering and

other criminal activity

The credit reference agencies use credit reference data to provide validation and verification services

and other services to help prevent fraud, money laundering and other criminal activity.

Some examples of how credit reference agency clients use these services are as follows:

 When a person applies to an organisation for a product or service, the organisation might ask

that person to answer questions about themselves, and then check the answers against the

data held by the credit reference agencies to see if they match. For example, they may ask

“What is your current address?” If the address provided does not exist on the credit reference

agencies’ records (for example, because it is a fictitious address) or does not match the data

held by the credit reference agencies (for example, there is no record of the person at the

address provided), then this may be an indicator of a mistake or fraud.

 Where some products and services are only available to people of a certain age, organisations

may check whether the person they are dealing with is eligible by looking at data held by the

credit reference agencies. For example, if a person is signing up to join a gambling website

which is only for people who are at least 18 years old, the organisation may check to see if the

age provided by the person matches that held by the credit reference agencies.

 Government and quasi-government bodies may use credit reference agency services to check

whether people are entitled to certain benefits and to help recover unpaid taxes, overpaid

benefits and similar debts. For example, if a person is claiming single person discount for

council tax, a local authority may check with the credit reference agencies to see if any other

adults are living at the same address.

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 The police may use data held by credit reference agencies to help in their investigations into

criminal activity.

An indication of invalid or unverified information, fraud, money laundering or other criminal activity

may affect the outcome of an application for (amongst other things) a product or service, a tenancy

agreement or employment. If clients using the services identify potentially fraudulent activity they

may also pass the applicant’s details to a fraud prevention agency such as Cifas and/or to the police.

(c) Customer management

Credit reference agencies use credit reference data to provide products and services for organisations

to use for customer management purposes. Customer management is the ongoing maintenance of an

organisation’s relationship with its customers. This could include activities designed to support:

 data accuracy: for example, to correct or update data held on the organisation’s records,

such as correcting spelling mistakes or adding missing fields;

 ongoing relationship and account management activities: for example, to help

organisations make decisions relating to credit limit adjustments, transaction

authorisations, card reissue, inbound lending requests, and to identify and manage the

accounts of customers including those at risk, in early stress, in arrears, or going through

a debt collection process.

(d) Tracing and debt recovery

Credit reference agencies use credit reference data to provide products and services that allow

organisations to trace people. This is typically needed where a person has moved address or changed

their telephone number and has not provided their new contact details. The credit reference agencies

help organisations locate customers they have lost contact with by providing them with updated

addresses and other contact details.

The products and services are used to support organisations’ debt recovery and debtor tracing activity.

For example, if a person owes money to an organisation and moves to a new house without telling

the organisation where they have moved to, the organisation may use these services to help find that

person to recover the money that is owed to them.

These products and services are also used to find people in order to let them know about assets that

they may have forgotten about or not be aware of, such as old dormant savings accounts or pension

funds, or to find people to let them know about assets of a deceased person which they have an

interest in, such as administrators or beneficiaries of a deceased person’s estate.

Please also see section 2(h) below which describes how some of the credit reference agencies provide

tracing services for marketing purposes.

(e) Tenant vetting

Credit reference agencies use credit reference data to provide products and services that allow

landlords to verify some of the information provided by their prospective tenants, as well as

confirming that they are who they say they are and that they are likely to be willing and able to pay

their rent on time. Landlords can use this information to help decide whether to agree to the tenancy,

or how much of a deposit they should ask for.

(f) Staff and job candidate vetting

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Credit reference agencies use credit reference data to provide products and services that allow

organisations to verify some of the information provided by their staff and job candidates and confirm

that they are who they say they are. They also enable employers to assess whether the staff member

or candidate has a history of managing their own financial commitments well, or whether they are

financially compromised. This can be used to help them decide whether the person would be or will

continue to be a suitable member of staff.

(g) Insurance risk assessments and pricing

Credit reference agencies use credit reference data to provide products and services for organisations

to use to assess insurance risk. For example, an insurer may find that a person’s financial standing and

history can be used to help predict how likely that person is to make a claim on an insurance policy,

or how large that claim might be. This can help the insurer to decide (i) whether to provide insurance

to a person, and (ii) how much the insurance premium should be, and (iii) whether to allow payment

for insurance on a credit instalment basis.

(h) Marketing and marketing-related services

Overview

Each credit reference agency offers its clients marketing services. Some of these marketing services

use credit reference data and some do not. For details about the marketing services offered and the

personal data used by the credit reference agencies, please see the following links:

Experian: https://www.experian.co.uk/privacy/consumer-information-portal

Equifax: https://www.equifax.co.uk/ein.html

TransUnion: https://www.transunion.co.uk/legal/privacy-centre?#pc-marketing-services

As well as other rights, consumers have the right to object to the processing of their credit reference

data for direct marketing purposes, including any profiling that is related to direct marketing. Section

11 sets out more details on how this right can be exercised.

If a credit reference agency provides marketing services, then they may use an individual’s title, name

(including aliases), address, date of birth, gender and address links information (see section 4 for more

detail), as well as limited information relating to their financial standing.

Screening out

Credit reference agencies use credit reference data to provide screening services to their clients. This

means that they identify people who clients may wish to screen out of marketing lists. Screening is

used to help ensure that individuals do not receive irrelevant or inappropriate marketing information.

For example, a client may want to screen out from its marketing list someone who is deceased, or who

is under 18, or does not reside at the address they hold, or who may not be interested in a product or

service or is unlikely to be accepted for it.

Other marketing-related activities

In addition, credit reference agencies may use credit reference data to offer some or all of the

following marketing services:

 They may supply the open version of the electoral register (where people have not opted out

from their electoral register data being used for marketing and other purposes) to

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organisations for marketing purposes. This can include identifying new potential customers,

verifying that names, addresses and dates of birth collected from other sources are accurate

and complete, and informing customers of any errors.

 They may identify when someone has moved away from an address so that marketing is not

sent to them at that old address.

 They may help build insight using profiling techniques which will be used by organisations to

help them identify people that they want to communicate with about particular products and

services. This insight might predict, for example, age, marital status, household composition,

length of residency at an address and gender. It can help give organisations insight into the

likely characteristics of the UK population at an individual, household and postcode level.

Credit reference data also helps credit reference agencies to validate the insight being

created.

 In certain circumstances, insight might also be used to help clients predict the financial profile

of a person so that they can personalise their interactions with them and make

communications more relevant and suitable. For example, they could use the insight to select

products or offers that they believe would be relevant to that person.

 Models and insight created by the credit reference agencies can be matched to clients’ own

contact lists so that they can make better informed decisions about how they interact with

individuals.

 They may confirm whether individuals are resident at the address that the credit reference

agencies or their clients hold for them. This can be done by checking the credit reference data

to see if there are any open credit accounts at an address and whether the accounts have

recent activity, such as where a recent payment has been made. If they do, then it is likely

that they have the correct address details. This will help ensure that an individual does not

receive marketing for someone else and the credit reference agencies’ clients do not send

marketing to the wrong address.

 They may trace individuals to a new address so that their marketing preferences (both optins

and opt-outs) collected at a previous address can continue to apply at their new address

and so that marketing is not sent to them at their old address.

 The credit reference agencies may also use credit reference data to help keep their own

marketing suppression lists (or those of their group companies) accurate and up to date. For

example, if you have previously asked to be excluded from marketing activity and your credit

reference data indicates that you have since moved or changed your name, that information

can be used to make sure that you continue to be excluded from marketing activity at your

new address or under your new name.

(i) Profiling, statistical analysis and anonymisation

Credit reference agencies use, and allow their clients to use, credit reference data to carry out profiling

of consumers through statistical analysis. This includes the creation, validation and use of scorecards,

models, and attributes in connection with the assessment of risks relating to credit, fraud, affordability

and debt collection. It is also used in verifying identities, to monitor and predict market trends and to

enable clients to refine lending and fraud strategies, and loss forecasting.

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These practices profile consumers to help determine the likelihood that a consumer with certain

characteristics will act in a way that will produce certain outcomes; for example, to repay credit, to be

able to afford credit, to claim on an insurance policy, to commit fraud, to respond to certain collection

strategies or to become insolvent.

The credit reference agencies may also convert personal data into statistical or aggregated form so

that individuals are not identified or identifiable (thereby creating anonymized data). Anonymized

data is not personal data and the credit reference agencies may use such data to conduct research

and analysis, including to produce statistical research and reports or for any other purposes.

(j) Data management activities

Credit reference agencies use credit reference data to carry out certain processing activities to support

their own business operations. This includes supporting the effectiveness, efficiency and security of

their databases, products and services, both in the context of their credit reference activities and more

widely. For example:

 Data loading: credit reference data is checked for integrity, validity, consistency, quality and

age to help make sure it is accurate. These checks pick up issues such as irregular dates of

birth, names, addresses, account start and default dates, and gaps in status history.

 Data matching: credit reference data is matched to the credit reference agencies’ existing

databases to help make sure it is assigned to the right person, even when there are

discrepancies like spelling mistakes or previous names or different versions of a person’s

name. Credit reference agencies use credit reference data to create and confirm identities,

which they use to underpin the services that they provide.

 Data linking: when credit reference agencies compile data into their databases, they create

links between different pieces of data. For example, people who appear financially associated

with each other may be linked together and a person can be linked with their previous and

current addresses. Also, where someone has an alias, such as a maiden name and married

name, these names will be linked.

 System maintenance and testing: credit reference data may be used when carrying out

system maintenance, repair and testing, and security activity.

Each credit reference agency has its own processes and standards for data management activity.

(k) New development and testing

The credit reference agencies use credit reference data to help develop new products, services and

technologies and to test them. Typically, credit reference agencies will anonymise credit reference

data before it is used for these purposes.

(l) Compliance with laws

The credit reference agencies use and disclose credit reference data where required by law. For

example, this can happen in response to a court order or a request from a regulator, or in order to

comply with a request from a person (or by a third party acting on their behalf), to exercise their legal

rights in respect of the credit reference data, such as by requesting a copy of it.

3. WHAT ARE THE CREDIT REFERENCE AGENCIES’ LEGAL GROUNDS FOR HANDLING CREDIT

REFERENCE DATA?

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Data protection law requires the credit reference agencies to always have what is referred to as a

“lawful basis” (i.e. a reason or justification) for processing personal data. There are a number of lawful

bases available, but the majority of credit reference agencies’ activity is on the basis that:

 the processing is necessary to pursue the legitimate interests of the credit reference agencies

and third parties (such as their clients), and those interests do not unduly prejudice the rights

and freedoms of individuals; or

 the processing is necessary to comply with a legal obligation binding on the credit reference

agencies.

For information about any other lawful basis relied on by each credit reference agency, please review

their individual information notices (see section 14).

Legitimate interests

The credit reference agencies use credit reference data to pursue their legitimate interests, those of

their clients and those of individuals. The following table explains these legitimate interests. The credit

reference agencies have carried out assessments and have concluded that these interests are not

overridden by the interests or fundamental rights and freedoms of individuals.

Interest Explanation

Promoting responsible lending and helping to

prevent over-indebtedness

Responsible lending means that lenders only sell

products that are affordable and suitable for the

borrowers’ circumstances. This is in the interests

of borrowers so that they do not become

burdened with debt that they cannot afford to

repay, and the stress associated with that. It is

also in the interests of lenders in that it reduces

bad debt and collections activity.

Credit reference agencies facilitate responsible

lending by providing services that allow lenders

to access information about a person (and

anyone with whom they have a financial

association, such as a joint account), including

how they are managing current debt, have

managed debt in the past and whether they

have sufficient income to repay the debt.

Helping prevent and detect fraud, money

laundering and validate and verify identity

Credit reference agencies provide identity, antifraud

and anti-money laundering services to

help clients meet legal and regulatory

obligations. These services benefit individuals by

facilitating prompt access to services through

identity verification, and helping to protect them

against fraud, and other criminal activity.

Prevention and detection of fraud, money

laundering and other criminal activity is in the

legitimate interest of the credit reference

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agencies and their clients. It is also to the benefit

of wider society and therefore in the public

interest.

Customer and data management activities for

the benefit of consumers and businesses.

Credit reference agencies provide services which

help businesses maintain the quality of the data

they hold and to make informed decisions about

how they engage with their customers.

It is in the legitimate interests of the credit

reference agencies to offer these services to

their clients but it is also in the legitimate

interests of both the consumer and businesses

by helping ensure that data held is accurate,

comprehensive and up-to-date and that

informed and responsible decisions can be made

particularly in the context of lending decisions.

Supporting tracing and debt recovery Credit reference agencies provide services that

support tracing and collections where the client

has a legitimate interest in conducting activity to

find its customers and to recover debt, or to

reunite, or confirm that an asset relates to the

right person.

Enabling landlords to check the suitability of

their prospective tenants

Credit reference agencies enable landlords to

verify some of the information provided by their

prospective tenants, as well as confirming that

they are who they say they are and that they are

likely to be willing and able to pay their rent on

time. This helps the landlord to decide whether

to agree to the tenancy, or how much of a

deposit they should ask for; and it reduces the

risk that the tenancy relationship will

subsequently break down. It also helps tenants

to avoid getting into legal difficulties where they

have agreed to pay rent that they cannot afford.

Enabling employers to check the suitability of

their current and prospective staff

Credit reference agencies enable employers to

verify some of the information provided by their

staff and job candidates and confirm that they

are who they say they are. They also enable

employers to assess whether the staff member

or candidate has a history of managing their own

financial commitments well, or whether they are

financially compromised. This can help reduce

the risk of fraud and can help the employer to

decide whether the person is or would be a

suitable member of its staff. All of which is in the

legitimate interest of those employers.

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Enabling insurers to calculate and price risk

more accurately

Credit reference agencies enable insurers to

consider certain kinds of credit reference data

when they are assessing risk. This data can help

the insurer decide whether to provide cover to a

person, and how much the insurance premium

should be. This enables them to better forecast

their future liability and to price their insurance

products more accurately and competitively. For

consumers, it means that insurance policies are

priced more fairly, with the lowest-risk

individuals paying less for their insurance.

Supporting compliance with legal and regulatory

requirements

Credit reference agencies’ services may be used

by their clients to help them comply with their

own regulatory obligations, for example,

complying with anti-money laundering

obligations and regulations set by the FCA which

require lenders to assess the creditworthiness of

individuals who apply for loans. This is in the

legitimate interest of clients.

Further, these regulatory obligations are in place

in the interests of wider society, so facilitating

compliance with them indirectly benefits society

as a whole, which is in the public interest.

Promoting responsible, efficient and informed

marketing activities for the benefit of consumers

and businesses.

Credit reference agencies provide services to

support organisations in ensuring that their

marketing strategies are responsible, informed

and efficient. This helps them to reduce waste

(driving costs down and increasing competition)

and avoid sending communications to

individuals who are less likely to be interested in

receiving them or who should not receive them.

More information is available from each credit

reference agency about the legitimate interests

relied on for their marketing services activities

by visiting:

Experian:

https://www.experian.co.uk/privacy/consumerinformation-

portal

Equifax: https://www.equifax.co.uk/ein.html

TransUnion:

https://www.transunion.co.uk/legal/privacycentre?#

pc-marketing-services

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Commercial interests It is in each of the credit reference agencies’

legitimate interests to provide the services

described above to its clients to generate sales

revenues.

The credit reference agencies’ use of credit reference data is subject to an extensive framework of

safeguards that balance the legitimate interests set out above with the fundamental rights and

freedoms of the people whose data the credit reference agencies use and share. The framework

includes information given to people about how their personal data will be used and how they can

exercise their rights to obtain their personal data, have it corrected, erased or restricted, object to it

being processed, and complain if they are dissatisfied. It also includes extensive due diligence checks

on clients, robust contractual arrangements and internal data management processes that the credit

reference agencies have in place. These safeguards help sustain a fair and appropriate balance and to

protect the rights and freedoms of individuals.

Legal obligations

In some circumstances the credit reference agencies are required by law to use or share personal data

in particular ways. This happens, for example, when a court, law enforcement agency or regulator

makes a legally binding request or order for disclosure of personal data. It also happens when

individual consumers exercise their rights, for example by requesting a copy of their own personal

data from a credit reference agency.

4. WHAT KINDS OF PERSONAL DATA DO CREDIT REFERENCE AGENCIES USE, AND WHERE DO THEY

GET IT FROM?

Each credit reference agency obtains and uses personal data from different sources, so they often

hold information that is different to some degree from that held by the others. However, most of the

personal data they hold falls into the categories outlined below from the sources described.

Information type Description Source

Identifiers Credit reference agencies hold personal

data that can be used to identify people,

such as name, date of birth, and current and

previous addresses.

They may also hold business data including

name, address and details of shareholders

and directors.

This data is part of some of the

other data sources mentioned

below in this table.

Data about UK postal addresses

is obtained from commercial

sources such as Royal Mail.

Electoral register

data

Credit reference agencies hold information

from the electoral register (also known as

the ‘Electoral Roll’). There are two versions

of this. One is known as the open register

(also known as the ‘Edited Electoral Roll’ or

‘EER’) and can be used for a variety of

purposes including marketing. The other is

the full register which the credit reference

agencies can only use for limited purposes.

This data is supplied by local

authorities across the UK and

the Isle of Man.

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Credit account

performance data

Credit reference agencies receive personal

data about how people are managing to

repay their credit commitments.

The data includes the name of the lending

organisation, the date the account was

opened, the account number, the amount of

debt outstanding (if any), any credit

available (including overdraft limits) and the

repayment history on the account, including

late and missing payments.

This data is provided from banks,

building societies and other

financial services providers such

as credit card companies, home

credit suppliers, credit unions

and hire purchase companies. It

is also provided by utilities

companies, mobile phone

networks, retail and mail order

companies and insurance

companies.

Rental related data Some credit reference agencies receive

personal data about whether people are

managing to pay their rent on time.

The data includes tenancy reference, start

date, end date, rental amount, arrangement

amount and outstanding balance.

This data is provided by social

housing providers and private

landlords.

Bank account

turnover data and

application salary

data

This data includes the name of the

organisation providing current accounts,

current account numbers, sort codes, the

number of account holders, the transactions

made on the current accounts (credits and

in some cases debits), and a figure for

credits on each current account.

Application salary data consists of the salary

declared by a person when they are applying

for credit. It also includes whether that

figure is net or gross, and whether the salary

has been verified (e.g. with copies of salary

slips). This data also includes the date that

an application was made.

This data is provided from

organisations which offer people

current accounts, such as banks

and building societies.

Judgment data Credit reference agencies obtain data about

court judgments and decrees. This may

include, for example, the name of the court,

the nature of the judgment, how much

money was owed, and whether the

judgment has been satisfied.

The government makes court

judgments and other decrees

and administrative orders

publicly available through

statutory public registers. These

are maintained by Registry Trust

Limited, which supplies the data

on the registers to the credit

reference agencies.

Insolvency data Credit reference agencies obtain data about

insolvency-related events. This includes

data about bankruptcies, administration

orders, individual voluntary arrangements,

debt relief orders, sequestrations, trust

This data is obtained from The

Insolvency Service, the

Accountant in Bankruptcy, The

Stationary Office and Northern

Ireland’s Department for the

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deeds and debt arrangement schemes. This

data includes the start and end dates of the

relevant insolvency or arrangement.

Economy – Insolvency Service,

the London, Belfast and

Edinburgh Gazettes and Registry

Trust Limited.

Business insolvency data is

obtained from the London,

Belfast and Edinburgh Gazettes.

Fraud prevention

indicators

This data consists of information which

indicates that an individual has

demonstrated behaviour that appears to be

consistent with that of known fraudulent

conduct. It also consists of information

where an individual has been a victim of

identity fraud, or feels that his or her

personal data is vulnerable due to a breach.

This data is obtained from Cifas,

a not for profit fraud prevention

membership organisation.

Search footprints When an organisation uses a credit

reference agency to make enquiries about a

person, the credit reference agency keeps a

record of that enquiry. This is known as a

‘search footprint’. This includes the name of

the organisation, the date, and the purpose

for which the enquiry was made, for

example, employee vetting.

Credit reference agencies

generate search footprints

automatically when enquiries

are made about a person.

Scores Credit reference agencies and their clients

use credit reference data to produce scores

including in relation to credit, affordability,

fraud, identity, collections and insolvency.

The credit reference agencies

use algorithms known as

‘scorecards’ to produce scores

by running credit reference data

through scorecards.

Similarly, other organisations

create their own scores from

data obtained from the credit

reference agencies as well as

other sources.

Other third-party

data

This data includes phone numbers and email

addresses, data concerning politically

exposed persons (PEPs) and people on

sanctions lists as well as mortality data.

Credit reference agencies

receive this data from reputable

commercial sources under

contracts agreed from time to

time.

Other data credit

reference agencies

create (not already

referred to in this

table)

The credit reference agencies derive certain

data from the credit reference data. For

example:

Summarised and aggregated data: credit

reference agencies can summarise credit

The credit reference agencies

generate this data from the data

sources available to them.

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reference data, for example by providing a

count of the total number of accounts or

judgments a person has, or the total amount

of debt. They can also aggregate data about

different consumers together, for example

to provide an overview of the financial

status of particular postcodes and other

geographical areas.

Address links: when a credit reference

agency detects that a person has moved to

a new house, it may create and store a link

between the old and new address.

Aliases: when a credit reference agency

believes that a person has changed their

name, it may record the old name alongside

the new one.

Financial associations and linked people:

when a credit reference agency believes

that two or more people are financially

linked with each other (for example,

because they have a joint account), it may

record that fact.

Flags and triggers: the credit reference

agencies may create flags and triggers that

they use in their systems to highlight that

certain credit reference data exists or to

summarise that data. For example, if the

credit reference agencies hold fraud data

from the fraud organisation known as Cifas,

they may create a flag indicating this fact.

This flag would highlight to clients that the

data is available and give them the

opportunity to ask for more details.

Data provided by

individuals

themselves

People sometimes provide data about

themselves directly to credit reference

agencies. For example, individuals have the

right to ask credit reference agencies to add

a short statement that will be displayed

when an organisation sees credit reference

data about them. This statement is known

as a ‘notice of correction’ and can be used to

allow the person to explain the reason for an

entry. The right to do this is explained in

section 10 below).

This data is provided directly by

individuals themselves

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If a person exercises any of their other legal

rights, the credit reference agencies will

retain data relating to these activities, for

example, records will be kept of all actions

and correspondence relating to managing

complaints.

5. WHO DO CREDIT REFERENCE AGENCIES SHARE CREDIT REFERENCE DATA WITH?

This section describes the types of organisation credit reference agencies share data with. Before

sharing data with any third party each credit reference agency will, where appropriate, complete its

own due diligence checks to ensure that the organisation is a real business and has applicable

regulatory authorisations in place.

Clients

Credit reference agencies supply their products and services to clients in various sectors, such as

banks, building societies, other credit providers, utility companies, mobile phone companies,

insurance companies, credit report providers, retailers, gaming organisations, tenant and employee

vetting firms, professional services organisations (such as firms of solicitors and accountants), estate

agents, landlords, marketing companies, charities and public bodies such as the police, central and

local government and regulators.

Certain organisations that share financial data with the credit reference agencies are members of

closed user groups which entitle them to receive similar kinds of financial data contributed by other

organisations in the group. These organisations are typically banks, building societies, and other

lenders, as well as other credit providers like utilities companies and mobile phone networks.

Resellers, distributors and agents

Credit reference agencies sometimes use other organisations to help provide their products and

services to clients. To do this, they may provide credit reference data to them so that they can provide

the services.

Service providers

The credit reference agencies may use other external organisations and other members of their own

groups of companies to perform tasks on their behalf (for example, IT service providers, call centre

providers and security service providers). To do this, they may provide or make available credit

reference data to them so that they can perform the tasks.

Fraud prevention agencies

Each credit reference agency is a member of Cifas, a not-for-profit fraud prevention service. Where a

credit reference agency believes that you may have been a victim of fraud, it may share that

information with Cifas so that other Cifas members can access it. This enables them to perform

additional checks when (for example) a credit application is made in your name. Please refer to the

Cifas privacy notice at https://www.cifas.org.uk/fpn for more details.

Regulators

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Regulators can sometimes require credit reference agencies to supply them with personal data. This

can be for a range of purposes such investigating complaints or assessing how well a particular industry

sector is working.

Individuals

People are entitled to obtain copies of the personal data the credit reference agencies hold about

them. Details on how to do this are set out in section 9 below.

6. WHERE IS CREDIT REFERENCE DATA STORED AND SENT?

The three credit reference agencies are all based in the UK and keep their main databases there. They

may also have operations and service providers elsewhere inside and outside the UK and the European

Economic Area, and credit reference data may be accessed from those locations too. Regardless of

where the credit reference data is processed, the credit reference agencies ensure that it is always,

protected by applicable UK and European data protection standards.

While the UK and countries in the European Economic Area all ensure a high standard of data

protection law, some parts of the world may not provide the same level of legal protection when it

comes to personal data. As a result, when a credit reference agency sends credit reference data

overseas it makes sure suitable safeguards are in place in accordance with applicable UK and European

data protection requirements, to protect the data. For example, these safeguards might include:

 Sending the data to a country that has been approved by the European authorities as having

a suitably high standard of data protection law. Examples include the Isle of Man, Switzerland

and Canada.

 Putting in place a contract with the receiving organisation containing terms approved by the

European authorities as providing a suitable level of protection.

 Sending the data to an organisation which is a member of a scheme that has been approved

by the European authorities as providing a suitable level of protection. One example is the

Privacy Shield scheme agreed between the European and US authorities.

More information about the safeguards used by each credit reference agency can be obtained by

contacting them at the contact details in section 1 above.

7. FOR HOW LONG IS CREDIT REFERENCE DATA RETAINED?

Each credit reference agency may retain credit reference data for different periods of time.

Information about each credit reference agency’s retention periods can be found at the following

locations:

 https://www.equifax.co.uk/crain/retention

 https://www.experian.co.uk/legal/crain/data-retention

 https://www.transunion.co.uk/legal/crain-retention

These periods are subject to regular review and may change from time to time.

8. DO THE CREDIT REFERENCE AGENCIES MAKE DECISIONS ABOUT CONSUMERS OR PROFILE THEM?

Decisions about consumers

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Credit reference agencies generally do not make decisions about consumers or tell organisations what

decisions to make about consumers – this is for each organisation to decide. For example, credit

reference agencies do not tell lenders whether to offer credit to consumers; they just provide services

that help those lenders make decisions about consumers. An organisation’s own data, knowledge,

processes and practices will also play a significant role in those decisions.

Credit reference agencies may provide similar services to their respective clients, but these services

may lead to different decisions because (i) each credit reference agency may hold different

information from the others, (ii) each client may place differing importance on some information

compared to others, and (iii) each client may take into account information available to it from other

sources. These are some of the reasons why a person may receive a “yes” from one lender but a “no”

from another.

Scores and ratings

When requested, credit reference agencies use the data they obtain to produce credit, risk, fraud,

identity, affordability, screening, collection and insolvency scores and ratings; these are explained in

section 4 above.

9. HOW CAN A CONSUMER SEE WHAT DATA THE CREDIT REFERENCE AGENCIES HOLD ABOUT THEM?

DO CONSUMERS HAVE A ‘DATA PORTABILITY’ RIGHT IN CONNECTION WITH THEIR CREDIT

REFERENCE DATA?

Data access right

Consumers have the right to find out what personal data the credit reference agencies hold about

them. Each credit reference agency provides more information about access rights on their websites.

Credit reference

agency

How to access your data

Equifax To get your credit report:

https://www.equifax.co.uk/Products/credit/statutory-report.html

To get other information about how to access your personal data:

https://www.equifax.co.uk/ein.html

To make a request by post: Equifax Limited, Customer Service Centre, PO

Box 10036, Leicester, LE3 4FS.

Experian To get your credit report:

https://www.experian.co.uk/consumer/statutory-report.html

To get other information about how to access your personal data:

https://www.experian.co.uk/consumer/contact-us/index.html

To make a request by post: Customer Support Centre, Experian Ltd, PO

BOX 8000, Nottingham, NG80 7WP

TransUnion To get your credit report: https://www.transunionstatreport.co.uk/

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To get other information about how to access your personal data:

https://www.transunion.co.uk/legal/privacy-centre?#your-data-rights

To make a request by post: TransUnion, Consumer Services Team, PO Box

491, Leeds, LS3 1WZ

Data portability right

Data protection legislation also contains a right to data portability. Where it applies, the right to data

portability gives consumers a right to receive their personal data in a standard format. However, this

right only applies when personal data is processed on certain grounds, such as consent. This right does

not apply to credit reference data because it is processed on the grounds of “legitimate interests”. To

find out more about legitimate interests please go to section 3 above.

10. WHAT CAN A CONSUMER DO IF THEIR CREDIT REFERENCE DATA IS WRONG?

When the credit reference agencies receive personal data, they perform lots of checks on it to try and

detect any defects or mistakes. Ultimately, though, the credit reference agencies rely on the suppliers

to provide accurate data.

If a consumer thinks that any personal data a credit reference agency holds about them is wrong or

incomplete, the consumer has the right to challenge it. The credit reference agency will need to take

reasonable steps to check the data, such as asking the organisation that supplied it to check and

confirm its accuracy.

If the data turns out to be wrong, the credit reference agency will update its records accordingly. If

the credit reference agency still believes that the data is correct after completing their checks, they

will continue to hold and use it. Where the data is part of the consumer’s credit report, they can ask

the credit reference agency to add a supplementary statement of up to 200 words explaining their

views about the information. This statement will be supplied to organisations who subsequently

access the information that the consumer has disputed.

To do this, consumers should contact the relevant credit reference agency using the contact details in

section 1 above.

11. CAN A CONSUMER OBJECT TO THE USE OF THEIR CREDIT REFERENCE DATA AND HAVE IT

DELETED?

This section helps consumers understand how to exercise their data protection rights to object to

credit reference data being used by the credit reference agencies and how to ask for it to be deleted.

To understand these rights and how they apply to the processing of credit reference data, it is

important to know that the credit reference agencies hold and process personal information in credit

reference data under the “legitimate interests” basis for processing (see section 3 above for more

information about this), and do not rely on consent.

Consumers have the right to object to the processing of credit reference data by a credit reference

agency. This can be done by contacting the relevant credit reference agency using the contact details

in section 1 above.

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Although consumers have complete freedom to contact a credit reference agency with objections at

any time, under data protection law, a consumer’s right to object does not automatically lead to a

requirement for processing to stop, or for personal data to be deleted.

Because of the importance of the credit referencing industry to the UK’s financial system, and the

important purposes for which the credit reference data is needed (such as supporting responsible

lending, and preventing over-indebtedness, fraud and money laundering) it will be rare that the credit

reference agencies do not have compelling, overriding grounds to carry on using the personal data

following an objection. In many cases, it will not be appropriate for the credit reference agencies to

restrict or to stop processing or delete credit reference data, for example, where the result would be

to hide a poor credit history that could enable a person or organisation to get credit they otherwise

would not be eligible for.

However, as an exception from the general rule described above, all consumers have an absolute right

to object to their personal data being used for direct marketing purposes. If you object to a credit

reference agency using your personal data for those purposes, you can get them to stop by contacting

them using the details in section 1.

12. CAN A CONSUMER RESTRICT WHAT THE CREDIT REFERENCE AGENCIES DO WITH THEIR CREDIT

REFERENCE DATA?

In some circumstances, consumers can ask credit reference agencies to restrict how they use their

credit reference data. Contact details for each credit reference agency are in section 1 above.

This is not an absolute right and processing will only be restricted if certain conditions are met (for

example, if the processing is unlawful or the personal data is no longer required by the credit reference

agencies for the purposes for which it was obtained).

Even where a restriction condition is met, a consumer’s personal data may still be processed (and

shared) by the credit reference agencies where certain grounds exist. These are:

 with the consumer’s consent

 for the establishment, exercise, or defence of legal claims

 for the protection of the rights of another natural or legal person

 for reasons of important public interest

The credit reference agencies will consider and respond to requests they receive, and will assess

whether any of the restriction conditions apply and, if they do, whether there are any grounds that

permit the continued processing of the personal data.

Given the importance of complete and accurate credit reference data, for purposes including for

example for responsible lending and preventing over-indebtedness, fraud and money laundering, it

will usually be appropriate for the credit reference agencies to continue processing credit reference

data on the basis of protecting the rights of another natural or legal person or for reasons of important

public interest.

13. WHO CAN A CONSUMER COMPLAIN TO IF THEY ARE UNHAPPY ABOUT THE USE OF THEIR CREDIT

REFERENCE DATA?

The credit reference agency

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Each credit reference agency tries to ensure that it delivers the best outcomes for its clients and for

consumers. If a consumer wants to make a complaint to a credit reference agency they can do so by

contacting it at the following addresses.

Credit reference agency Contact details

Equifax Post: Equifax Limited, PO Box 10036, Leicester LE3 4FS

Email: complaints@equifax.com

Phone: 0333 321 4043 or 0800 014 2955

Experian Post: Experian, PO BOX 8000, Nottingham, NG80 7WP

Email: complaints@uk.experian.com

Phone: 0344 481 0800 or 0800 013 8888

TransUnion Post: TransUnion, One Park Lane, Leeds, West Yorkshire LS3

1EP

Email: customer.relations@transunion.co.uk

Phone: 0330 024 7574

Each credit reference agency also has a data protection officer who can be contacted about matters

relating to the protection of personal data at the relevant credit reference agency. The contact details

for each credit reference agency’s data protection officer are:

 Equifax: UKDPO@equifax.com

 Experian: uk.dpo@experian.com

 TransUnion: dpo@transunion.co.uk

The Information Commissioner’s Office

If a consumer is not satisfied with how a credit reference agency has investigated a complaint, the

consumer can refer their concerns to the Information Commissioner’s Office which is the body that

regulates the handling of personal data in the UK. The contact details are:

 Phone: 0303 123 1113

 Post: Information Commissioner’s Office, Wycliffe House, Water Lane, Wilmslow SK9 5AF

 Website: https://www.ico.org.uk

The Financial Ombudsman Service

Where the complaint relates to an activity which is regulated by the Financial Conduct Authority (such

as credit reporting and affordability checks), consumers also have the right to refer the matter to the

Financial Ombudsman Service (Ombudsman) for free. The Ombudsman is an independent public body

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that aims to resolve disputes between consumers and businesses like credit reference agencies. The

contact details are:

 Phone: 0300 123 9 123 (or, from outside the UK, +44 20 7964 1000)

 Email: complaint.info@financial-ombudsman.org.uk

 Post: Financial Ombudsman Service, Exchange Tower London E14 9SR

 Website: https://www.financial-ombudsman.org.uk

14. WHERE CAN CONSUMERS FIND OUT MORE?

The work credit reference agencies do is very complex, and this document is intended to provide only

a concise overview of the key points. More information about each credit reference agency and what

it does with personal data is available at the following locations:

 Equifax: https://www.equifax.co.uk/ein.html

 Experian: https://www.experian.co.uk

 TransUnion: https://www.transunion.co.uk/privacy

The Information Commissioner’s Office also publishes advice and information for consumers in its

Credit Explained leaflet, available at https://ico.org.uk/media/for-thepublic/documents/1282/creditexplained-

dp-guidance.pdf.