We have blocked the possibility to apply for credit products in banks as well as more and more often in non-bank institutions. Such entries in Credit Checker usually appear after 30 days of default, and then we become unreliable to banks.
Of course, there are some exceptions and even longer slippages in payments may not interfere with financing, but these are individual decisions taken at each bank differently. As a rule, delays of up to 30 days are not a problem as long as they are regulated and those over 30 days and 90 days are the time when the expert’s analysis of the report can determine the chances of success.
Having negative entries in our credit history
Clearing the history is best to start by downloading the full Credit Checker report to assess what is wrong (I invite you to download the report for another blog entry). With the report, we can see exactly when the delays occurred and how many days they had. The next step is to check whether the commitment is repaid, because if so the bank has the option of storing this data for 5 years after full repayment.
However, there are exceptions to this and by sending an appropriate letter to the bank, we have the option of completely removing this obligation from Credit Checker. Obligations, of course, do not disappear completely but is transferred to the statistical part not visible to banks.
Whether the bank agrees to delete the entry depends only on the bank and goodwill, so you should prepare such a letter and you can use the template prepared below. It is a universal draft for probably all banks and institutions.
Having negative entries from non-bank companies
We can also apply a similar scheme and send letters to these companies with a request to remove the commitment from Credit Checker and should be successful because non-bank companies do not deal with this problem.
The process of removing negative entries looks like that when we get a response with information about deletion, the report must be updated and it takes up to about 2 weeks (of course it can be faster). After the update, negative entries are moved to the statistical part invisible to banks.
However, we must be aware that if we did not pay our liabilities at any bank, even after clearing the history, the bank will still have a full repayment history because each bank has its own base. Therefore, it is worth refusing to submit applications to those banks where we had problems with repayment.