With any connection to a mobile network you will need to perform a network credit check. This identifies a number of suitability conditions which is individual to your circumstances. All networks will use one or a number of credit reference agencies to aid them in this decision. The myths of it being based on the address of a previous bad tenant will have no impact on your history.
The UK has 3 credit reference agencies. Experian, Equifax and Callcredit. All three agencies hold information based on your credit footprint and also provide a credit score. What this means is every time you apply for credit for example in the form of a phone contract, credit card or a loan, your attempt to apply for this credit will leave its mark on your credit report. This is know as a credit footprint and will show another credit providers your history of applying for credit. Even if you are accepted for credit but don’t take it up, it will still leave a mark
Having a maintained credit file is important as Experian, Equifax and Callcredit will each have a credit score to assess your credit worthiness. This is based on a score of 1-1000 with the later being the best and the one that credit providers will look for.
If you have been successful and you accept the offer for credit, the relevant credit provider will continue to report on this every month up to 7 years after an account is closed. Each month data is provided to Experian, Equifax and Callcredit on the state of your account, and whether its up to date or you are behind with your payments. If payments are missed, this will be marked on your account too.
A credit search will perform a check to match the details provided at the time. This will included details such as address and the length of time you have resided at the address, date of birth, These details are then crossed checked with your file to check consistency with your data provided. This can result in a decline if details held with Experian, Equifax and Callcredit don’t match what is being entered.
How to fix your credit score?
Read more on how to improve your credit score and obtain the best rates for credit available.