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Frequently Asked Questions
In order to serve you better, we post
the most frequently asked questions and their answers in
easy to understand language. Questions and answers are organized
by topic for your convenience. For borrower specific FAQs,
please see the Borrower Frequently
Asked Questions page.
In some instances, answers may be more
complex than can be explained here. Experienced customer
service specialists are available to assist you in solving
your issue.
You can find detailed discussions
and documentation about technical issues in the Support
section under Frequently
Asked Questions.
Supplements
What is a Supplement?
A supplement is a service process
in which our staff will verify and update the particulars
for an item, providing a comprehensive and up-to-date understanding
of the item. A supplement can be an addition, correction,
or update to a tradeline, public record, employment record,
address or landlord inquiry.
What is the usual turnaround
time on a supplement?
The standard turnaround on a supplement
is by the end of business the following business day or
we will notify you of any delay. We make every attempt to
verify the information electronically or telephonically
and get a conclusive answer from the creditor as quickly
as possible. We will notify you via fax or in your electronic
mailbox of the findings.
Some creditors require verification By
Fax Only or By Mail Only. In these instances, we will notify
you by normal means that a borrower consent agreement is
necessary to proceed. The quicker we receive the borrower's
consent in writing, the faster we can approach the creditor
and speed up the process. We make every attempt to secure
the verification as quickly as possible.
Creditors have their own policies
on responding to verification requests. Given the range,
we cannot guarantee or predict how quickly creditors will
respond to the request. We are dedicated to resolving your
requests as quickly as possible. Our customer service specialists
have procedures and schedules for follow-up with creditors
to ensure the quickest verification possible. Additionally,
we will keep you informed throughout the process.
How do I retrieve the findings
on a supplemental request?
The findings of a supplemental request
vary depending on how you pull your credit report. If you
access or order your reports via the Internet, we post the
findings in your mailbox. For other processes, you will
receive a fax confirmation of the findings.
What effects do a supplement
have on the borrower's FICO score?
None; supplements are performed by
Informative Research and do not affect the original data
posted at the credit bureaus. If you want to change the
score, you may consider the Credit
Score Review, a streamlined process of verifying and
updating a disputed tradeline.
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Tips for Improving Turnaround Time
on Supplement Requests
Can you give me any tips
that will improve the turnaround time on supplement requests?
By taking a few proactive steps before
submitting your requests, we can avoid unnecessary detours
that can delay the response time. The following steps can
be taken as part of your normal workflow towards improving
the turnaround time:
1) Be as specific as you can when submitting
your request. Delays can be due to ambiguity and confusion
in the process. The more detail you provide, the easier
it is to verify the request.
2) Give one of the following report numbers:
reference number, file number, order number, or agency reference
number, and the complete name of the borrower. Sometimes
delays are caused by the inability to conclusively match
the name of the borrower to the tradeline.
3) Submit full account numbers. When verifying
information, we need the full account number. Please keep
in mind that Bureaus only report partial account numbers
for consumer protection; only the borrower can provide the
full account number. Ask the borrower for complete account
numbers during the application process. By providing the
full account number at the time of order, we avoid the unnecessary
step of confirming the number later in the process.
4) Secure a borrower's consent as a normal
course of business. Keeping the consent
form on file enables you to provide the form as needed
without having to go back to the consumer and wait for their
availability. This can save hours and even days from the
verification process.
We hope by elaborating on these few simple
steps, we can improve the flow of information and improve
the response time.
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to Topics)
Not Getting Credit Score
Why didn't I get a credit
score?
For a credit score to be meaningful,
several factors are considered and a minimum threshold of
acceptability has been established. To get a credit score,
there must be at least one and no more than 100 tradelines
in a file. Also, there must have been some credit activity
in the last six month period.
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Changes in Fico Score
Why did the FICO score change
since the report was first issued? There are three main factors that can cause a credit score to change from the date the report was first issued:
1. Time: Time has the greatest impact on credit score fluctuations. A
credit score provides a snapshot of a point in time. Any changes that are made to the credit file after the initial report was pulled can have an impact on the credit score. For example, a borrower may forget to make a credit card payment on time. This will have a negative impact on the score, therefore lowering the score the next time a report is pulled. It is also important to note that creditors report information to the bureaus at different times. So while the late payment may show up on an Experian report,
it my not have yet been reported to Transunion.
2. Score Models: Each of the three bureaus has their own credit score
model, but they all operate on the same methodology. Scores may differ between the bureaus because they each have different sets of data in their credit files. However, there are several different scoring models that are used in the marketplace. Some companies may still be using older models of the bureaus’ credit scoring models, or they may be using their own self-developed models. For this reason, credit scores may appear different if pulled by different companies.
3. Consumer Scores: As part of the FACT Act, consumers are now allowed
to pull a free credit report once every 12 months. However, the credit scores that the consumer receives are based on a consumer credit model. The credit scores that the consumer receives comes with a disclaimer that state that the score uses different risk levels and are used for educational purposes only, not to assess credit worthiness as judged by lenders. The credit score that a consumer receives is different from the credit scores that the lender receives.
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ECOA Codes
What are ECOA codes and
what do they mean?
An ECOA (Equal Credit Opportunity
Act) code is listed for each tradeline reported by Informative
Research. The ECOA Code describes the borrower's relationship
to the tradeline. ECOA codes identify a trade as belonging
to an Individual, Joint, Co-Signer, etc. ECOA codes vary
from credit bureau to credit bureau. We compiled the varying
codes and put them in easy to understand tables
for your convenience.
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Report Not Matching Borrower/Information
Not What Expected
Why does the report not
match the borrower?
There are two possible reasons why
the report does not match the borrower. The first instance
is that the credit file is mixed. In other words, someone
else's credit data is intertwined with the borrower's. Using
our for-fee Supplement services, we can provide a supplement
with the results of our investigation. The borrower may
ultimately want to dispute the tradelines with the credit
bureaus to remove them from their credit files.
The second scenario is due to typographic
errors in the submission. The most common typographical
errors occur in the Social Security Number or the borrower's
name. Before submitting, please verify the borrower's complete
name and social security number and this scenario can be
avoided altogether.
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Additional Services
What additional services
are available and what are the charges?
Informative Research is committed
to providing the best service available in the industry.
We offer a host of additional services, many of which are
free of charge. In some cases, nominal charges are incurred
to offset the additional time and resources needed to complete
the request. A complete listing of available ancillary
services is accessible for your convenience.
(print
version: pdf) (Back
to Topics) Trigger Alerts / Reselling Borrowers Information After I pulled a new credit report, my borrower was contacted by other brokers and service companies. Is the credit reporting agency selling my borrower’s information to third parties?
No. The credit reporting agency does not sell any part of your borrower’s credit file to third party companies. However, the three credit bureaus do have the authority to sell information from their databases based on specific criteria. The bureaus will only sell information to companies that have been verified to have permissible purpose to obtain this information. For example, credit card companies often purchase lists from the bureaus so that they can offer
pre-approved credit cards. Often times they will purchase lists of consumer information based on credit scores.
The bureaus also offer a trigger alert service as part of their information resell service. This service will alert subscribers when a consumer takes a certain action, such as applying for a mortgage loan. When subscribers are alerted that your borrower has submitted an application for a mortgage loan, they may be contact them to offer home insurance, or even a different mortgage loan.
(Back to Topics) Inquiries - Impact on Credit Score
My borrower has done a lot of rate shopping for their loan. How will these loan inquiries impact their credit score?
New laws allow consumers to rate shop for credit cards and loans without taking a hit on their credit scores. The new inquiry timetable looks at what are considered “like” inquiries. For example, a consumer can shop for multiple auto loans within a 45-day period. No matter how many auto dealers the consumer visits, the inquiries are all auto loans, and are therefore considered “like” inquiries. If a consumer shops for multiple auto loans within a 45-day period,
their actions will appear as only one inquiry on the credit report, no matter how many auto loans they actually applied for. This also holds true for mortgage loans, credit card offers and other extensions of credit. As long as the inquiries are considered similar, only one inquiry will appear on the credit report within an isolated 45-day period. However, if a consumer shops for a mortgage loan, an auto loan and a credit card within in 45 days, this will appear as three inquiries on the credit report. The
reason for this is because the consumer has shopped for three different categories of “like” loans or credit offers.
In addition, a 30-day provision has been added for mortgage loans and auto loans. If your borrower shops for a mortgage loan within a 30-day period, they will NOT receive an inquiry on their credit report. The same holds true for an auto loan. However, as soon as they go beyond the 30-day period, they are now in the 45-day provision, and all inquiries will count as one. For this reason, it is always best to encourage borrowers to shop for a mortgage or auto
loan within a 30-day time period.
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