The bank independently transfers data on each loan payment to the credit bureau. The time frame for sending information may vary: some organizations wait 1–2 days, while others immediately create a record of the overdue payment.
Even a small delay in payment can worsen the CI, and the more such entries, the lower the borrower's rating.
Reasons for a bad credit history
Bank errors
System failure, data duplication, incorrect entry of information by a bank employee - there are many reasons for an erroneous entry to appear in your CI. The error must be corrected through the bank or the BCI.
Surety
Perhaps you acted as a guarantor for a loan from a relative iceland mobile database or friend, and he or she stopped paying and owed the bank. As a result, the borrower's credit history is damaged, as well as yours, plus all debt obligations may be transferred to you.
Fraud
A common type of fraud in the lending sector is the registration of a loan in someone else's name. Criminals can steal your passport data and use it to obtain a loan. Of course, they do not pay according to the contract, and the debts are listed as yours.
That is why it is worth checking your credit history even for those who do not use loans and microloans.
Where did the scammers get your data? There are several options:
you lost your passport,
provided a copy of your passport at a hotel, car rental shop, business center checkpoint, etc.,
posted a selfie with a passport when registering on a website or in an online service.
You can find out whether a loan has been issued to you without your knowledge from your credit history report. If you find records of fraudulent activity, immediately contact the police and the organization that issued the loan.