48 hours to shovel “black history”? Demystifying the “Credit Repair” Scam
The quality of personal credit information has become an important condition for people’s consumption and borrowing. Users who have too many credit inquiries and overdue records will be restricted when buying houses and applying for loans or credit cards. In this context, a black product came into being. Under the banner of the bank channel, they over-exaggerated the harm caused by overdue records in the process of recommending business, and induced users to pay high service fees to repair the credit investigation.
However, as everyone knows, overdue records are not a “flood beast.” Many banking professionals said in interviews with reporters from Beijing Business Daily that banks will not deny users’ qualifications just because they have overdue several times, but will make comprehensive judgments. The possibility of successful modification of overdue records is zero, and online repair agencies are not credible.
Speaking: 48 hours through the channel to complete the process
“You can make bad credit records by spending money.” “There are channels within the bank to connect with them”… Today, when personal credit records are crucial, some people have seen the huge business opportunities brewing in the market and started the so-called credit report. Repair business. “What is your overdue institution? Credit card or bank loan” “Have you ever received a collection call or text message?” “Your credit investigation is the most expensive I have ever seen.” Every working day, Wang Mingyan (pseudonym) uses the same language to receive customers who come to consult with credit investigation repairs. In addition to handling personal debts and credit card overdue business, his organization “takes orders” most often is credit investigation repairs.
“It is too common for credit cards and loans to be overdue. Many people have insufficient funds, but there are also cases of forgetting to repay. Overdue records are processed for 1,200 yuan, and other inquiries are too many. Customers who want to clear the loan records of the “Huahu Archive” depend on the situation. It depends, and the pricing will be packaged according to the information provided by the customer.” Wang Mingyan introduced to a reporter from Beijing Commercial Daily.
According to Wang Mingming’s introduction, the credit repairs he most frequently “takes orders” mainly include overdue bank loans, overdue credit card repayments, and the disposal of various bad and bad debts. The processing method is usually three steps. The first user provides a detailed version of the personal credit report, the second credit repair agency formulates a disposal plan based on the report, and the third provides a quote to the customer and signs a credit review repair commission contract.
“Our construction period is generally completed in about one month, and users who are too costly in credit investigation need a certain amount of time to negotiate, and the time will be extended to about two months.” When a reporter from Beijing Commercial Daily asked how to negotiate, Wang obviously said, “We deal with various orders every day, and we deal with various banks and institutions. The agencies that transmit information are banks and various lending institutions. After applying for credit restoration through the bank, the bank will revise and report it on its own.”
Another credit repair agency gave a faster processing time, “Which bank’s loan is overdue, we will report it to the bank. It is all modified from the internal system through relevant channels, and it can be processed first, as fast as 48 hours. Bad records can be cleared within.” Another person from the restoration agency said that the restoration price he offered was also higher, 3,000 yuan per piece.
For such institutions that claim to be able to operate credit restoration under the banner of a bank,SuningSun Yang, a researcher at the Institute of Financial Research, said in an interview with a reporter from the Beijing Business Daily that playing a bank brand is temptation for users and can enhance “credibility.” Moreover, commercial banks are the most authoritative reporting channels for credit investigation. Playing the brand of a bank can attract users to pay for credit reporting and make a profit.
Reality: “Talking” is not credible, and the success rate is zero
Wang Minglei (pseudonym), a white-collar worker working in Beijing, has recently suffered a lot of headaches due to credit reporting issues. Wang Minglei is a typical “flower household” among credit reporting agencies. “I didn’t pay attention to the content of personal credit before, but now it’s too late to notice!”
According to the personal credit report provided by Wang Minglei, his credit report has as many as 39 pages and the number of inquiries reached hundreds of times. The types of banks clicked for inquiry mainly cover local small and medium-sized banks and joint-stock banks, and there is another record of overdue bank loans.
“I forgot to repay the payment this time. It was only discovered after more than a month of overdue.” Wang Minglei told a reporter from Beijing Business Daily, “I have now received many friend applications from strangers who claim to be able to arrange’credit reporting repair’ services. Some people in the organization told me that they knew the internal staff of this bank and they could handle it for me, but the charge was too expensive, one record was 3,000 yuan.”
On the Internet, there are not a few people like Wang Minglei who often click to test the loan limit, check too many times, and have some overdue records. They are consistent with many credit restoration agencies. The common propaganda tone of these agencies is “cooperate with banks, and there are people inside. “, most of the methods adopted are to assist untrustworthy users to provide materials and appeal to the credit investigation department to modify bad information.
So does the bank endorse this statement? A reporter from Beijing Business Daily consulted with a bank risk control person in the place where Wang Minglei had overdue. This person said, “If the bank has an operating error, it can be amended for the user, but as long as the customer has overdue records due to his own reasons, The possibility of successful modification is zero. There are many similar customers, and we have also received inquiries. Generally, we recommend that customers repay on time during the follow-up loan process, and the overdue record will be eliminated after five years.”
“Due to the impact of the epidemic in the past two years, the supervision has also issued some guiding opinions. It is hoped that banks will give relief and concessions in areas with severe epidemics. However, if the user is not within the scope of the epidemic, the possibility of modification is unlikely. Banks are very strict in data security and risk control. These repair institutions are basically fraudulent in the name of the bank.” The relevant person in the bank’s risk control department said.
According to Zhou Maohua, a macro researcher at the Financial Markets Department of Everbright Bank, the main reason for this phenomenon is that a small number of customers have a fluke mentality, hoping to spend money to correct their bad credit records so as not to affect subsequent financial transactions; even if they are unsuccessful, they can only suffer dumb losses. Because these behaviors are not protected by law, customers can only plead compensation.
Be vigilant: avoid being scammed of money
During the investigation, a reporter from Beijing Commercial Daily also noticed that if they do not want to be handled by the agency, users can still solve it by themselves. Such institutions usually start training courses, claiming that they can provide major commercial banks with credit information restoration techniques and specific restoration precautions as long as the registration fee of 998 yuan is paid. Attract users.
Wang Minglei also pays attention to such self-repair institutions. “I also thought about whether to try to operate it by myself, but I don’t know if these institutions are reliable and can repair successfully. I am afraid that overdue records will affect future house purchases and loans. “.
“Although the bank will be blacklisted by the bank without repayment for three consecutive months, the overdue record is not a scourge.” A bank practitioner reminded a reporter from Beijing Commercial Daily, “The bank will not be overdue for one time. Records deny the user’s qualifications. In daily life, do not try to frequently click on various consumer finance, credit product applications, quota inquiries and other links. If overdue occurs, you must pay off the arrears in time. If the arrears are not repaid, it is bad The credit investigation will always exist. It only takes time to repair the credit investigation and does not cost money. The online repair agency is not credible.”
Analysys Senior Analyst Su Xiaorui said that from the perspective of banks, it is recommended to intensify the crackdown on so-called repairs and even fraud in the name of personal credit investigation, and to deter the market by establishing a number of major and important cases. It is also necessary to strengthen the popularization of ordinary financial consumerseducateEstablish a sense of trustworthiness, communicate with licensed financial institutions through formal means, and avoid being charged “IQ tax” or even being defrauded of money.
“In China, we still need to focus on strict supervision and clarify and refine the credit investigation system and rules.” Zhou Maohua further added that the internal process of the bank needs a strict review process, so that each link is in compliance with laws and regulations and can be traced; at the same time, for illegal institutions or individuals. Increase penalties to form a regulatory deterrent.