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TheDon3048
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Message 1 of 18
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Virgin Mobile Credit Checks

I have been reading, with some horror, the messages regarding Virgin Mobile's very poor approach to Credit Checks conducted by what would appear to be sloppy and shoddy practices. By this I mean refusing contract renewals on dubious readings of peoples Credit Histories, particularly those with very good Credit Scores being refused contract renewals. Does Virgin Media realise this can have long lasting and damaging effects on individuals applying for credit/bank loans/mortgages etc.?

I wonder has anyone suffered this fate recently?

I also wonder what Virgin Media have done to rectify this shambles of a business practice to ensure good quality customer care as well as customer service?

I ask the above as my wife and I are both approaching the end of our contracts, we have been with Virgin for all services for over 10 years now. Fortunately we are in a financial position where we do not need to use credit, however like every one that day can come and as such I want to ensure no poor credit reporting from the likes of Virgin Media. All of our bills are paid directly and always on time by direct debit. There are a lot of people who have posted in similar position to ourselves, yet still declined renewals or upgrades due to Virgin Media staff not understanding credit profiles or some other more sinister reason as others have alluded to.

Can Virgin Media confirm this matter has been looked at and practices changed?, or will I just receive the stock standard response to phone 789.

We shall all see in due course

Thedon3048

8 March 2016

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enlli
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Message 2 of 18
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Re: Re Credit Checks

I think you have answered your own question in the final paragraph. 

If you can afford it, buy your own handsets outright and circumvent the Virgin's Credit Checks.

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TheDon3048
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Message 3 of 18
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Re: Re Credit Checks

Thanks for response, yes I can afford to purchase own hand set, however there are those who cannot. This was posted not just my own benefit but for others too.

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enlli
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Message 4 of 18
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Re: Re Credit Checks

Interestingly some people who have been refused cannot find any credit search against them - so, as you say,  what is going on?

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TheDon3048
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Message 5 of 18
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Re: Re Credit Checks

We shall se if anyone from Virgin will actually explain exactly what is going on, should I hold my breath for that?
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Forum Team (Retired) Mat_H
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Message 6 of 18
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Re: Re Credit Checks

Hi TheDon3048,


Welcome to the forums Smiley Happy

 

I'm happy to confirm our credit policy. The reason why things have changed on our side is related to our Freestyle contracts. They are effectively a loan agreement which is why some of our customers will fail this.

 

The Credit check is administered through Equifax who determine the eligibility of our customers.

 

I hope this clears this up for you. If you want to know anything more personal to your account, feel free to PM me by clicking on the image of my face and selecting the send me a message option.

 

Thanks,

Mat


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TheDon3048
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Message 7 of 18
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Re: Re Credit Checks

Dear Matt H
Thank you for response. I think I understand what you mean but without examining what the freestyle system is versus what was the old contract system I cannot accurately respond. However I have read a number of posts by customers who have always paid their accounts on time by direct debit and have no poor credit history yet still fail your Virgin credit checks. Even worse a number have enquirer and discovered that actually no credit checks were carried out. I find it to be risky to take the chance that Virgin may for no good reason decline me and therefore cause me credit history damage. Others in the same position may well decide it's safer to change to your competitors.
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Forum Team (Retired) Mat_H
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Message 8 of 18
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Re: Re Credit Checks

Hi TheDon3048,

 

Thanks for your reply Smiley Happy 

 

With regards to the credit check, we have a team set up if our customers wanted to appeal the decision.

 

We'd be sorry to lose you as a customer. Please let me know if you need anything at all.


Thanks,

Mat


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TheDon3048
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Message 9 of 18
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Re: Re Credit Checks

Well folks there you have the answer. Basically Virgin Media are not willing to explain their rationale for performing credit checks on good and prompt paying customers who come to renewal stage. They are clearly not willing to adopt a more customer caring approach and can only offer an appeals team for anyone wishing to challenge their suspect business practice. Of course by such stage the damage is already done to the customer and their credit standing and profile has become questionable to other lenders. The competition becomes attractive each time someone from Virgin replies to this thread.
I would be interested to know if others agree.
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enlli
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Message 10 of 18
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Re: Re Credit Checks

My understanding is that if Virgin use an external credit agency (and that is an IF) then it will show up on their file as a credit search. The decision to offer credit or not is down to Virgin's underwriters based on their own criteria and not the agency. 

As I have remarked I know two people who have been refused by Virgin who have gone on to get Refresh tariffs from O2 (where the cost of the phone is also a loan) with no problems at all. 

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