Resolving issues with your credit rating may seem as simple as settling matters with the credit provider in question – but this is not always the case.
One Cell C customer told MyBroadband how they were unable to restore their credit rating and reflect that their account was paid up with Transunion, despite Cell C supplying all assistance necessary.
Credit bureaus are institutions which monitor the credit history of South Africans and ascribe them credit ratings – a numerical reflection of their debt profile and their reliability in paying their creditors.
The information held by these bureaus is useful for credit providers and aids them in deciding whether to grant customers long-term contracts or loans.
For this reason, many South Africans aim to resolve any problems with their credit bureau accounts as soon as possible.
A MyBroadband reader recently tried to accomplish this but said issues with the credit bureau caused his credit rating to be unduly impacted by the incorrect reflection of an outstanding balance.
Making Cell C contract payments
The reader has a mobile contract with Cell C that he failed to pay at the beginning of the COVID-19 lockdown, but he quickly rectified this in July and ensured his account was paid up.
The account was brought up to date and proofs of payment, as well as various confirmations from Cell C, reflected this.
However, when he had failed to pay his account, this outstanding balance was reflected on his Transunion listing – affecting his credit rating.
To remove an outstanding balance from your credit profile, you normally need to settle the outstanding balance with the credit provider (Cell C in this case).
After paying Cell C and waiting a few months, however, his Transunion account still reflected an outstanding balance owing to Cell C.
As this type of error could have a significant effect on his financial well-being, the reader immediately contacted the credit bureau to resolve the problem.
Crossed wires between Transunion and Cell C
The customer said he called Transunion and lodged a dispute in an attempt to fix his credit report, which still said he owed an outstanding amount to Cell C.
However, Transunion told the customer that Cell C provided evidence he was still in arrears and no change had been made to his credit report.
Confused, the customer reverted to Cell C and asked about the evidence provided to the credit bureau.
Cell C guaranteed the customer that they had instructed Transunion and all other credit bureaus to amend the account and provided signed statements to this effect.
When he contacted Transunion again, the bureau maintained that the credit provider (Cell C) was at fault.
At this point, the reader was unable to resolve the problem and contacted MyBroadband regarding the dilemma.
We spoke to Cell C and Transunion about the issue above to determine whether the evidence had been provided to the credit bureau and why the customer’s account still reflected in arrears on Transunion’s records.
Cell C responds
Cell C told MyBroadband it has instructed Transunion to resolve the issue and update the customer’s credit profile on two occasions.
“An instruction was issued to the Credit Bureau Association to update the customer’s credit profile on the CBA Portal on the 30th of October 2020 and on the 11th of November 2020,” Cell C said.
When asked why this had not been completed and why Transunion stated that the credit provider was at fault, Cell C said it was unable to provide feedback on the bureau’s behalf.
“We cannot comment on behalf of Transunion,” Cell C said.
No comment from Transunion
MyBroadband asked Transunion for comment on why the customer’s profile had not been updated, but the credit bureau did not provide a response by the time of publication.
At the time of writing, the customer’s credit profile still listed the Cell C account as in arrears.