Topic: Credit Check - Personal Debt

[CathTaylor]

Does anyone know when they do the credit check. Is it done at the same time as the ERC. I'm still waiting for fingerprints to come back. As far as what I was told that it's the only thing left to get back in my application process. Would appreciate any feedback.

[Spr.Earl]

It's done through the R.C. when they start your security check.

[CathTaylor]

I'm sorry but could you please tell me what R.C is.

Thanks

[hoser]

As far as I was told with mine, it was done at the same time as the ERC (its actually part of it, from what I gathered). 

And I'm assuming here, but I think Sapper Earl was using R.C. as an abbreviation for Recruiting Centre?

[J-Swift]

i would assume R.C meant Recruiting Centre

[J-Swift]

whoops, never even noticed the def. up above me, sorry guys

[kbowes]

Cath, I'd call RC and ask about the credit situation if you feel there might be an issue with your cred history.  Sometimes 'closed' on a credit report may not be sufficient comfirmation.
K.

[Spr.Earl]

Sorry guys
Yes ,R.C. = Recruiting Center

Also if you have debts, those debt's can stop or may delay your enlistment.

Just another tid bit.

[Harrier101]

I have actually a small amount of debt, roughly 4000$, I have consolidated all of my debt with a credit counseling service. When my daughter was born, my wife stopped work and we were lost a fair amount of income that UI did not make up for. So, I started to run into trouble making my payments, hence the credit counseling. All of my debt's are currently listed as R7, paid through credit counselling or consolidation agreement. By what some of you are saying, does this mean it may disqualify me as an applicant to the Canadian forces? 

[hoser]

That depends, I'm sure, on specific circumstances.

I've got a student loan that I defaulted on, and it was listed as an R5 (I think).  When they did the security check, I had to get a letter from the bank who issued the loan saying that I had reached an agreement with them, and that I was working on paying the money back.  I also had to take in a copy of the issued money-order proving that I had made the first payment.   I was told by Military Career Counsellor that without the letter, the debt was a showstopper.  With the letter, it supposedly became a non-issue.  I should find out in the next couple weeks if he was right. 

[kbowes]

I was told by Military Career Counsellor that without the letter, the debt was a showstopper.   With the letter, it supposedly became a non-issue.   I should find out in the next couple weeks if he was right.  

Showstopper because of the amount of debt?

[maphewz]

oN tHE Topic,

If you have a debt: as long as you make the monthly payments, and never super late all is well with a credit check. I process some of them through my civie job! now eat lead!!

[Casing]

I was told by Military Career Counsellor that without the letter, the debt was a showstopper.   With the letter, it supposedly became a non-issue.   I should find out in the next couple weeks if he was right.  

Showstopper because of the amount of debt?

Not because of the amount of debt, but because without the letter the CFRC would assume that the debt was not being dealt with by the indebted person. And lack of responsibility definitely is a show stopper. Remember, showing a lack of responsibility in your history that has never been rectified by you (for example!) is a good indication that you will continue to act irresponsible. Not something the CF wants in candidates. Your history showing a lack of responsibility which has since been thoroughly taken care of by the offending party shows a growth in maturity and responsibility. Two characteristics that the CF does like.

[space_sldr]

Do they check the library too? hope not cuz I've lost a book that cost over $60 and haven't payed it for months now...

"Recruiter:...you owe the library money sooooo your application is going have to be delayed for a month"

[hoser]

I was told by Military Career Counsellor that without the letter, the debt was a showstopper.  With the letter, it supposedly became a non-issue.  I should find out in the next couple weeks if he was right. 

Showstopper because of the amount of debt?

I'm not absolutely sure, but my understanding was that it was a showstopper not because of the amount, but because of the fact that a debt was there that had the indication that it wasn't being taken care of.

EDIT:  I guess I should read all the replies before I respond... Basically yeah, what Casing said.

[hoser]

Do they check the library too? hope not cuz I've lost a book that cost over $60 and haven't payed it for months now...

"Recruiter:...you owe the library money sooooo your application is going have to be delayed for a month"

If the library sends the debt to collections,  it might be a problem.  They might look at the amount and basically say "hey, if you pay this off, you're golden".  I have no idea if they take an amount that small into account, but it will show up on your credit rating, and its better to be safe than sorry.

Not to mention the fact that if you probably want to pay it off if you ever plan on borrowing money for anything (mortgage, financing a car, even getting a cell phone in some cases).  A good credit rating will certainly help you later on life, even if the amount is small.   

[yot]

Do they check the library too? hope not cuz I've lost a book that cost over $60 and haven't payed it for months now...

"Recruiter:...you owe the library money sooooo your application is going have to be delayed for a month"

If the library sends the debt to collections,   it might be a problem.   They might look at the amount and basically say "hey, if you pay this off, you're golden".   I have no idea if they take an amount that small into account, but it will show up on your credit rating, and its better to be safe than sorry.

Not to mention the fact that if you probably want to pay it off if you ever plan on borrowing money for anything (mortgage, financing a car, even getting a cell phone in some cases).   A good credit rating will certainly help you later on life, even if the amount is small.     

haha you know what, I dont think they will check that if you didnt tell them.. I forgot to return the books to library for 2 weeks. End up, I had to pay $20. However, I hadn't paid them for 2 months. And now, my security check is proved, and get sworn in next week..


"Recruiter:...you owe the library money sooooo your application is going have to be delayed for a month" is this a joke or what? I don't know he my application was delayed or what. Because I have only live in Canada for 7yrs, this may also cause the security check taking longer than others.

[hoser]

Part of the security check is a credit check.  You're right, they don't check every possible place you might have a debt, they just get your credit rating from the credit bureau.  If the library sends it off to a collection agency (which I've seen a library do to my sister, without ever mentioning any action otherwise), it will have a negative impact on your credit rating. 

[bossi]

Bummer - when I wrote a paper about this in university, you could get a copy of your credit rating for free.
However, I just checked and discovered it costs money now
(although there's something about getting a report for free via "snail mail" ...)

As far as I remember, Equifax was the big name in Canada:  
Equifax consumer products  

and here's the link for the free report:   Your credit report and sample downloads

If you're concerned, don't be shy - ask questions, and avoid misunderstandings
(after all, if you've got a 'black mark' on your record, it's not going to go away through wishful thinking ...)

[kbowes]

As far as I remember, Equifax was the big name in Canada:  
Equifax consumer products  

and here's the link for the free report:   Your credit report and sample downloads

If you're concerned, don't be shy - ask questions, and avoid misunderstandings
(after all, if you've got a 'black mark' on your record, it's not going to go away through wishful thinking ...)

There's also TransUnion Canada - http://www.tuc.ca/

You can pay the $15-20 and get them online....or do a snail-mail request for free. It's a good idea to get your reports, IMO. There can be descrepancies of which you may not be aware.  Bossi is dead-on...any des'crps won't just disappear on their own.

[GirlFiredUp]

Has anyone ever ordered their credit history via mail?   If so, do you remember how long it took?

[bossi]

(chuckle)  Obviously, my information is "dated" (i.e. when I was in university, e-mail hadn't really been invented yet ... so, "snail mail" was state of the art - replacing dino mail ...)

I think it takes between one and two weeks - depending on how busy they are, and how marvelous the postal service is between Equifax and your burb.

[GirlFiredUp]

Pretty good turn-around time. 

Thanks Bossi.

[Casing]

GirlFiredUp, I ordered my credit reports via snail mail from both Equifax and Trans Union less than one year ago (before I submitted my app for the Regs). It took about 3 weeks to get any form of response back. Because they didn't have current info on me, they both sent a response asking for further clarification on who I was. Once I sent the updated requests in, I got the credit reports in about 1.5 weeks. I'm sure that if they were satisfied with my first request, it would have only take 1.5 to 2 weeks total.

Also, my credit reports did not contain the exact same information.   A couple of things were the same, but others were not (ie: one had something that the other didn't, and the other had something that the one didn't). So make sure you request from both credit agencies and not just one.  

Oh, one more thing.   Unless you are in a huge hurry, just request it via mail. Why spend $$ when you don't need to? Especially giving those $$ to a credit agency.  

[GirlFiredUp]

Thanks Casing.   I don't need the report but it's good to have I suppose.   I'm curious more than anything so they can take as long as they want with mine.   By the way, what sort of info did they say you were missing?