This area has many conditions that will apply to both the hirer providing the information about themselves and the financial institution holding the information. The area is quite complex, and the information provided here is only a brief overview. Further information can is available on other websites.
It is important that any finance provider is confident of whom they are lending money to, and therefore certain information is requested form the proposed hirer prior to any finance being agreed. The information requested is to prove the person’s identification and is sometimes known as ‘Anti Money Laundering Information’. As we keep hearing that identity theft is on the increase, any information that you are asked to provide should be seen as a protection against you rather than an invasion of privacy.
You will be asked to provide some sort of photo identification e.g. a passport or driving license, along with a utility bill that shows your current permanent address, which usually has to be dated within the last 3 month period. It is therefore essential that the information provided is current and correct, otherwise the finance could be rejected.
The finance house is then likely to undertake a credit search from the information provided with a credit reference agency. There are a number of credit reference agencies available, but the most well-known are Equifax and Experian. The information recorded here should confirm the information already provided, along with any detrimental history that may have been registered against you for any default on payments that may have occurred.
Before this information can be requested, permission from the individual must have been given to the finance company, and this is generally referred to as Data Protection Authority.