Overdrawn Closed Bank Account Affects Credit Rating?

enzioFirenze on 21/08/2017 - 22:03
Last edited 22/08/2017 - 00:57 by 1 other user

Hello OzB,

So I'm in a bit of a pickle here.

I was looking to buy a PPOR so was talking to banks to see what they were offering, long story short, I found out that one bank had an overdrawn account (only by $15 if that matters) and I was told they don't want to proceed with my mortgage right now as it would be rejected because of the overdrawn account. Lender asked me to close it, wait for two weeks and come back.

It was my fault for not checking the bloody account but it shouldn't have charged me account maintenance fees at the first place (which was apparently a screw up by the banker who opened my account). They reversed the charges and closed the account as instructed by the lender.

Anyhow, I'm wondering how this affects my credit rating especially Veda/Experian and the likes?

Thanks!

• 

  Godric on 21/08/2017 - 22:43

  +1

  Order your credit report and see if it had any effect

  • 

    enzioFirenze on 21/08/2017 - 22:49

    nothing that I can see, may be something will appear next month?

• 

  garetz on 22/08/2017 - 03:44

  +2

  Contact Veda, and tell them what happened, and it was the banks fault and outside your control. They will remove it from your credit rating.

• 

  [Deactivated] on 22/08/2017 - 04:00

  +2

  What's the financial world coming to when they reject a loan due to $15. Tin plating at its best.

• 

  kipps on 23/08/2017 - 21:24

  +1

  The minimum debt to lodge a payment default on a credit file is $150, so it should have no impact at all. Obtain copies of your credit files.

  • 

    enzioFirenze on 24/08/2017 - 06:45

    fabulous, finally some good news :) Thanks for that mate

• 

  Topdog on 24/08/2017 - 07:53

  +1

  if the debt is under $149 they can not put a default on your credit file! However the bank could stop a loan i guess if they know about an account that is overdrawn!!!

  But it wont hit your file!