THE BORE
General => The Superdeep Borehole => Topic started by: MrAngryFace on June 26, 2007, 10:37:26 AM
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I haven't checked or even know mine.
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I'm thinkinggggg
of a number.
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42
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Um, yeah it does
I got denied a credit card at the bank because I didn't have any credit
Yeah, it boggled my mind too
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do jewish lawyers not care about credit scores?
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demi: Yeah, no credit is worse than bad credit, which blows my mind. I had to have someone cosign on my first car loan because of that.
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How do you get credit?
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How do you get credit?
paying credit card bills on time and so on
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From the wikipedia entry on Credit Score:
Credit scores are designed to measure the risk of default by taking into account various factors in a person's financial history. Although the exact formulas for calculating credit scores are closely guarded secrets, the Fair Isaac Corporation has disclosed the following components and the approximate weighted contribution of each:
35% — punctuality of payment in the past (only includes payments later than 30 days past due)
30% — the amount of debt, expressed as the ratio of current revolving debt (credit card balances, etc.) to total available revolving credit (credit limits)
15% — length of credit history
10% — types of credit used (installment, revolving, consumer finance)
10% — recent search for credit and/or amount of credit obtained recently
The above percentages provide very limited guidance in understanding a credit score. For example, the 10% of the score allocated to "types of credit used" is undefined, leaving consumers unaware what type of credit mix to pursue. "Length of credit history" is also a murky concept; it consists of multiple factors — two being the oldest account open and the average length of time an account has been open. Although only 35% is attributed to punctuality, if a consumer is substantially late on numerous accounts, his score will fall far more than 35%. Bankruptcies, foreclosures, and judgments affect scores substantially, but are not included in the somewhat simplistic pie chart provided by Fair Isaac.
Current income and employment history do not influence the FICO score, but they are weighed when applying for credit. For instance, an unemployed individual with no other sources of income will not usually be approved for a home mortgage, regardless of his or her FICO score.
There are other special factors which can weigh on the FICO score.
Any monies owed because of a court judgment, tax lien, or similar carry an additional negative penalty, especially when recent.
Having more than a certain number of consumer finance credit accounts also carries a negative weight (critics say that this causes a vicious cycle, locking people into continuing to use consumer finance companies).
The number of recent credit checks also can weigh down the score, although credit agencies usually claim to allow for credit checks made within a certain window of time to not aggregate, so as to allow the consumer to shop around for rates.
For more information about factors that may influence your credit score read the credit rating section of the credit history page.
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42
It happens to be 720!
Want to know your credit score? LOGON to freecreditreport.com
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LIES!
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They matter a ton when doing any of the following tasks:
A) buying a home - you need at least servicable credit to get a prime rate
B) getting a job - most corporate employers with HR departments check credit histories now as a sign of potential irresponsibility.
It can be a big deal when getting a car, if you wind up needing a loan to pay for it.
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Well im never getting a house so JOKES ON LOAN PEOPLE muhaha
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It's actually BETTER to have bad credit than good credit. IT MAKES NO SENSE.
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It's actually BETTER to have bad credit than good credit. IT MAKES NO SENSE.
Yeah, probably because what you're saying is not true.
No credit: bad
Bad credit: very bad
Good credit: you're going to die anyways
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It's actually BETTER to have bad credit than good credit. IT MAKES NO SENSE.
It is common black people beliefs like this one that are keeping them trapped in the ghetto.
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It's actually BETTER to have bad credit than good credit. IT MAKES NO SENSE.
that's because companies are more willing to give you more ways to fuck yourself over since they already know you're shit with money
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Credit ratings are only important to the young and poor people. If you have enough capital/cash flow, almost anyone will still lend money to you. You might not get the premium rates or perks .. but you can still get mortgages/loans and etc.
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No Credit: Very Bad (No one will give it to you)
Bad Credit: Bad (Someone is willing to set you up for a fall, somewhere)
Good Credit: Good
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Credit ratings are only important to the young and poor people. If you have enough capital/cash flow, almost anyone will still lend money to you. You might not get the premium rates or perks .. but you can still get mortgages/loans and etc.
But if you have capital and cash flow well-maintained, you probably aren't the sort of person that ends up with bad credit to begin with.
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No Credit: Very Bad (No one will give it to you)
See but that's not true, exactly. No credit? Get a secured card (with all its fees and whatnot).
People HAVE to start somewhere as far as credit is concerned.
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i netflix'ed this documentary last week:
(http://ec1.images-amazon.com/images/I/51ByiKFOe7L._AA240_.jpg)
and they point out that credit scores are very inaccurate and in most cases, wrong. but that's according to the 'doc. so either way, if you keep a good credit record, it's most likely not what it's supposed to be.
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This whole thing frightens me. We're applying for a home loan in a couple weeks, and while we have $50k saved up in the bank and neither of us have ever missed a payment on anything EVER, I'm still afraid that we're gonna get screwed.
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Good luck Distant.
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Credit ratings are only important to the young and poor people. If you have enough capital/cash flow, almost anyone will still lend money to you. You might not get the premium rates or perks .. but you can still get mortgages/loans and etc.
But if you have capital and cash flow well-maintained, you probably aren't the sort of person that ends up with bad credit to begin with.
Just because you have a lot of money in your bank, doesn't necessarily mean you pay your bills on time.
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i netflix'ed this documentary last week:
(http://ec1.images-amazon.com/images/I/51ByiKFOe7L._AA240_.jpg)
and they point out that credit scores are very inaccurate and in most cases, wrong. but that's according to the 'doc. so either way, if you keep a good credit record, it's most likely not what it's supposed to be.
It's a bit of an exaggeration. I started following my credit score very closely about a half year ago. At first, I was shocked, because there were many more entries than there should have been as far as things like loans go, and even worse, a lot of them were listed as. . .some term for abandoned that I can't recall. I was like "WTF, I've never been bad about bills and student loans, how did this happen?" As it turns out, a lot of those "stubbed" accounts were from loan holders getting bought out by bigger fish, in some cases several times over.
So while my credit wasn't bad, my credit report was a confusing mess to look at. Luckily, it was easy to clean up.
Now look at it in the long run: I am probably more on top of my credit score at my age than most people. Imagine if it were even 5 years in the future before I started really managing it. Think of how messy and out of control it would be by then? Would it be so messy and confusing that possible lenders wouldn't want to weed through the mess of my report? Who's to say? Now consider that most people probably never look at their credit reports as often as I do--I could see it as being very true that some credit reports seem accurate and misleading.
I did some other house-cleaning on my credit report (it is very easy to make an argument over something. It's very easy for credit reporters to check and see if what you are saying is true). In one case, (and only one), when one of my loan-holders got bought out by someone bigger, it seems that the report did not correct itself, and I was in effect being credited with having a large amount of debt on my report that (from the eyes of people idly viewing my report) would have probably seemed a bit delinquent since I hadn't done anything with that loan in years (even though I knew it was a defunt and invaid loan). This was also easy to argue and correct.
So yes, credit reports can be inaccurate and wrong, but if you stay on top of things and do some pretty easy maintenance, you can make sure they are as right as they can be.
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Credit ratings are only important to the young and poor people. If you have enough capital/cash flow, almost anyone will still lend money to you. You might not get the premium rates or perks .. but you can still get mortgages/loans and etc.
But if you have capital and cash flow well-maintained, you probably aren't the sort of person that ends up with bad credit to begin with.
Just because you have a lot of money in your bank, doesn't necessarily mean you pay your bills on time.
Only if you're a drug dealer, like himu.
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Ive never even looked at my credit! I know im 15,000 in debt! DAMN U STUDENT LOANS!
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My brother/sister in law are both chiropractors with a pretty successful business and they have about 200k+ in debt from student loans/bank loans. That's not even counting the house mortgage (200k+) and car loans (70k+).
I could never live like that. Both of my cars are paid off and my house only has 40k left for the next 9 years. My credit card only carries about 1k at any time. Anything above that and I get miserable.
One of the best things to ever happen to me was to free myself of debt and be able to save my first 10k back in 98. I was only making like 20k/yr back then .. so it took some effort, but the amount of stress it relieved really changed my life.
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This is why I am not getting a house. I cant afford it. Until I get out of this Student Loan mess im gonna bunker down in a nice apartment.
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My brother/sister in law are both chiropractors with a pretty successful business and they have about 200k+ in debt from student loans/bank loans. That's not even counting the house mortgage (200k+) and car loans (70k+).
I could never live like that. Both of my cars are paid off and my house only has 40k left for the next 9 years. My credit card only carries about 1k at any time. Anything above that and I get miserable.
One of the best things to ever happen to me was to free myself of debt and be able to save my first 10k back in 98. I was only making like 20k/yr back then .. so it took some effort, but the amount of stress it relieved really changed my life.
Once I finish off my student loan debt, I am effectively "free," and I have no idea what to do after that point. It's one of those things that is exciting and scary at the same time. I'm not running towards that finish line because I would like to have some sort of life plan before I cross the threshold.
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MONEY WONT FOLLOW YOU TO THE AFTERLIFE! LOLOL *hit by bus*
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so here's a debt question... if you guys had enough money in the bank, would you pay off certain loans like say, a car loan and school loan? my wife and i are considering it, but at the same time we like the idea of having money in the bank.
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This is why I am not getting a house. I cant afford it. Until I get out of this Student Loan mess im gonna bunker down in a nice apartment.
i'm not too fond of purchasing a house yet either. i just can't imagine being a slave to it despite whatever tax/personal benefits it may give me. i think it's partly because i don't plan on living the typical "american dream"
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so here's a debt question... if you guys had enough money in the bank, would you pay off certain loans like say, a car loan and school loan? my wife and i are considering it, but at the same time we like the idea of having money in the bank.
Before doing that I would wait until you have the amount you want to use to pay off a loan + a paycheck period's worth of living expenses + a little extra.
Paying off loans shouldnt hurt. The fact that most people put themselves into a position where paying them off WILL hurt is why people hate paying off loans ;)
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i agree. it's definitely a situation where it wouldn't hurt us at all, since we've already buffered 2 months worth of living expenses. i just hate thinking that the money used to pay off the loan(s) could have been used to start a business or invest in something else. then again, it must be liberating to not have any overhanging debt.
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when you're wealthy, it doesn't matter.
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so here's a debt question... if you guys had enough money in the bank, would you pay off certain loans like say, a car loan and school loan? my wife and i are considering it, but at the same time we like the idea of having money in the bank.
I think money in the bank >>> then paying off fixed-rate loans. That being said, I would seriously think about paying off that car loan. Since the car depreciates so fast, it's not really an investment, it's almost a kick in the balls that the bank makes money off it too.
That extra 200-300 bucks a month is a lot of disposable cash and will quickly build up and give you more flexibility to buy things for your house or use for trips/dates. Plus, if your car has any problems ... it won't be such a big deal to spend 200-500 bucks when it breaks.
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so here's a debt question... if you guys had enough money in the bank, would you pay off certain loans like say, a car loan and school loan? my wife and i are considering it, but at the same time we like the idea of having money in the bank.
Well, for one, I am not an expert, but creditors like to see debt on your credit report. . .as long as you are timely in making payments on that debt. With that in mind, you can expect month to month improvements of your credit score as long as you pay your bills. Creditors see someone managing a decent amount of debt in a timely manner, so they figure they are probably responsible enough to take on more. If you have no debt, you are something of a wildcard, even if your past credit history included timely payments on debt (why isn't he spending money now? Did his financial situation change?). So it's in your best interest to keep some debt, if only because it keeps creditors salivating at you, and because timely payments will make your credit score go up (rather quickly if you are still young).
Now, my situation, I want all my debt paid off because student loans seem so. . .well, it is a mental thing. They just seem so "junior" to me. However I am maximizing the length it takes to pay them off. I could pay them off in the space of two months if I want, but by drawing it out, making timely payments, keeping a balance on my cards and paying a bit every month on them, I have seen massive credit growth in the past year, so I am going to keep milking those loans.
The only real negative I have going for me at the moment is my relatively short credit history, but I am glad that I have at least somewhat figured out the system so early.
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you're right, the car loan is a kick in the nuts. in fact, it's our primary target as far as eliminating debt is concerned.
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you're right, the car loan is a kick in the nuts. in fact, it's our primary target as far as eliminating debt is concerned.
That's kinda the same way I see student loans. It's debt, which is good, but it's kind of debt that you really don't see a. . .payoff in. Student loans are student loans and by the time you pay off a car you are kind of thinking about the next one anyway.
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Having your education paid for is the greatest investment you will ever make.
Unless you studied philosophy! :lol :lol :lol (sorry malek)
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Having your education paid for is the greatest investment you will ever make.
Unless you studied philosophy! :lol :lol :lol (sorry malek)
You're not sorry.
But I am. :'(
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Student loans have insanely low interest rates, why pay them off any sooner than you have to? You'd make more in the long run keeping your money in savings and investments.
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Student loans have insanely low interest rates, why pay them off any sooner than you have to? You'd make more in the long run keeping your money in savings and investments.
The interest on them is tax-deductible, too, and you don't even have to itemize to claim the deductions. So yeah, they're pretty awesome.
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It's actually BETTER to have bad credit than good credit. IT MAKES NO SENSE.
It is common black people beliefs like this one that are keeping them trapped in the ghetto.
:lol :lol :lol
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Haha, im keeping my loans paid up, but im not payin extra. The tax break at the end of last year was niiiiiiice :)