Got A Good Credit Score? Rent It To Someone In Need
from the let's-trade dept
One of the common consequences for victims of identity theft is that they can see their credit scores get damaged, and because the big credit agencies don't offer much help in monitoring and fixing this, it can be a major hassle to get the problem resolved. Barry Ritholtz to an interesting story about a different kind of fraud, whereby people with good credit scores can sell their credit histories to people who want their own score boosted. Basically, the law states that people are allowed to add an unlimited number of individuals to their credit card accounts; it's mainly intended for parents who want to put their kids on the account. But, various websites have emerged to take advantage of this loophole, enabling people with bad credit histories to improve their score by getting access to a good credit history. It's not clear how widespread this actually is, but it pretty clearly violates the whole point of a credit score, since it's supposed to give the lender some idea of how reliable the borrower is. Fair Isaac, the company that developed the FICO score, says it's currently in talks with the FTC to stop the practice. The question, then, is whether shutting down this loophole will do the trick, or whether credit history brokers will simply find another loophole.Thank you for reading this Techdirt post. With so many things competing for everyone’s attention these days, we really appreciate you giving us your time. We work hard every day to put quality content out there for our community.
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Your credit score could be the least of your worries.
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Your credit score could be the least of your worries.
Did you even read the article? The person is only using the _credit score_, to boost his/her credit, not the account.
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Money is Debt
I think Prosper.com has a better business model in where groups loan to each other.
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Random Thoughts is Right
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Re: Random Thoughts is Right
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Re: Re: Random Thoughts is Right
Sue the driver, sue the owner, sue the manufacturer, sue the innocent bystander who saw it happen, heck, sue the city because they built the road!!
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Stupid Idea? nahhh
Besides, when cards such as https://www.firstpremierbankgold.com/ exist, they deserve it.
(Read the fees and the fine print on that AWESOME deal!)
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Re: Stupid Idea? nahhh
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I do get how this is not a good thing for the mortgage companies though. It does not show proof that they are a good credit risk. Who knows, they might actually continue to do well, but there is always the chance that they could mess up.
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Fair Isaac is talking out of both sides of its mou
In essence, they should either play by private company rules, or play by public entity rules. This is supreme garbage and the FTC should tell them to take a walk if they don't open up the way FICO scores work.
More to the point, the credit reporting agencies and industry as a whole need to be revamped. They're out of control, allow people's lives to be ruined on a whim without due reciprocal recourse, and don't reward good credit (i.e. early payment should make your credit better, not just late payment making your credit worse).
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Anon is Right - FICO is communist
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The System
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It's killing the concept of a credit score
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It is ironic....
If I had a million dollars in the bank, would that affect my credit score?
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how?
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The good old days
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Re: The good old days
Banks stopped dealing in reputations and started dealing in numbers.
Also banks became more centralized - the "manager" often cannot write a loan without permission from Head Office... which is often in a different State.
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Re: The good old days
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But does this activity involve inquirires into your credit history (which can imapact your score)? To how many customers are they selling your good history (1 inquiry for each customer) in that 90 days? And, what does your good score look like 6 weeks later?
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sounds good, but
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FICO Scores
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FICO Scores
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let me isolate that for effect, it takes CREDIT to prove that you can effectively use CREDIT.
so for those of you that are slow, and by reading the comments many of you are terribly slow, in order to get a good CREDIT score you must EFFECTIVELY use CREDIT to prove to lenders that you are responsible. dang, that is so simple huh? it is scary to me how stupid the public is.
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let me isolate that for effect, it takes CREDIT to prove that you can effectively use CREDIT.
so for those of you that are slow, and by reading the comments many of you are terribly slow, in order to get a good CREDIT score you must EFFECTIVELY use CREDIT to prove to lenders that you are responsible. dang, that is so simple huh? it is scary to me how stupid the public is.
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credit
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au's
well you go save it, im going to keep my dick wet by fucking it until my shit falls off
sin-cerely, NOT, fuckin sam
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