$$$

Do any of the credit challenged folks here have lots of $$$ since their credit challenged days?

I paid off my loans and make a good salary, but no one will lend me $1. Sure I have a secured credit card.

Since I can't get a decent car loan, I ride a bike, and put the $ away. Doesn't anyone look at total debt to asset ratios and income, or do they just care about a charge off 5 years ago?

 

Pat,

In todays banking world, the risk factoring is relegated to decision matrixes designed by economist/bean counters/programmers... and instantly processed by computers. I am afraid this makes a 5 year old charge-off a credit killer (might as well be 1 year old). Until they (risk managers) are willing to start reviewing credit histories in person again(a throwback to the 80's), we are stuck with this dilema. Until then keep the faith, and know that you have only 2 more years to deal with this. I have been dealing with mine for 6 years, and can finally see light at the end of the tunnel.

Some may disagree with my statement here, and state that you can get human review at AMEX, MBNA, or your bank/credit union... but the honest truth is a charge-off is a charge-off. It's a score killer. Work on getting it removed. That's my suggestion.

Good Luck,

BarryN

 

This is 100% correct, I've always maintained that the way the system is set up their is virtually no difference between a 1 day old charge-off and one thats 6 years 364 days old, furthermore, its considered the same whether it be for $1 or for $100,000,000,000 and I show know cause I experienced it myself "the hard way".

My charge-off was for a 'measly' $104 bucks, it was already 6 years old, but that didn't stop AMEX and Citibank and virtually every creditor, including department stores I applied to from turning me down cold.

True enough, human review got me NOWHERE, describing my lifestyle wherein (at that time) I was taking trip after expensive trip made no impression, letters where I included my statements from one offshore card showing payments in full month after month were ignored, all they cared about was what was on the credit reports.

It was this very exhaltation of the credit bureaus that enabled me to use false/ignorant statements made both by a rep and by a letter to garner my first bank and department store card.

It has been my experience that the only time you can 'talk your way' into a card is when its a travel/airmile card. These branded or co-branded cards are typically a banks biggest money makers, reps garner their biggest commissions from granting these. It is "assumed" by the grantor that the only persons who desire these high interest/yearly fee cards are 'loaded', are very unlikely to default and will not complain about additional fees being concerned soley with miles and perks.

 

the irony is that I made it worse by paying it all off! (I had a lot of medical bills) My friend went bankrupt in '95, and all he had to do was write a "letter of explanation" to get a 10% car loan, and a PRIME mortgage with 20% down. The guy's score is 700. Mine is 610 and I paid all the money.