Credit Crunch

Have you been affected by the credit crunch

  • Yes, Now it's getting scary

    Votes: 2 5.0%

  • Yes, somewhat

    Votes: 14 35.0%

  • No, not at all

    Votes: 20 50.0%

  • Don't need credit, I surface clean in Arizona

    Votes: 0 0.0%

  • What credit crunch

    Votes: 2 5.0%

  • It that a cereal?

    Votes: 2 5.0%
  • Total voters
    40
  • Poll closed .
also, Tony, if having a higher credit score is important to you right now, I can help you raise your score. let me know if you are interested. There are still loans available for homes if you are in fear of the bank taking yours.
 
Jonathan Ellis said:
also, Tony, if having a higher credit score is important to you right now, I can help you raise your score. let me know if you are interested. There are still loans available for homes if you are in fear of the bank taking yours.
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I don't see how anything can be done to make my credit score higher. I haven't been late on any payments since November of 2001. Neither has my wife. I don't need a new home loan. My first is 5.5 fixed and the second is 6.125 fixed. I can't get much better than that.

Thanks
 
Jonathan Ellis said:
Tony,

i dont understand your numbers. Business credit scores are 0 - 100. The scores you have listed (in the 600 and 700 range) are personal credit scores.
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That is correct. All my loans except for one are personally guaranteed and post to my personal credit.
 
tonyshelton said:
I don't see how anything can be done to make my credit score higher. I haven't been late on any payments since November of 2001. Neither has my wife. I don't need a new home loan. My first is 5.5 fixed and the second is 6.125 fixed. I can't get much better than that.

Thanks
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you are right about that. Sounds to me like the only thing hurting your credit are your debt to credit ratios. If you do have inquiries on your credit, getting them off would help out
 
if you have any late payments posting to your credit still it could come off as well as you are past the 7 year mark.
 
Credit inquiries will lower a credit score if they are coded from a institution you currently have credit with ( a review) This shows concern on thier part as far as you paying it back. It is used as "flag" for all companies to see why the score lowered in the last 90 days. If you reda cc agreement all allow for periodic review of your credit. if a late payment is posted or a payment typically goes 45 days over this is automatic if the CC company is affiliated with a FDIC account( all bank cards are).
 
One of CC lowered my limit by half, so now i'm at 90% debt ratio with them.
I was at about 35%. My score has dropped 40 points since they did that.

Jonathan, I'm interested in raising my score. PM me if you'd like.
 
A-PLUS said:
One of CC lowered my limit by half, so now i'm at 90% debt ratio with them.
I was at about 35%. My score has dropped 40 points since they did that.

Jonathan, I'm interested in raising my score. PM me if you'd like.
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That's what happened with ours too. One 40k card lowered to 4k. Home equity line of credit frozen with still $150k left on it unused, so now it looks like those are both tapped out.
 
My wife picked a good time to quit paying for registrations in advance and then letting the customer pay her back.

Today she registered two motorhomes for a world record windfall for the state: $237,640 for taxes and one year's registration.
 
It's not fair but creditors are definately reducing their risk based on zip code more so than personal or business risk. NW Indiana has certainly its fair share of REO properties for sale and about 3 times the listings on McColly but prices in our area didn't balloon up like they did out west so the value is still there. Overall credit has been pretty easy to get here though. Still lots of local layoffs/reduced hours from big companies like the steel mills and such but thats to be expected in a slowing economy. There was a family owned Nissan dealer hear a couple weeks back that had 200+ cars repo'd off their lot after fifth third called their line of credit.

It's bound to be an interesting year for sure. I put a CL ad up yesterday for labor and had 7 resumes in my email within the first 30 minutes of it posting :eek:
 
Last labor craigslist ad I posted, I got over 100 responses, within three days. It was nuts. The exact same ad, 6 weeks before? About 20.
 
Alexy said:
Credit inquiries will lower a credit score if they are coded from a institution you currently have credit with ( a review) This shows concern on thier part as far as you paying it back. It is used as "flag" for all companies to see why the score lowered in the last 90 days. If you reda cc agreement all allow for periodic review of your credit. if a late payment is posted or a payment typically goes 45 days over this is automatic if the CC company is affiliated with a FDIC account( all bank cards are).
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You are right on this, but all hard inquiries within a year window lower Fico score (not just the hard review ones), and all the inquiries on there for two years (25 months for Experian) will affect the likelihood of a human underwriter to approve the loan. Inquiries are easy to get off Trans Union and Equifax without locking down your report for fraud, Experian is another matter.

One exception to all hard inquiries lowering your score: Inquiries coded for the same reason (i.e. mortgage shopping) within a time window will be scored as one. The problem is the creditors often don't code them the same way. For example, last car I bought I had three inquiries, two of them were coded as retail auto, and another as secured installment. This did lower my score approx 8 points, when typical rule of thumb for one inquiry has been 3 points for me.
 
Also, all banks normally do soft (review) inquiries. These do not affect your score. They only start typically doing a hard review if there was a cause for concern such as seeing late payments or the like show up
 
We recently applied for a loan for new equipment and the intrest rate was a little high , so I went to www.myfico.com and checked out my scores they went from 782 roughly down to 720... Then it all came in the mail.. Credit limit decreases across the board , Capitol One , Visa , GE Money Bank, Even my personal stuff... as well.. So we are going to have to go another way.. It really sux that the honest hard working people that pay their bills on time have to suffer because a bunch of people buy stuff they cant afford ...and then dont pay for it... Maybe if everyone cuts all the credit cards up , gets rid of the bank accounts and then just start asking for cash , maybe some of these 19% intrest rate Quack loan companies will go belly up... And as far as banks I would almost rather have my cash in a mattress...
 
Guys you have got to hang in there. Last July we started building a house (after waiting 5yrs for our finances to get in line so that we thought we could afford it). 3 weeks from being completed with construction I get laid off from my job. Although I had my PW business, it was on a small scale, for extra income........welll when I could never get unemployment approved because I could not get anyone on the phone and was not willing to sit around and wait on the phone all day, things have worked out. I have landed a job that allows me to have 7 days off every other week and allows me the time to put in my personal PW business and get it off and running.
If I can make it through 3.5 months with no income and still keep my head above water with a new house being built you can make it.
I am a believer that you can make it if you continue to try. And anyone that is involved with PW is not a lazy person,,, it is work. You will make it just fine.
Hope everyone makes it through this tough time, we as Americans like the good life, so its only a matter of time before things turn around. People may not be spending their money right now but give em time. They will not do with out forever.
 
JohnB said:
We recently applied for a loan for new equipment and the intrest rate was a little high , so I went to www.myfico.com and checked out my scores they went from 782 roughly down to 720... Then it all came in the mail.. Credit limit decreases across the board , Capitol One , Visa , GE Money Bank, Even my personal stuff... as well.. So we are going to have to go another way.. It really sux that the honest hard working people that pay their bills on time have to suffer because a bunch of people buy stuff they cant afford ...and then dont pay for it... Maybe if everyone cuts all the credit cards up , gets rid of the bank accounts and then just start asking for cash , maybe some of these 19% intrest rate Quack loan companies will go belly up... And as far as banks I would almost rather have my cash in a mattress...
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We had two GE money accounts, one at the Landa dealer and one at the Honda dealership (that we used previously for generators) They were both paid off and hadn't carried a balance in about 10 months and they closed one and reduced one from 10k to 2k with no explanation except we hadn't carried a balance in over six months.

We're switching everything over to cash now. It's difficult, but business is picking up a LOT.
 
From being in the car business for 10 yrs,,,,,things that effect your credit score are your debt to income ratio........your amount of inquires.... and of course late payments.....
That being said I have not been involve with any of this since Nov 10 when I got layed off ( I was one of three that were the last ones hired at the dealership I was working at) So I do not know how things have been affected as a result of all the things that are going on in the economy.....but since I have been on a regular job for over 30 days I just got a loan to finance my house (that I finished building in Dec) for a interest rate of 4.875% fixed for a 30 yr loan.
I have not attempted to do any other financing since Nov......so I do not know how other things are. But from being in the car business and dealing with finance with customer, back then if your credit score was good and you paid on time you had no trouble with finance. But you do have to be in line with your income to the amount that is going to be going out.
I am sure right now things have tightened up. I know back in Nov ....GMAC had gotten to where they would not finance anything less that a 700 beacon..........that puts a tight reighn on things!


Most of the banks are scared of losing right now......they are getting their asses handed to them in the realstate market so I am sure they have tightened up on other loans..........especially signature loans and such.
 
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