Business Secured report to Equifax Biz

[credit god]

I'm looking to improve new business credit with secured account that will report to Efx Biz

 

What secured business accounts report to Equifax Biz?

 

I have $5000 I can invest into secured account....I'm thinking this will jump start my 3 year old business credit.

 

Any input would be greatly appreciated...thank you.

[jmight]

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

[credit god]

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

Thanks for your help

[killove]

Any more?

[BRBiz]

All GE backed accounts report to Equifax... Lowes, Amazon,etc..

[BRBiz]

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

Did they pull your personal credit for the Wells Fargo card?

[jmight]

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

Did they pull your personal credit for the Wells Fargo card?

 

Yeah they ended up pulling EX on the personal side.

[BRBiz]

 

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

 

Did they pull your personal credit for the Wells Fargo card?

Yeah they ended up pulling EX on the personal side.

Thanks....What are your personal scores like if you don't mind sharing?

[GR8WhiTE]

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

Did they pull your personal credit for the Wells Fargo card?

 

Yeah they ended up pulling EX on the personal side.

I don't understand the reason for a pull when you're puttting your own money (or security) down for that card. I have a Fifth Third Bank secured card for my personal and they pulled from TU. Are those hard pulls? or just a soft pull to see if you have a history with them?

[jmight]

 

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

Did they pull your personal credit for the Wells Fargo card?

 

Yeah they ended up pulling EX on the personal side.

I don't understand the reason for a pull when you're puttting your own money (or security) down for that card. I have a Fifth Third Bank secured card for my personal and they pulled from TU. Are those hard pulls? or just a soft pull to see if you have a history with them?

 

They are hard pulls usually in my experience.

 

My personal FICOs are all in the 620-640 range...

 

Capital One Spark Card also reports on equifax/experian and DNB for me... However its not secured, but I did get approved for $750 with a 604 at the time...

[BRBiz]

 

 

 

 

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

 

Did they pull your personal credit for the Wells Fargo card?

Yeah they ended up pulling EX on the personal side.

I don't understand the reason for a pull when you're puttting your own money (or security) down for that card. I have a Fifth Third Bank secured card for my personal and they pulled from TU. Are those hard pulls? or just a soft pull to see if you have a history with them?

It makes no sense at all since their risk of loss is almost non existent..

[stroked89coupe]

 

 

 

 

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

Did they pull your personal credit for the Wells Fargo card?

Yeah they ended up pulling EX on the personal side.

I don't understand the reason for a pull when you're puttting your own money (or security) down for that card. I have a Fifth Third Bank secured card for my personal and they pulled from TU. Are those hard pulls? or just a soft pull to see if you have a history with them?

It makes no sense at all since their risk of loss is almost non existent..

Their risk of loss? Non Existent?

 

 

Hows a 500.00 secured card for you. No big deal, 500.00 dollars of their own money right?

 

How about 500 pending 1.00 charges for fuel purchases that amount to 150.00 per transaction once posted. Thats 75000 dollars. Guess who pays that? The Creditor.

 

 

 

I get your approach, but It's all about verification and consumer protection these days as well as creditor protection. Remember, these banks don't make the rules for the VISA/MC/AMEX networks. It's kind of like how a dealership will still pull your credit if you were buying a car with cash money. Papertrail and Identity Verification.

 

 

Look at it like this from a similar but different perspective. What if they did not require verification of who was opening up an account in SteelCity's name. The peson put a 2000.00 secured deposit down.UTILIZED 1999.00. They not only decided to stop paying their bill, But they overdrafted their account when the pending authorization that was showing as 1.00 came through as 150.00 for that fuel purchase. Lest say you ignore all of this and decide never to do anything about it (After all, why should you? It's in someone elses name!.)....

 

Now you owe the bank 150.00

Plus Late fees

Plus overdraft fees

Your payment is reporting late on the CRA's

Your payment is reporting charged off on the CRA's

You now have a judgement on your reports because you continued to ignore it.

 

Your credit is ruined. And you did not have a single thing to do with any of it. All because the creditor failed to pull credit to verify your identity.

Edited April 27, 2013 by stroked89coupe

[BRBiz]

 

 

 

 

 

 

 

 

 

 

 

 

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

 

Did they pull your personal credit for the Wells Fargo card?

Yeah they ended up pulling EX on the personal side.

I don't understand the reason for a pull when you're puttting your own money (or security) down for that card. I have a Fifth Third Bank secured card for my personal and they pulled from TU. Are those hard pulls? or just a soft pull to see if you have a history with them?

It makes no sense at all since their risk of loss is almost non existent..

Their risk of loss? Non Existent?

 

 

Hows a 500.00 secured card for you. No big deal, 500.00 dollars of their own money right?

 

How about 500 pending 1.00 charges for fuel purchases that amount to 150.00 per transaction once posted. Thats 75000 dollars. Guess who pays that? The Creditor.

 

 

 

I get your approach, but It's all about verification and consumer protection these days as well as creditor protection. Remember, these banks don't make the rules for the VISA/MC/AMEX networks. It's kind of like how a delership will still pull your credit if you were buying a car with cash money. Papertrail and Identity Verification.

 

 

Look at it like this from a similar but different perspective. What if they did not require verification of who was opening up an account in SteelCity's name. The peson put a 2000.00 secured deposit down. They not only decided to stop paying their bill, But they overdrafted their account when the pending authorization that was showing as 1.00 came through as 150.00 for that fuel purchase. Lest say you ignore all of this and decide never to do anything about it (After all, why should you? It's in someone elses name!.)....

 

Now you owe the bank 150.00

Plus Late fees

Plus overdraft fees

Your payment is reporting late on the CRA's

Your payment is reporting charged off on the CRA's

You now have a judgement on your reports because you continued to ignore it.

 

Your credit is ruined. And you did not have a single thing to do with any of it. All because the creditor failed to pull credit to verify your identity.

I get what your saying and that is why I said "almost" because of that exact reason. That is a issue with the merchant, card processor and the bank. The merchant can decide to hold more but they choose not to at a lot of places while others will hold up to $100. So the banks/lenders could put a stop to this and not allow it. But then they couldn't charge over draft and over the limits fee's so they allow it for that exact reason thus creating risk for themselves so they can profit more. It's the same exact thing with a checking account, there is no reason at all for a checking account to go negative besides the banks allowing it.

 

The verification could be done with a soft pull and not a hard.. For a business card how often has your personal info been verified for a business account? Maybe once or never.

[stroked89coupe]

 

 

 

 

 

 

 

 

 

 

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

Did they pull your personal credit for the Wells Fargo card?

Yeah they ended up pulling EX on the personal side.

I don't understand the reason for a pull when you're puttting your own money (or security) down for that card. I have a Fifth Third Bank secured card for my personal and they pulled from TU. Are those hard pulls? or just a soft pull to see if you have a history with them?

It makes no sense at all since their risk of loss is almost non existent..

Their risk of loss? Non Existent?

 

 

Hows a 500.00 secured card for you. No big deal, 500.00 dollars of their own money right?

 

How about 500 pending 1.00 charges for fuel purchases that amount to 150.00 per transaction once posted. Thats 75000 dollars. Guess who pays that? The Creditor.

 

 

 

I get your approach, but It's all about verification and consumer protection these days as well as creditor protection. Remember, these banks don't make the rules for the VISA/MC/AMEX networks. It's kind of like how a delership will still pull your credit if you were buying a car with cash money. Papertrail and Identity Verification.

 

 

Look at it like this from a similar but different perspective. What if they did not require verification of who was opening up an account in SteelCity's name. The peson put a 2000.00 secured deposit down. They not only decided to stop paying their bill, But they overdrafted their account when the pending authorization that was showing as 1.00 came through as 150.00 for that fuel purchase. Lest say you ignore all of this and decide never to do anything about it (After all, why should you? It's in someone elses name!.)....

 

Now you owe the bank 150.00

Plus Late fees

Plus overdraft fees

Your payment is reporting late on the CRA's

Your payment is reporting charged off on the CRA's

You now have a judgement on your reports because you continued to ignore it.

 

Your credit is ruined. And you did not have a single thing to do with any of it. All because the creditor failed to pull credit to verify your identity.

I get what your saying and that is why I said "almost" because of that exact reason. That is a issue with the merchant, card processor and the bank. The merchant can decide to hold more but they choose not to at a lot of places while others will hold up to $100. So the banks/lenders could put a stop to this and not allow it. But then they couldn't charge over draft and over the limits fee's so they allow it for that exact reason thus creating risk for themselves so they can profit more. It's the same exact thing with a checking account, there is no reason at all for a checking account to go negative besides the banks allowing it.

 

The verification could be done with a soft pull and not a hard.. For a business card how often has your personal info been verified for a business account? Maybe once or never.

 

 

Good points. I don't know the difference between a soft and a hard besides the obvious, I imagine they are able to get more information from pulling a hard on your credit and maybe thats why they typically do this on all account openings and with stricter reconsiderations.

 

What do you think?

Edited April 27, 2013 by stroked89coupe

[jmight]

 

 

 

 

 

 

 

 

 

 

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

Did they pull your personal credit for the Wells Fargo card?

Yeah they ended up pulling EX on the personal side.

I don't understand the reason for a pull when you're puttting your own money (or security) down for that card. I have a Fifth Third Bank secured card for my personal and they pulled from TU. Are those hard pulls? or just a soft pull to see if you have a history with them?

It makes no sense at all since their risk of loss is almost non existent..

Their risk of loss? Non Existent?

 

 

Hows a 500.00 secured card for you. No big deal, 500.00 dollars of their own money right?

 

How about 500 pending 1.00 charges for fuel purchases that amount to 150.00 per transaction once posted. Thats 75000 dollars. Guess who pays that? The Creditor.

 

 

 

I get your approach, but It's all about verification and consumer protection these days as well as creditor protection. Remember, these banks don't make the rules for the VISA/MC/AMEX networks. It's kind of like how a delership will still pull your credit if you were buying a car with cash money. Papertrail and Identity Verification.

 

 

Look at it like this from a similar but different perspective. What if they did not require verification of who was opening up an account in SteelCity's name. The peson put a 2000.00 secured deposit down. They not only decided to stop paying their bill, But they overdrafted their account when the pending authorization that was showing as 1.00 came through as 150.00 for that fuel purchase. Lest say you ignore all of this and decide never to do anything about it (After all, why should you? It's in someone elses name!.)....

 

Now you owe the bank 150.00

Plus Late fees

Plus overdraft fees

Your payment is reporting late on the CRA's

Your payment is reporting charged off on the CRA's

You now have a judgement on your reports because you continued to ignore it.

 

Your credit is ruined. And you did not have a single thing to do with any of it. All because the creditor failed to pull credit to verify your identity.

I get what your saying and that is why I said "almost" because of that exact reason. That is a issue with the merchant, card processor and the bank. The merchant can decide to hold more but they choose not to at a lot of places while others will hold up to $100. So the banks/lenders could put a stop to this and not allow it. But then they couldn't charge over draft and over the limits fee's so they allow it for that exact reason thus creating risk for themselves so they can profit more. It's the same exact thing with a checking account, there is no reason at all for a checking account to go negative besides the banks allowing it.

 

The verification could be done with a soft pull and not a hard.. For a business card how often has your personal info been verified for a business account? Maybe once or never.

 

Plenty of reason to allow you to overdraft... What if your in the middle of nowhere and need gas? Sucks to pay the $35 overdraft fee but it'd suck worse to be stuck in the middle of nowhere... Its a benefit that they allow you to use, for a fee, so that if you happen to not keep track of your finances, you won't immediately get rejected.

 

The onus is on the customer to know their balance and not overdraft, not on the merchant, bank or anyone else.

[jmight]

 

 

 

 

 

 

 

 

 

 

 

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

Did they pull your personal credit for the Wells Fargo card?

Yeah they ended up pulling EX on the personal side.

I don't understand the reason for a pull when you're puttting your own money (or security) down for that card. I have a Fifth Third Bank secured card for my personal and they pulled from TU. Are those hard pulls? or just a soft pull to see if you have a history with them?

It makes no sense at all since their risk of loss is almost non existent..

Their risk of loss? Non Existent?

 

 

Hows a 500.00 secured card for you. No big deal, 500.00 dollars of their own money right?

 

How about 500 pending 1.00 charges for fuel purchases that amount to 150.00 per transaction once posted. Thats 75000 dollars. Guess who pays that? The Creditor.

 

 

 

I get your approach, but It's all about verification and consumer protection these days as well as creditor protection. Remember, these banks don't make the rules for the VISA/MC/AMEX networks. It's kind of like how a delership will still pull your credit if you were buying a car with cash money. Papertrail and Identity Verification.

 

 

Look at it like this from a similar but different perspective. What if they did not require verification of who was opening up an account in SteelCity's name. The peson put a 2000.00 secured deposit down. They not only decided to stop paying their bill, But they overdrafted their account when the pending authorization that was showing as 1.00 came through as 150.00 for that fuel purchase. Lest say you ignore all of this and decide never to do anything about it (After all, why should you? It's in someone elses name!.)....

 

Now you owe the bank 150.00

Plus Late fees

Plus overdraft fees

Your payment is reporting late on the CRA's

Your payment is reporting charged off on the CRA's

You now have a judgement on your reports because you continued to ignore it.

 

Your credit is ruined. And you did not have a single thing to do with any of it. All because the creditor failed to pull credit to verify your identity.

I get what your saying and that is why I said "almost" because of that exact reason. That is a issue with the merchant, card processor and the bank. The merchant can decide to hold more but they choose not to at a lot of places while others will hold up to $100. So the banks/lenders could put a stop to this and not allow it. But then they couldn't charge over draft and over the limits fee's so they allow it for that exact reason thus creating risk for themselves so they can profit more. It's the same exact thing with a checking account, there is no reason at all for a checking account to go negative besides the banks allowing it.

 

The verification could be done with a soft pull and not a hard.. For a business card how often has your personal info been verified for a business account? Maybe once or never.

 

 

Good points. I don't know the difference between a soft and a hard besides the obvious, I imagine they are able to get more information from pulling a hard on your credit and maybe thats why they typically do this on all account openings and with stricter reconsiderations.

 

What do you think?

 

When I use to have access to pulling credit, the hard pulls definitely show more information. The softs were basically summary versions - which while useful to see if there is a BK/Judgements, number of inquiries in past 6 months, and other limited information, sometimes you want to know more then just the basics.

 

I don't know if every company that provides access to credit reports is the same, but the company I used was very limited in the softs. I couldn't see when the accounts had been opened, just the date of the first card that was opened and inquiries in past 6 months, total balances to total limits, but not individual cards...

 

With the hards, I could see how recently the lates were, how often someone went over their limit, etc - which definitely factored into my decision to rent to them or not... Someone who is slow/late until April of every year wasn't someone I wanted to rent to and the soft pull didn't show that information (just that it had been late at some point in the past 6 months)... I also couldn't see if the collections were for a credit product or medical until I did a hard...(I personally excluded medical debt because I have my own medical issues and know that it wasn't that persons choice to go into medical debt)

 

This is why the pre-approval offers aren't always good, because they don't have all the information to make that decision until they do a hard pull.

 

Of course that could be just the company I used..

[BRBiz]

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

 

Did they pull your personal credit for the Wells Fargo card?

Yeah they ended up pulling EX on the personal side.

I don't understand the reason for a pull when you're puttting your own money (or security) down for that card. I have a Fifth Third Bank secured card for my personal and they pulled from TU. Are those hard pulls? or just a soft pull to see if you have a history with them?

It makes no sense at all since their risk of loss is almost non existent..

Their risk of loss? Non Existent?

 

 

Hows a 500.00 secured card for you. No big deal, 500.00 dollars of their own money right?

 

How about 500 pending 1.00 charges for fuel purchases that amount to 150.00 per transaction once posted. Thats 75000 dollars. Guess who pays that? The Creditor.

 

 

 

I get your approach, but It's all about verification and consumer protection these days as well as creditor protection. Remember, these banks don't make the rules for the VISA/MC/AMEX networks. It's kind of like how a delership will still pull your credit if you were buying a car with cash money. Papertrail and Identity Verification.

 

 

Look at it like this from a similar but different perspective. What if they did not require verification of who was opening up an account in SteelCity's name. The peson put a 2000.00 secured deposit down. They not only decided to stop paying their bill, But they overdrafted their account when the pending authorization that was showing as 1.00 came through as 150.00 for that fuel purchase. Lest say you ignore all of this and decide never to do anything about it (After all, why should you? It's in someone elses name!.)....

 

Now you owe the bank 150.00

Plus Late fees

Plus overdraft fees

Your payment is reporting late on the CRA's

Your payment is reporting charged off on the CRA's

You now have a judgement on your reports because you continued to ignore it.

 

Your credit is ruined. And you did not have a single thing to do with any of it. All because the creditor failed to pull credit to verify your identity.

I get what your saying and that is why I said "almost" because of that exact reason. That is a issue with the merchant, card processor and the bank. The merchant can decide to hold more but they choose not to at a lot of places while others will hold up to $100. So the banks/lenders could put a stop to this and not allow it. But then they couldn't charge over draft and over the limits fee's so they allow it for that exact reason thus creating risk for themselves so they can profit more. It's the same exact thing with a checking account, there is no reason at all for a checking account to go negative besides the banks allowing it.

The verification could be done with a soft pull and not a hard.. For a business card how often has your personal info been verified for a business account? Maybe once or never.

Plenty of reason to allow you to overdraft... What if your in the middle of nowhere and need gas? Sucks to pay the $35 overdraft fee but it'd suck worse to be stuck in the middle of nowhere... Its a benefit that they allow you to use, for a fee, so that if you happen to not keep track of your finances, you won't immediately get rejected.

 

The onus is on the customer to know their balance and not overdraft, not on the merchant, bank or anyone else.

True if you opt in for that then its your own fault..But some banks don't allow you to opt out of letting checks and EFT's go though your account causing fee's.

[BRBiz]

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

 

Did they pull your personal credit for the Wells Fargo card?

Yeah they ended up pulling EX on the personal side.

I don't understand the reason for a pull when you're puttting your own money (or security) down for that card. I have a Fifth Third Bank secured card for my personal and they pulled from TU. Are those hard pulls? or just a soft pull to see if you have a history with them?

It makes no sense at all since their risk of loss is almost non existent..

Their risk of loss? Non Existent?

 

 

Hows a 500.00 secured card for you. No big deal, 500.00 dollars of their own money right?

 

How about 500 pending 1.00 charges for fuel purchases that amount to 150.00 per transaction once posted. Thats 75000 dollars. Guess who pays that? The Creditor.

 

 

 

I get your approach, but It's all about verification and consumer protection these days as well as creditor protection. Remember, these banks don't make the rules for the VISA/MC/AMEX networks. It's kind of like how a delership will still pull your credit if you were buying a car with cash money. Papertrail and Identity Verification.

 

 

Look at it like this from a similar but different perspective. What if they did not require verification of who was opening up an account in SteelCity's name. The peson put a 2000.00 secured deposit down. They not only decided to stop paying their bill, But they overdrafted their account when the pending authorization that was showing as 1.00 came through as 150.00 for that fuel purchase. Lest say you ignore all of this and decide never to do anything about it (After all, why should you? It's in someone elses name!.)....

 

Now you owe the bank 150.00

Plus Late fees

Plus overdraft fees

Your payment is reporting late on the CRA's

Your payment is reporting charged off on the CRA's

You now have a judgement on your reports because you continued to ignore it.

 

Your credit is ruined. And you did not have a single thing to do with any of it. All because the creditor failed to pull credit to verify your identity.

I get what your saying and that is why I said "almost" because of that exact reason. That is a issue with the merchant, card processor and the bank. The merchant can decide to hold more but they choose not to at a lot of places while others will hold up to $100. So the banks/lenders could put a stop to this and not allow it. But then they couldn't charge over draft and over the limits fee's so they allow it for that exact reason thus creating risk for themselves so they can profit more. It's the same exact thing with a checking account, there is no reason at all for a checking account to go negative besides the banks allowing it.

The verification could be done with a soft pull and not a hard.. For a business card how often has your personal info been verified for a business account? Maybe once or never.

 

Good points. I don't know the difference between a soft and a hard besides the obvious, I imagine they are able to get more information from pulling a hard on your credit and maybe thats why they typically do this on all account openings and with stricter reconsiderations.

 

What do you think?

When they do a soft pull that is how they come up with those questions to verify your identity so really that is all they really need for a secured product. But since they allow the possibility of going over your limit they tend to be picky when they really don't have to be.

[GR8WhiTE]

 

 

 

 

 

 

 

 

 

 

 

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

Did they pull your personal credit for the Wells Fargo card?

Yeah they ended up pulling EX on the personal side.

I don't understand the reason for a pull when you're puttting your own money (or security) down for that card. I have a Fifth Third Bank secured card for my personal and they pulled from TU. Are those hard pulls? or just a soft pull to see if you have a history with them?

It makes no sense at all since their risk of loss is almost non existent..

Their risk of loss? Non Existent?

 

 

Hows a 500.00 secured card for you. No big deal, 500.00 dollars of their own money right?

 

How about 500 pending 1.00 charges for fuel purchases that amount to 150.00 per transaction once posted. Thats 75000 dollars. Guess who pays that? The Creditor.

 

 

 

I get your approach, but It's all about verification and consumer protection these days as well as creditor protection. Remember, these banks don't make the rules for the VISA/MC/AMEX networks. It's kind of like how a delership will still pull your credit if you were buying a car with cash money. Papertrail and Identity Verification.

 

 

Look at it like this from a similar but different perspective. What if they did not require verification of who was opening up an account in SteelCity's name. The peson put a 2000.00 secured deposit down. They not only decided to stop paying their bill, But they overdrafted their account when the pending authorization that was showing as 1.00 came through as 150.00 for that fuel purchase. Lest say you ignore all of this and decide never to do anything about it (After all, why should you? It's in someone elses name!.)....

 

Now you owe the bank 150.00

Plus Late fees

Plus overdraft fees

Your payment is reporting late on the CRA's

Your payment is reporting charged off on the CRA's

You now have a judgement on your reports because you continued to ignore it.

 

Your credit is ruined. And you did not have a single thing to do with any of it. All because the creditor failed to pull credit to verify your identity.

I get what your saying and that is why I said "almost" because of that exact reason. That is a issue with the merchant, card processor and the bank. The merchant can decide to hold more but they choose not to at a lot of places while others will hold up to $100. So the banks/lenders could put a stop to this and not allow it. But then they couldn't charge over draft and over the limits fee's so they allow it for that exact reason thus creating risk for themselves so they can profit more. It's the same exact thing with a checking account, there is no reason at all for a checking account to go negative besides the banks allowing it.

 

The verification could be done with a soft pull and not a hard.. For a business card how often has your personal info been verified for a business account? Maybe once or never.

 

 

Good points. I don't know the difference between a soft and a hard besides the obvious, I imagine they are able to get more information from pulling a hard on your credit and maybe thats why they typically do this on all account openings and with stricter reconsiderations.

 

What do you think?

 

You got deep there Stroked haha...

 

I agree with BR though. I see exactly what your saying and yes! that is the BIG picture of what can potentially happen. BUT!! Verification can be done with a simple soft pull. No need for a hard pull. You're not going for a mortgage or car loan. It's just verification.

 

Not to mention, once you are verified with a soft pull the only person you would screw over from there on out is yourself. You can lose YOUR money that you gave to open the account. You can screw up YOUR reputation with the CRA's. You can overdraft and be late on whatever you want. At the end of the day it's YOU that's hurting, not the bank. For them it's a write-off.

[GR8WhiTE]

 

 

 

 

 

 

 

 

 

 

 

 

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

Did they pull your personal credit for the Wells Fargo card?

Yeah they ended up pulling EX on the personal side.

I don't understand the reason for a pull when you're puttting your own money (or security) down for that card. I have a Fifth Third Bank secured card for my personal and they pulled from TU. Are those hard pulls? or just a soft pull to see if you have a history with them?

It makes no sense at all since their risk of loss is almost non existent..

Their risk of loss? Non Existent?

 

 

Hows a 500.00 secured card for you. No big deal, 500.00 dollars of their own money right?

 

How about 500 pending 1.00 charges for fuel purchases that amount to 150.00 per transaction once posted. Thats 75000 dollars. Guess who pays that? The Creditor.

 

 

 

I get your approach, but It's all about verification and consumer protection these days as well as creditor protection. Remember, these banks don't make the rules for the VISA/MC/AMEX networks. It's kind of like how a delership will still pull your credit if you were buying a car with cash money. Papertrail and Identity Verification.

 

 

Look at it like this from a similar but different perspective. What if they did not require verification of who was opening up an account in SteelCity's name. The peson put a 2000.00 secured deposit down. They not only decided to stop paying their bill, But they overdrafted their account when the pending authorization that was showing as 1.00 came through as 150.00 for that fuel purchase. Lest say you ignore all of this and decide never to do anything about it (After all, why should you? It's in someone elses name!.)....

 

Now you owe the bank 150.00

Plus Late fees

Plus overdraft fees

Your payment is reporting late on the CRA's

Your payment is reporting charged off on the CRA's

You now have a judgement on your reports because you continued to ignore it.

 

Your credit is ruined. And you did not have a single thing to do with any of it. All because the creditor failed to pull credit to verify your identity.

I get what your saying and that is why I said "almost" because of that exact reason. That is a issue with the merchant, card processor and the bank. The merchant can decide to hold more but they choose not to at a lot of places while others will hold up to $100. So the banks/lenders could put a stop to this and not allow it. But then they couldn't charge over draft and over the limits fee's so they allow it for that exact reason thus creating risk for themselves so they can profit more. It's the same exact thing with a checking account, there is no reason at all for a checking account to go negative besides the banks allowing it.

 

The verification could be done with a soft pull and not a hard.. For a business card how often has your personal info been verified for a business account? Maybe once or never.

 

 

Good points. I don't know the difference between a soft and a hard besides the obvious, I imagine they are able to get more information from pulling a hard on your credit and maybe thats why they typically do this on all account openings and with stricter reconsiderations.

 

What do you think?

 

When I use to have access to pulling credit, the hard pulls definitely show more information. The softs were basically summary versions - which while useful to see if there is a BK/Judgements, number of inquiries in past 6 months, and other limited information, sometimes you want to know more then just the basics.

 

I don't know if every company that provides access to credit reports is the same, but the company I used was very limited in the softs. I couldn't see when the accounts had been opened, just the date of the first card that was opened and inquiries in past 6 months, total balances to total limits, but not individual cards...

 

With the hards, I could see how recently the lates were, how often someone went over their limit, etc - which definitely factored into my decision to rent to them or not... Someone who is slow/late until April of every year wasn't someone I wanted to rent to and the soft pull didn't show that information (just that it had been late at some point in the past 6 months)... I also couldn't see if the collections were for a credit product or medical until I did a hard...(I personally excluded medical debt because I have my own medical issues and know that it wasn't that persons choice to go into medical debt)

 

This is why the pre-approval offers aren't always good, because they don't have all the information to make that decision until they do a hard pull.

 

Of course that could be just the company I used..

Yea but if this renter said to you, "Hey JMight! Here is a years rent cash dont worry about the hard pull." You wouldn't care cause your money is secured. You would do a soft pull to at least verify the person is who he/she says they are. So why the hard pull on a credit card that is secured?

[jmight]

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

According to my Equifax Biz report - Wells Fargo Secured Business Card reports.

 

According to the branch I bank with their secured loans/loc also report to equifax biz (but they could be just trying to sell me the product)

Did they pull your personal credit for the Wells Fargo card?

Yeah they ended up pulling EX on the personal side.

I don't understand the reason for a pull when you're puttting your own money (or security) down for that card. I have a Fifth Third Bank secured card for my personal and they pulled from TU. Are those hard pulls? or just a soft pull to see if you have a history with them?

It makes no sense at all since their risk of loss is almost non existent..

Their risk of loss? Non Existent?

 

 

Hows a 500.00 secured card for you. No big deal, 500.00 dollars of their own money right?

 

How about 500 pending 1.00 charges for fuel purchases that amount to 150.00 per transaction once posted. Thats 75000 dollars. Guess who pays that? The Creditor.

 

 

 

I get your approach, but It's all about verification and consumer protection these days as well as creditor protection. Remember, these banks don't make the rules for the VISA/MC/AMEX networks. It's kind of like how a delership will still pull your credit if you were buying a car with cash money. Papertrail and Identity Verification.

 

 

Look at it like this from a similar but different perspective. What if they did not require verification of who was opening up an account in SteelCity's name. The peson put a 2000.00 secured deposit down. They not only decided to stop paying their bill, But they overdrafted their account when the pending authorization that was showing as 1.00 came through as 150.00 for that fuel purchase. Lest say you ignore all of this and decide never to do anything about it (After all, why should you? It's in someone elses name!.)....

 

Now you owe the bank 150.00

Plus Late fees

Plus overdraft fees

Your payment is reporting late on the CRA's

Your payment is reporting charged off on the CRA's

You now have a judgement on your reports because you continued to ignore it.

 

Your credit is ruined. And you did not have a single thing to do with any of it. All because the creditor failed to pull credit to verify your identity.

I get what your saying and that is why I said "almost" because of that exact reason. That is a issue with the merchant, card processor and the bank. The merchant can decide to hold more but they choose not to at a lot of places while others will hold up to $100. So the banks/lenders could put a stop to this and not allow it. But then they couldn't charge over draft and over the limits fee's so they allow it for that exact reason thus creating risk for themselves so they can profit more. It's the same exact thing with a checking account, there is no reason at all for a checking account to go negative besides the banks allowing it.

 

The verification could be done with a soft pull and not a hard.. For a business card how often has your personal info been verified for a business account? Maybe once or never.

 

 

Good points. I don't know the difference between a soft and a hard besides the obvious, I imagine they are able to get more information from pulling a hard on your credit and maybe thats why they typically do this on all account openings and with stricter reconsiderations.

 

What do you think?

 

When I use to have access to pulling credit, the hard pulls definitely show more information. The softs were basically summary versions - which while useful to see if there is a BK/Judgements, number of inquiries in past 6 months, and other limited information, sometimes you want to know more then just the basics.

 

I don't know if every company that provides access to credit reports is the same, but the company I used was very limited in the softs. I couldn't see when the accounts had been opened, just the date of the first card that was opened and inquiries in past 6 months, total balances to total limits, but not individual cards...

 

With the hards, I could see how recently the lates were, how often someone went over their limit, etc - which definitely factored into my decision to rent to them or not... Someone who is slow/late until April of every year wasn't someone I wanted to rent to and the soft pull didn't show that information (just that it had been late at some point in the past 6 months)... I also couldn't see if the collections were for a credit product or medical until I did a hard...(I personally excluded medical debt because I have my own medical issues and know that it wasn't that persons choice to go into medical debt)

 

This is why the pre-approval offers aren't always good, because they don't have all the information to make that decision until they do a hard pull.

 

Of course that could be just the company I used..

Yea but if this renter said to you, "Hey JMight! Here is a years rent cash dont worry about the hard pull." You wouldn't care cause your money is secured. You would do a soft pull to at least verify the person is who he/she says they are. So why the hard pull on a credit card that is secured?

 

If someone came at me with that much cash, I wouldn't probably rent to them..

 

Why? Because that person is probably stupid (to put it lightly) to be prepaying that far ahead. There are all kinds of things that could happen where that person is on the street before the end of the lease and is out all that money. To me that's a stupid risk to take when you can pay monthly.

 

And sure having a years worth of rent seems nice - but they can still destroy the house at a much higher expense then all that rent.

 

Plus I want the person to be slow paying every month by a few days so I can collect the easiest profit ever - late fees.

[stroked89coupe]

I though the argument was regarding pulling credit at all. My bad. I definetly think it should be switched to a soft pull.

 

 

 

With that said, There has GOT to be a reson why everyone does a hard. We must be missing something.

[BRBiz]

A common way to over come a bad credit issue when trying to rent is to provide extra security deposit funds. Any where from a extra month or two ontop of the one normally given.

 

This method works very well when leasing a commercial property also. A extra month of security and prepay for 3 to 6 months and you often can get I to most properties.. Lately commercial properties have really relaxed their requirements for leasing. The down economy and people just working out of their homes has really vacated the commercial properties at least here in the Northeast.

[BRBiz]

I though the argument was regarding pulling credit at all. My bad. I definetly think it should be switched to a soft pull.

 

 

 

With that said, There has GOT to be a reson why everyone does a hard. We must be missing something.

I think you and I both already said the reason.. A slight risk of going over your secured deposit.. They want to have a almost non existent risk even though they are allowing the risk.

 

 

 

Curious to see what their min score requirement is.

Edited April 28, 2013 by Brndnh721

[jmight]

 

I though the argument was regarding pulling credit at all. My bad. I definetly think it should be switched to a soft pull.

 

 

 

With that said, There has GOT to be a reson why everyone does a hard. We must be missing something.

I think you and I both already said the reason.. A slight risk of going over your secured deposit.. They want to have a almost non existent risk even though they are allowing the risk.

 

 

 

Curious to see what their min score requirement is.

 

Its also possible that it could also be part of the contract for being allowed access to pull reports... I know there are a few places that pull soft to see if you qualify and then pull hard if you do, so maybe they are required to do it if they extend credit based on any credit report information.

 

If everyone pulled softs then there'd be no inqs showing which has some negative side effects for businesses relying on the reports.

 

And of course then they'd have no use for my most favorite denial reason (sarcasm) -> Too many recent inquiries.

Edited April 28, 2013 by jmight