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hegemony

How the banks give you a ‘sucker score’

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Break the cycle, live on what you make, and your credit score won’t matter.

 

 

All good except that your score still matters, at least, in the US. The article is from a .au website, so maybe in Australia credit scoring is used differently. As we here at CB know, you can live within your means and still have a high credit score, so we can get cheap insurance, not pay high deposits, etc.

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Break the cycle, live on what you make, and your credit score won’t matter.

 

 

All good except that your score still matters, at least, in the US. The article is from a .au website, so maybe in Australia credit scoring is used differently. As we here at CB know, you can live within your means and still have a high credit score, so we can get cheap insurance, not pay high deposits, etc.

 

 

It's an unsigned opinion, so who knows what the source is.

 

I do have limited experience in Australia. ANZ Bank was more than happy to help me in opening a checking account, even though they're perfectly aware I'm not going to be a major customer. In fact, they'll probably refuse to open me a credit card, as a non-resident. That said, I think this bank, and others do look at the long term. I might be a small customer today, but circumstances can change in the future. The same small customer today, could be a major customer down the road. Most all of us start small.

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Break the cycle, live on what you make, and your credit score won’t matter.

 

 

All good except that your score still matters, at least, in the US. The article is from a .au website, so maybe in Australia credit scoring is used differently. As we here at CB know, you can live within your means and still have a high credit score, so we can get cheap insurance, not pay high deposits, etc.

 

 

It's an unsigned opinion, so who knows what the source is.

 

I do have limited experience in Australia. ANZ Bank was more than happy to help me in opening a checking account, even though they're perfectly aware I'm not going to be a major customer. In fact, they'll probably refuse to open me a credit card, as a non-resident. That said, I think this bank, and others do look at the long term. I might be a small customer today, but circumstances can change in the future. The same small customer today, could be a major customer down the road. Most all of us start small.

 

 

Are you there a fair amount of time?

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Break the cycle, live on what you make, and your credit score wont matter.

 

All good except that your score still matters, at least, in the US. The article is from a .au website, so maybe in Australia credit scoring is used differently. As we here at CB know, you can live within your means and still have a high credit score, so we can get cheap insurance, not pay high deposits, etc.

It's an unsigned opinion, so who knows what the source is.

 

I do have limited experience in Australia. ANZ Bank was more than happy to help me in opening a checking account, even though they're perfectly aware I'm not going to be a major customer. In fact, they'll probably refuse to open me a credit card, as a non-resident. That said, I think this bank, and others do look at the long term. I might be a small customer today, but circumstances can change in the future. The same small customer today, could be a major customer down the road. Most all of us start small.

Are you there a fair amount of time?

Not really. I've been to Australia twice. About one week each time. I've also been to New Zealand. I planned my application for a checking account before I left on my last visit. I applied online and talked to the bank first. They opened the account and ordered me a debit card to pick up at my branch. I was able to add money to the account before I went (I used Transferwise) but couldn't withdraw funds from the account until I came to Australia and presented my ID (passport) at the bank.

 

One thing to be aware of when using ATMs or POS terminals with Australian debit cards in Australia, for your primary checking account, pick savings. Your primary savings account could be checking. It's the opposite and I'm unsure why.

Edited by Burgerwars

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So you picked up the debit card at a branch in Australia, or do they have branches here? That's my question about it. A lot of foreign banks closed their US branches a couple years ago. I had an account with RBC - they had bought out my bank. They sold all the retail branches, unwilling to operate under the new banking regs.

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With the ANZ debit card, they sent it to the branch in Australia I said I'll be at and I picked it up there. I also had to go to the teller window to set a pin. They have no U.S. branches.

 

With RBC Bank they sold their U.S. branch network to PNC Bank. RBC Bank customers that were also customers of RBC Royal Bank were not transferred to PNC but got accounts with a totally online RBC Bank so they can continue cross-border banking.

 

There's still TD Bank that's a subsidiary of TD Canada Trust and also BMO Harris, a subsidiary of BMO in Canada. I know of no plans for them being sold. Also City National Bank (headquartered in Los Angeles) is now owned by RBC and there are still a bunch of other foreigned owned U.S. banks.

Edited by Burgerwars

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Another pathetic post by presumably the Hege students.....

 

First, there is no quote or info in this post pertaining to the content and nothing posted to indicate that this article concerns Australia and NOT the USA!

 

This is also more of a rant as a opposed to a legitimate news story and the author claims that by not paying interest consumers can't obtain a superior credit score, which as we all know is certainly NOT the case in the USA. I think Hege just wants to pad his post count numbers....

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Yeah, I know about PNC. Our accounts became PNC accounts when RBC sold them. This bank originally was a little local savings bank. I've had accounts with them since 1995. Strange story - I moved back down here from Richmond in 1995, and needed to move my account to a bank down here. I had just changed the address on my driver's license - all the banks here told me I had to have lived here for 90 days before they'd give me an account!! Later I was told it's because so many people here are transient. So this little savings bank welcomed me when I called them to ask about their policies re new residents. They've always been good to deal with, flexible, even through all the buyouts and change in control. I think the local management stayed in place each time.

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Another pathetic post by presumably the Hege students.....

 

First, there is no quote or info in this post pertaining to the content and nothing posted to indicate that this article concerns Australia and NOT the USA!

 

This is also more of a rant as a opposed to a legitimate news story and the author claims that by not paying interest consumers can't obtain a superior credit score, which as we all know is certainly NOT the case in the USA. I think Hege just wants to pad his post count numbers....

 

 

You are mistaken.

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You know what? I've taken a vacation from here for a couple of months. Upon my return I've seen the most childish crap going on between several members here.

I find it totally disgusting and disappointing to see grown people act like 10 year olds. What the hell is the major problem?

 

I am giving each of you the chance the spill the beans.. Get it out, get it in the open.

 

And if you don't, then stop the petty kid stuff.

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My first post in 78 years. A few notes:

 

1) What works in Australia doesn't necessarily work in the Cayman Islands (or in the US). Anybody who's arguing with that basic truth is just looking to pick a fight, clearly, with those whose wisdom here is indisputable.

 

2) Of course with that said, in the most general sense, all "credit scores" are essentially designed to help banks predict who is likely to repay the money they lend. Even from the start, Bill Fair and Earl Isaac famously created their first FICO Score by calculating an obscenely large number of old fashioned Pearson correlations between [factor 1] "who defaulted" and [factors 2, 3, 4, ad infinitum] just about anything they could find on a credit report. Perhaps unsurprisingly they found that — wow — past misbehavior was the best predictor of future misbehavior. From there, they refined their formula to include other predictors that more mildly correlated with default (like shorter credit histories, etc.). And then of course they made a fortune helping banks find more profitable customers.

 

3) That last point — "helping banks find more profitable customers" — remains the central point of credit scoring today around the world. My dad, now in his late 70s, startled me at breakfast one morning a few months ago: "Randy, you've wasted your life trading what was going to be a promising career as a clinical psychologist for credit repair." Even ten or fifteen years ago I would have succumbed to the fight, but time, alas, has finally afforded me a measure of tolerance for the guy who actually footed the bill for that considerable but unused education. "Yep, dad, I did," to which he quickly responded, "So how can I get a perfect credit score?" My answer: "Why the hell would you even want one? The only difference between an 800 and an 850 is just how profitable you are to the big banks. An 850 means you're practically a Stepford Borrower."

 

4) So how to resolve the apparent discrepancy between LOW SCORERS who get charged higher interest and HIGH SCORERS who get charged lower interest? Well, it turns out that the HIGH SCORERS are most profitable in the long term because they practically always repay borrowed money that they qualify for again and again and again. The LOW SCORERS are still a financial drain despite their higher rates due to their greater probability of default.

 

5) And yet, given the choice, what would you rather be — someone who qualifies for better rates BUT WHO IS ALSO HELPING GREEDY BANKERS GET RICHER — or someone who qualifies for worse rates BUT WHO THUMBS HIS NOSE AT POWER BROKERS? Eh, let's get real and agree with breeze. I'll take the lower rates every time. Sure, capitalism has its dark side, but — have a look at North Korea, Cuba, Venezuela, et. al. — the alternatives that we humans have created surely look to be far worse.

 

6) As LKH just suggested, some folks are letting their inner children act out just a bit too much here. In that regard, I'm seeing people step over what looks like [fake statistics alert!] 85% agreement in order to dig up the 15% disagreement that frankly doesn't much matter anyway.

 

7) This is really just an excuse to say hi to my treasured breeze and LKH who — given their participation here — may indeed actually get to see my greeting! I miss the days when probably less than a dozen "pioneers" (with breeze and LKH at the top of the list) literally created effective credit repair from scratch. :wave:

 

Regards!

 

Randy

Edited by PsychDoc

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Since no one responded to my offer, I will assume that all the back and forth shenanigans will cease?

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My first post in 78 years. A few notes:

 

 

 

7) This is really just an excuse to say hi to my treasured breeze and LKH who — given their participation here — may indeed actually get to see my greeting! I miss the days when probably less than a dozen "pioneers" (with breeze and LKH at the top of the list) literally created effective credit repair from scratch. :wave:

 

Regards!

 

Randy

 

 

:cry2::cry2: No one ever remembers radi8 and me. ( :rofl: )

 

Randy, it's so good to see you! Hopefully it won't take another 78 years to see you again :)

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