New government credit agency to replace EQ/TU/EX, etc.?

[Burdell]

"The proposal suggest building a publicly run credit reporting agency within the CFPB that would eventually, over the course of seven years, replace the current for-profit credit system in America. The Agency would be steered by consumer need rather than the bottom line, according to proposal author Amy Traub."

 

Article here: https://fortune.com/2020/12/18/biden-public-credit-agency-economic-justice-personal-finance-racism-credit-scores-equifax-transuion-experian-cfpb/?xid=soc_socialflow_twitter_FORTUNE&utm_campaign=fortunemagazine&utm_source=twitter.com&utm_medium=social

 

Proposal site here: https://www.demos.org/sites/default/files/2019-03/Credit Report_Full.pdf 

[hdporter]

I welcome government intervention in those instances where private enterprise is ill-suited to maximize the public good.  But no one is going to convince me that the government has any place when it comes to managing the information resources that are relied upon in the allocation of credit in the private sector.

 

I'm particularly troubled by the suggestion in the Demos paper that the credit system should be used to right the economic consequences of past civil wrongs (i.e. racism).  There are legislative means by which to initiate remedies, where appropriate.  You don't need to circumvent or corrupt a private credit system in order to achieve such goals.

 

< I'll leave off there ... things get political beyond this point >

[Burgerwars]

I doubt it will happen. Long timeline too. The credit reporting agencies will be working overtime bribing Congress. Not likely to go anywhere, in my opinion.

[IndyPoolPlayer]

Imagine a Government agency dominated by Chicago Machine types in charge of determining whether you are creditworthy or not.

[Burgerwars]

10 hours ago, IndyPoolPlayer said:

Imagine a Government agency dominated by Chicago Machine types in charge of determining whether you are creditworthy or not.

It already is. TransUnion is headquartered in Chicago.

[insolent1]

If you like your DMV's customer service, if you like your VA healthcare, if you like the Bureau of Indian Affairs schools, and if you love the IRS zero mistake reputation; you'll be over the Moon at the US government's implementation and operation of a Credit Reporting service run by bureaucrats with zero effective oversight by anyone in government.

[hdporter]

Leave the DMV out of this!  I'm still absolutely dumbfounded that in GA you can process your auto registration renewal online and confirm that you're insured and that you've updated your emission inspection, pay the fee by credit card, and then head over to the local supermarket where a vending machine will dispense your license tag!

 

Last place on earth I would have expected such efficiency ... wish there were a way to export this expertise.

Edited March 19, 2021 by hdporter

[cv91915]

We really need to stop judging people's creditworthiness by whether or not they pay their bills.

[CTSoxFan]

9 hours ago, hdporter said:

Leave the DMV out of this!  I'm still absolutely dumbfounded that in GA you can process your auto registration renewal online and confirm that you're insured and that you've updated your emission inspection, pay the fee by credit card, and then head over to the local supermarket where a vending machine will dispense your license tag!

 

Last place on earth I would have expected such efficiency ... wish there were a way to export this expertise.

 

Similar here as well.  Can renew online.  Inspection is automatically uploaded into database by inspection station (which are widely available places like local garages, Jiffy Lube's, etc.).  Sticker is sent via mail in a week or two.  For those who can't do online, you can also accomplish this at your local grocery store.

[CTSoxFan]

On 3/13/2021 at 7:51 PM, hdporter said:

I welcome government intervention in those instances where private enterprise is ill-suited to maximize the public good.  But no one is going to convince me that the government has any place when it comes to managing the information resources that are relied upon in the allocation of credit in the private sector.

 

I'm particularly troubled by the suggestion in the Demos paper that the credit system should be used to right the economic consequences of past civil wrongs (i.e. racism).  There are legislative means by which to initiate remedies, where appropriate.  You don't need to circumvent or corrupt a private credit system in order to achieve such goals.

 

< I'll leave off there ... things get political beyond this point >

 

Agree, you're trying to solve a problem but with the wrong solution.  if the government wants to help, keep watch dogging the bureaus to make sure they are reporting fairly and accurately.  I don't think that the federal government  can be more efficient.

 

Also, (I don't know if it is mentioned behind the paywall portion), but revenue from consumers only makes up about 10-15% of the credit bureaus overall revenue (according to EX & EQ annual reports). The majority comes from lenders purchasing the data for credit decisions or companies using it for marketing purposes.  So you are railing against them being for profit and not protecting the consumer, but the consumer is not a large portion of their business.

[cv91915]

I will bet that this is at somehow related to the long-term plan to strong-arm FHFA (Fannie/Freddie), VA, FHA, etc. to use scores for mortgages that are less effective than the current score models for actually assessing default risk (BECAUSE THAT'S UNFAIR).

 

It's coming.  I promise.

 

Edited March 19, 2021 by cv91915

[insolent1]

DMV efficiency? 

Wait until you try to register a homebuilt trailer or to transfer an out of state vehicle you just purchased into your home state and get it registered.

Years ago, I bought a brand new Harley Davidson motorcycle. Someone at DMV transposed two letters in the VIN. I was riding around on an unregistered and illegal motorcycle that was never manufactured in the eyes of State government. It took about an hour to resolve it with my lender and my insurance company - while it took over a week to get DMV to admit they screwed up and reissue a new title, registration, and accept the insurance and lienholder.

Not everything at DMV is as simple as tag renewals.

 

[Second Chances]

On 3/18/2021 at 11:06 PM, hdporter said:

Leave the DMV out of this!  I'm still absolutely dumbfounded that in GA you can process your auto registration renewal online and confirm that you're insured and that you've updated your emission inspection, pay the fee by credit card, and then head over to the local supermarket where a vending machine will dispense your license tag!

 

Last place on earth I would have expected such efficiency ... wish there were a way to export this expertise.

I generally agree about Georgia’s DMV/DDS, with the exception of my most recent encounter. I got married in October and went to update my driver’s license in November (had to wait on certified copies of marriage license at a time when the pandemic had the courthouse mostly closed). Brand new license on newest design (apparently they update them like crazy in GA) and new photo; however, I received a letter this week that my license expires on my birthday next month. When y’all updated everything else, you couldn’t update the expiration date?

[hdporter]

4 hours ago, Second Chances said:

I generally agree about Georgia’s DMV/DDS, with the exception of my most recent encounter. I got married in October and went to update my driver’s license in November (had to wait on certified copies of marriage license at a time when the pandemic had the courthouse mostly closed). Brand new license on newest design (apparently they update them like crazy in GA) and new photo; however, I received a letter this week that my license expires on my birthday next month. When y’all updated everything else, you couldn’t update the expiration date?

 

The 6 month lead time is what was at issue.  GA has a 150 day window in advance of renewal when they require your license to be renewed at the time of any name change.

 

I wish, for your sake, that had gone with 180 days ...

[Burdell]

On 3/18/2021 at 11:06 PM, hdporter said:

Leave the DMV out of this!  I'm still absolutely dumbfounded that in GA you can process your auto registration renewal online and confirm that you're insured and that you've updated your emission inspection, pay the fee by credit card, and then head over to the local supermarket where a vending machine will dispense your license tag!

 

Last place on earth I would have expected such efficiency ... wish there were a way to export this expertise.

I've used the tag renewal kiosk at my local Kroger for the past 3 years. Love it!  I've never had to wait in line, and it takes about 5 minutes to complete your transaction. They do charge you an extra $3 or so as a convenience fee, but I consider it money well spent.

[centex]

12 hours ago, Burdell said:

I've used the tag renewal kiosk at my local Kroger for the past 3 years. Love it!  I've never had to wait in line, and it takes about 5 minutes to complete your transaction. They do charge you an extra $3 or so as a convenience fee, but I consider it money well spent.

Kiosk?  Hell...I renew my tags online. 

 

Texas created a system that links up insurance to the tag system and the online system has a capacity to enter the new policy number if you had something so new that eSure had not yet matched up. 

 

Costs a few bucks for the convenience fee but the tags arrive within a week or so.