We have all seen some of the sacrifices military folks have made over the last four years. I'm not talking just active duty regular Army or Marines here, but Guard and Reserves as well. You know who you are. To everyone who puts on a uniform and straps on a weapon to serve this country, SALUTE!
This former Army brat knows the sacrifices you and your family have gone through. Nope, I've never carried a weapon for my country. Probably could if I had to, but never did. However, I now have a father and uncle who are disabled Vietnam vets. Both were infantry and Pops was a career man. (SALUTE Pops!) He's nearly deaf now and my uncle was impacted by Agent Orange. Last I heard, he's blind and paralyzed. (SALUTE Rick!)
This next tidbit is a little too late for them, but we as a country are finally recognizing what these folks have gone through. Americans are now supporting their troops, as long as it doesn't interrupt their shopping or their busy lives. (Don't get me started.)
Anyhow, I want to let you in on a little known secret. For you active duty guys and gals out there, a lot of institutions will provide you with extras. All you have to do is ask. The bank I work at provides something called the Servicemembers Civil Relief Act Program. Apply for credit there and receive APRs that will knock the socks off Donald Trump. There's more, but I can't get into it. ASK, and ye shall receive. This cowboy has always said, "Nothing ventured, nothing gained." So ASK. You and yours deserve it. 'Nuf said.-SH
Oct 23, 2007
Oct 10, 2007
In The News: Credit Scores Changing
Your credit score could soon be changing, according to news released by Fair Isaac, which calculates the FICO score used to determine your credit card offers, rates for home and car loans, as well as rewards packages. Have a low FICO score and your offers won’t be as irresistible as someone with a perfect score of 850.
What’s changing, you ask? Fair Isaac recently announced they would not recognize authorized user accounts. These are frequently accounts created by one person, the primary, and another person is added, sometimes as an afterthought. It’s common to see these accounts created by parents and then offered to Junior as a means to help build his credit history and score.
Sometimes a spouse will open a credit card account without the presence or knowledge of the other spouse and decide to add the latter. Because this person is added after the account is created, he or she would be considered an authorized user as well. How do you avoid that? List both spouses on the initial application. If no space is available, call the bank or institution and ask if they can add your spouse when you apply.
A little sidebar here: adding the spouse as an authorized user if fine, but don’t get angry with your credit card company because your spouse, the authorized user, cannot close the account, request a balance transfer or request new cards. The authorized user has some limited powers on account and can usually request information, but is prevented from making any major steps or actions.
Previously, if Junior was listed on the account as an authorized user, he would have the benefit of the primary’s account appearing on his (junior’s) credit bureau reports.
What prompted this was the ability over the last year for one to purchase authorized user status on a stranger’s account to rebuild your own history. This practice led to changes.
There are some steps Junior (or your spouse) can take to build his own credit history. If he or she has no credit history at all, they want to begin with a starter card, perhaps a small department store card. I would advise making a single small purchase once a month on the card for several months. Pay the bill in full every month and avoid finance charges.
If you’re not considered creditworthy by the banks, your child or spouse may need to begin with a secured card. This type of card requires a cash deposit. Usually, these cards can be converted to unsecured cards later on down the road.
If you’re running into roadblocks on applications or finding your requests for credit denied, you may want to pull a copy of your own credit bureau report. Americans are now entitled to a free annual copy of their credit bureau reports from each of the three agencies. Go to http://www.annualcreditreport.com/. That’s the only government-endorsed, truly FREE website created for the purpose of the Credit Report Mandate. The other websites are just copycats and will charge you something.
You can pull all three credit bureau reports at once if you want, but I recommend spacing them out. Start with Experian or TransUnion and then rotate between the three, pulling one every four or six months to stay on top of it. Put a note on your calendar and an alert to self in your Outlook. This is only going to give you the credit report, not the FICO score. I know you can purchase the FICO score there and I believe it’s $5.
If Junior or your spouse has a poor credit history, I would strongly encourage them to improve that by paying your bills on time. Fair Isaac bases more than a third of your FICO score on payment history.-SH
What’s changing, you ask? Fair Isaac recently announced they would not recognize authorized user accounts. These are frequently accounts created by one person, the primary, and another person is added, sometimes as an afterthought. It’s common to see these accounts created by parents and then offered to Junior as a means to help build his credit history and score.
Sometimes a spouse will open a credit card account without the presence or knowledge of the other spouse and decide to add the latter. Because this person is added after the account is created, he or she would be considered an authorized user as well. How do you avoid that? List both spouses on the initial application. If no space is available, call the bank or institution and ask if they can add your spouse when you apply.
A little sidebar here: adding the spouse as an authorized user if fine, but don’t get angry with your credit card company because your spouse, the authorized user, cannot close the account, request a balance transfer or request new cards. The authorized user has some limited powers on account and can usually request information, but is prevented from making any major steps or actions.
Previously, if Junior was listed on the account as an authorized user, he would have the benefit of the primary’s account appearing on his (junior’s) credit bureau reports.
What prompted this was the ability over the last year for one to purchase authorized user status on a stranger’s account to rebuild your own history. This practice led to changes.
There are some steps Junior (or your spouse) can take to build his own credit history. If he or she has no credit history at all, they want to begin with a starter card, perhaps a small department store card. I would advise making a single small purchase once a month on the card for several months. Pay the bill in full every month and avoid finance charges.
If you’re not considered creditworthy by the banks, your child or spouse may need to begin with a secured card. This type of card requires a cash deposit. Usually, these cards can be converted to unsecured cards later on down the road.
If you’re running into roadblocks on applications or finding your requests for credit denied, you may want to pull a copy of your own credit bureau report. Americans are now entitled to a free annual copy of their credit bureau reports from each of the three agencies. Go to http://www.annualcreditreport.com/. That’s the only government-endorsed, truly FREE website created for the purpose of the Credit Report Mandate. The other websites are just copycats and will charge you something.
You can pull all three credit bureau reports at once if you want, but I recommend spacing them out. Start with Experian or TransUnion and then rotate between the three, pulling one every four or six months to stay on top of it. Put a note on your calendar and an alert to self in your Outlook. This is only going to give you the credit report, not the FICO score. I know you can purchase the FICO score there and I believe it’s $5.
If Junior or your spouse has a poor credit history, I would strongly encourage them to improve that by paying your bills on time. Fair Isaac bases more than a third of your FICO score on payment history.-SH
Oct 2, 2007
Consumer Tip: Credit Card and Banking Safety
It happened again today. I work at a financial institution and every day we hear of a customer (or customers) giving out their personal information over the phone. Thieves have changed their tactics over the years, but they're all after the same thing- your personal information, including your routing and account number, and/or your credit card number. Give them your date of birth and/or social security number and you can just count on being tied up with law enforcement and collectors for the next year.
For several years, we've all heard of scammers phishing for information, often posing as your financial institution or a well known company you've dealt with in the past, like Microsoft or eBay. These emails will often carry the company logo or an icon with a link and inform you that your account has been breached or perhaps you need to update your personal information. Don't ever attempt anything of that nature using a link from an email. More than likely, it's bogus. If you suspect you need to contact the company in question, pick up the phone and give them a ring or go directly to their website.
Lately, scam artists have taken to the phones using similar tactics. Posing as collection agents or a representative of the company, they'll inform you that the last payment was missed and you need to make that now to avoid a late fee. We'll even take that payment over the phone. If you cannot verify that person's identity and if they cannot provide a call back number, hang up the phone. That caller may be seeking your credit card number, not to take a payment on your XM radio account, but to max out your line of credit. These clowns often have lengthy shopping lists and can max out a $10,000 line of credit in minutes, if not less. That's all it takes folks.
Lesson of the day: Do not share your personal information with anyone you do not know, especially to folks making unsolicited phone calls. If you believe it may be a valid call, get their name and offer to call them back. You can usually Google the phone number or check this link to see other possible reports on the same phone number: www.complaintsboard.com. -SH
For several years, we've all heard of scammers phishing for information, often posing as your financial institution or a well known company you've dealt with in the past, like Microsoft or eBay. These emails will often carry the company logo or an icon with a link and inform you that your account has been breached or perhaps you need to update your personal information. Don't ever attempt anything of that nature using a link from an email. More than likely, it's bogus. If you suspect you need to contact the company in question, pick up the phone and give them a ring or go directly to their website.
Lately, scam artists have taken to the phones using similar tactics. Posing as collection agents or a representative of the company, they'll inform you that the last payment was missed and you need to make that now to avoid a late fee. We'll even take that payment over the phone. If you cannot verify that person's identity and if they cannot provide a call back number, hang up the phone. That caller may be seeking your credit card number, not to take a payment on your XM radio account, but to max out your line of credit. These clowns often have lengthy shopping lists and can max out a $10,000 line of credit in minutes, if not less. That's all it takes folks.
Lesson of the day: Do not share your personal information with anyone you do not know, especially to folks making unsolicited phone calls. If you believe it may be a valid call, get their name and offer to call them back. You can usually Google the phone number or check this link to see other possible reports on the same phone number: www.complaintsboard.com. -SH
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