Just went through a mess trying to finance a used car. I haven’t borrowed money since 2012, no debt, no credit cards, just living within my means. When I applied for a loan, I was told I was refused. Not because of bad credit, but because I hadn’t used credit recently enough.
The dealership advertises “no applications refused,” but apparently if you don’t have an active debt history, you’re too much of a mystery for the system.
Co-signer? Not allowed. Using my own bank account for payments? Denied. Their solution? Open a joint account with my dad just to satisfy a bank’s paperwork, pay hundreds in fees over 6 years just to make it work.
The credit system says you can’t borrow money unless you’ve already been borrowing money, like somehow living within your means disqualifies you. It’s not about good credit, it’s about loyalty to the debt game. Screw you for standing on your own feet, I guess.
Just needed to get that off my chest. Anyone else run into this nonsense?
I just happened to screenshot the metrics for the Trans Union “Vantage 8” score a while back. Hopefully this helps someone understand what is needed to improve their score. I am not a fan of the whole thing, but since I don’t have a choice, I have to participate until it can be dismantled.
Man so how about I had to have a soft inquiry of a background / credit check just to get on an industrial site to do my job recently. Like how is that in my control at all lol. Thankfully that’s not the norm, most of them just do a piss test, but like what if every time I traveled it was another credit check? Wouldn’t that hurt my score if it was a frequent thing?
Soft checks don’t matter as much as hard checks do. A lot of places that will check your credit score hardly care about soft checks, if at all. I think I have heard that soft checks don’t negatively impact one’s score at all, but I’m not too confident on that. But even if it did negatively impact your overall score, it’s important to remember that places that are checking your credit aren’t just getting the score — that’s mostly just an abstraction to help us to get an overview. Lots of hard checks on your credit do end up having a significant impact on your credit rating, but mostly because it paints a picture of someone who is desperate to get credit and is perhaps not managing money well. A potential lender will be able to see what the checks are for, and they can evaluate that in context.
Unfortunately, there are hundreds of different models so simply the consumer free Vantage 8 doesn’t necessarily facilitate a ton.
I have terrible general credit, but my car financing credit is nearly perfect. Because they typically use specific models.
Yeah. I thought there were like 1 or 2 for each credit reporting agency, but noooope! They each have a bunch of them.
VantageScore 3.0 VantageScore 4.0 VantageScore 4Plus
FICO 10
C’non, enough…