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Old 10-09-2021, 03:59 PM   #21
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If you are debt free, why are you concerned? We froze our credit at all agencies after the Equifax breach and we also opted out of credit card offers although we still receive them. We have three credit cards (Discover, M/C, Visa) that we always pay in full every month. We have never borrowed money to buy a car and we have not had a mortgage in over 14 years. However, we still get loan and line of credit offers from our bank. It all has to do with your credit score and regular income deposited into your account (I.e. pension). Our credit scores fluctuate between 828-843 and it always states "lack of mortgage history" on the adverse impact the credit score. I really wouldn't worry and in fact you should take steps to freeze your credit if you have not done so already. This will mitigate any adverse impact from identity theft.
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Old 10-09-2021, 04:09 PM   #22
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Originally Posted by Freedom56 View Post
If you are debt free, why are you concerned? We froze our credit at all agencies after the Equifax breach and we also opted out of credit card offers although we still receive them. We have three credit cards (Discover, M/C, Visa) that we always pay in full every month. We have never borrowed money to buy a car and we have not had a mortgage in over 14 years. However, we still get loan and line of credit offers from our bank. It all has to do with your credit score and regular income deposited into your account (I.e. pension). Our credit scores fluctuate between 828-843 and it always states "lack of mortgage history" on the adverse impact the credit score. I really wouldn't worry and in fact you should take steps to freeze your credit if you have not done so already. This will mitigate any adverse impact from identity theft.

I have my credit froze also, I had to unfreeze in order to get reviewed just to be denied for the Amazon Card

I'm now $243,000 in debt, maybe that will get me an Amazon credit card.
Nah, probably not, $100k is secured by my home and $143k is secured my stocks. But the Heloc, may show up on my credit history and sometime down the road I will get an Amazon cards like the adults!
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Old 10-09-2021, 04:34 PM   #23
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Who would have thought being debt free was a bad thing!
Welcome to the ranks of the undesirables.

Obviously, you are not going to generate a lot of extra interest charges, late charges, cash advance charges and other fees that generate a lot of bank income these days. People like you (and I also) are known as 'deadbeats'. Shame on us.

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Deadbeat is a slang term for a credit card user who pays off their balance in full and on time every month, thus avoiding the need to pay off the interest that would have accrued on their accounts. A deadbeat is also called a "nonrevolver" or a "transactor."
And here, I thought deadbeats were people who did not pay their debts. Foolish me. We should be swept up and put in the dust bin.
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Old 10-10-2021, 05:10 AM   #24
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Once I accepted the fact (IMO) that credit scoring is a scam and a sham, it was much more understandable why so many credit practices by financial institutions just donít make sense.

As far as getting denied for something that you did not apply for, the letter you received sounds familiar. I bought a used car from a dealer and paid with a personal check. I was in the middle of a home refi and did not want any activity on my credit file from a car dealer. A month later i got a denial letter from the dealer. Anyone reading the letter would assume I had applied for credit and been denied. It felt bad to be rejected even though I had not applied and I was furious because it couldíve screwed up my refi (it didnít). I called the dealer and they said tendering a check entitled them to run my credit. Once they get the credit report if no action is taken it expires and the denial letter is auto generated. Stupid.
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Old 10-10-2021, 07:56 AM   #25
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No, this hasn't happened to me, i.e., receiving a letter stating that I am not qualified for something for which I did not apply.

Last time I looked at the credit score/ mini report which comes with my credit card, I noticed my credit history had become shorter, down to 15 years. Since my mortgage was paid off 20+ years ago; record of that dropped off.

I expect I'll join the club of having some difficulty obtaining new credit cards when I retire, but we'll see. I don't apply often. I am not going to take out a HELOC now when I don't need or want one, so as to be able to obtain more credit in the future.

YMMV
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Old 10-10-2021, 08:31 AM   #26
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Once I accepted the fact (IMO) that credit scoring is a scam and a sham, it was much more understandable why so many credit practices by financial institutions just donít make sense.

As far as getting denied for something that you did not apply for, the letter you received sounds familiar. I bought a used car from a dealer and paid with a personal check. I was in the middle of a home refi and did not want any activity on my credit file from a car dealer. A month later i got a denial letter from the dealer. Anyone reading the letter would assume I had applied for credit and been denied. It felt bad to be rejected even though I had not applied and I was furious because it couldíve screwed up my refi (it didnít). I called the dealer and they said tendering a check entitled them to run my credit. Once they get the credit report if no action is taken it expires and the denial letter is auto generated. Stupid.



I wonder if this varies by state. We most definitely had to sign a permission to pull credit request. It has to do with the semantics of how they run the check ,in our case several manufacturer rebates and such had to run through and yada, yada... They just wanted a quick birdeye's view of our credit history.
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Old 10-10-2021, 09:33 AM   #27
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Just a thought, if you receive a letter rejecting you for credit you didn't apply for that could be a sign that bad guys are stealing your identity. Put a freeze on all you records in the big three (or is it now four) credit reporting agencies, ASAP.
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Old 10-10-2021, 10:51 AM   #28
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On the credit pull we wrote a check for our last car. The dealer said they would run a credit check before we drove it away but we had to sign for the credit pull

This is one of my pet peeves for purchasing a car when you have secured your own financing or pay cash - this credit check is for the sole purpose of offering you some kind of financing package (DH was a desk manager at a dealership for a time) through the dealership.

I always refuse (on principal) and they always say itís required. I always say ďno itís not - Iím not financing through youĒ. They say they need to check with their manager and, a bit spitefully it seems, make you wait for a while.

Then they return and say I donít need to do it.
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Old 10-10-2021, 11:20 AM   #29
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How does this work if you have your credit locked with the credit bureaus? Can they even run a credit check without your knowledge in that case?

Last time I unlocked was when I got a zero interest car loan in 2017 and switched cell phone providers at the same time. Locked it back up when those items were taken care of. I still monitor my credit but afaik, no one can run a hard credit report because my files are locked.
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Old 10-10-2021, 11:31 AM   #30
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How does this work if you have your credit locked with the credit bureaus? Can they even run a credit check without your knowledge in that case?

Last time I unlocked was when I got a zero interest car loan in 2017 and switched cell phone providers at the same time. Locked it back up when those items were taken care of. I still monitor my credit but afaik, no one can run a hard credit report because my files are locked.
If you have a credit FREEZE (this is the free one mandated by Congress) . They cannot check your credit.
I've had a credit card application denied as I didn't unfreeze my scores first.
Now I always temporarily (24hrs) unfreeze them , before I apply for a CC.
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Old 10-10-2021, 11:47 AM   #31
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We applied for the Amazon cc a couple of years ago and were denied because we had too much unused credit. With $200K in cc limits and a HELOC with no balance, they decided we were too risky . No mortgage for 20 years, cars always paid in cash and cc paid off monthly, credit score 800+. We recently applied again and were approved by a different bank.
They couldn't make any money off of you, so you were denied. They probably figured you would only use it for Amazon purchases. You carry no interest, and if you are using an Amazon credit card for credit card purchases, the seller (Amazon) pays the fee and the credit card company gets the fee (also Amazon). It costs them to pay themselves the fee; they gain nothing extra, since they already have your business.
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Old 10-10-2021, 11:57 AM   #32
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I see this as a positive.

I keep a 6-figure emergency fund, so similar to the concept of self-insuring, I self-bank. I paid off my house last year, have zero debt, and since 2000 when I decided to cut up and pay off all credit cards, I only use cash, debit cards and checks to pay for things.

The last time I allowed someone to pull my credit was earlier this year to move the electricity to my name (which turned out to be unnecessary because it rented right away) between tenants on a rental property. Before that was in 2019 when I bought my last car. I pay cash for vehicles, but have always heard that you lose bargaining power if the salesman learns you are paying cash before you agree on a price. They said my credit was good both times.
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Old 10-10-2021, 11:58 AM   #33
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They couldn't make any money off of you, so you were denied. They probably figured you would only use it for Amazon purchases. You carry no interest, and if you are using an Amazon credit card for credit card purchases, the seller (Amazon) pays the fee and the credit card company gets the fee (also Amazon). It costs them to pay themselves the fee; they gain nothing extra, since they already have your business.
I don't think that is the reason.

I believe Amazon thinks that having an Amazon card has a positive influence about shopping on Amazon. They make profit on everything you buy even paying a 1% fee to the CC issuer. Amazon's fee may even be smaller as there are not many Billion dollar sales in other companies. So Amazon would want to give a CC to just about anyone.

All other CC companies give me credit cards when asked, and they ALL pay me to take the CC. None make money off me as I pay all mine in full and have zero debts.

I sometimes am amazed they all do it for decades, giving me money, but then I talk to relatives & friends and realize they are all paying interest, and indirectly paying for me
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Old 10-10-2021, 12:20 PM   #34
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No, they can't run your credit if you're locked. I tried;

Car dealer said locked and neither Home Depot or my own bank would issue a card when I applied.

Pretty cool, I can't even get credit -
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Old 10-10-2021, 12:25 PM   #35
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If you have a credit FREEZE (this is the free one mandated by Congress) . They cannot check your credit.
I've had a credit card application denied as I didn't unfreeze my scores first.
Now I always temporarily (24hrs) unfreeze them , before I apply for a CC.
Yes. Freeze.
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Old 10-10-2021, 12:26 PM   #36
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This is one of my pet peeves for purchasing a car when you have secured your own financing or pay cash - this credit check is for the sole purpose of offering you some kind of financing package (DH was a desk manager at a dealership for a time) through the dealership.

I always refuse (on principal) and they always say itís required. I always say ďno itís not - Iím not financing through youĒ. They say they need to check with their manager and, a bit spitefully it seems, make you wait for a while.

Then they return and say I donít need to do it.

I didn't have a problem with it. It was a dealership 80 miles from home that we had no history with. We had only dealt with them by text. It was a brand new car and I understand they can't run the check ASAP. They were very pleasant to deal with, did not push their financing, so were AOK with agreeing to the pull.
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Old 10-10-2021, 01:48 PM   #37
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I have no debt. Credit scores was in the 800s. In March I bought a SUV and paid 20K down and financed the rest (9K) to get a better deal. I didn't want to do it but did. I now have a payment of $157 month for 5 years, which I could easily pay in full now. But since then, my credit score has increased to the highest it has ever been. I'm going to keep the payment for a while just in case I decide to make another move with my housing situation.
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Old 10-10-2021, 04:03 PM   #38
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The credit rating systems are a mess.
They're not optimized to reward the chance that you will pay it off.

They're optimized to reward the chance that you're a good investment return for a lender.

My brother was in a difficult marriage for decades. His spouse was a consumption beast and they lived on credit cards...but paid at least the minimum every month on time. Credit card company dream.

Once he was single and focused on getting his house in order, he paid everything off...but that long history stays with him.

I have zero debt and many multples of his assets.
I've never missed a payment on anything.

He has a higher credit score than I do.
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Old 10-10-2021, 05:24 PM   #39
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He has a higher credit score
Makes sense. Itís a credit score, not a Dunn and Bradstreet rating.
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Old 10-10-2021, 06:44 PM   #40
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Years ago I was denied a certain credit card. Their explanation was "under-utilized available credit". Okay then.....guess I didn't really want your credit card. No problem. Carry on.
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