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How Equifax Became a Private IRS

mattstoller.substack.com

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Re: How Equifax Became a Private IRS

#181

Post by nwiswell »

czbond wrote: post #72
nwiswell wrote: post #46

Earlier quoted context omitted.

Perhaps I'm misunderstanding something about the point you're making, but in 2023 the third party creditor already must approve any transactions where credit is extended (e.g. credit card) Credit bureaus remain uninvolved with cash transactions since, er, well, there's no creditor to be concerned about creditworthiness? I don't see how "supercapitalism" changes that

If you replace "Credit Bureau" with CBDC (Central Bank Digital Coin) it would ring very true or the probable future.

Alright, that's a little bit different, but doesn't that just imply that Bitcoin or Monero become "cash" in case you need to Do Some Crimes?

Re: How Equifax Became a Private IRS

#182

Post by nwiswell »

jessaustin wrote: post #70
nwiswell wrote: post #46

Earlier quoted context omitted.

Perhaps I'm misunderstanding something about the point you're making, but in 2023 the third party creditor already must approve any transactions where credit is extended (e.g. credit card) Credit bureaus remain uninvolved with cash transactions since, er, well, there's no creditor to be concerned about creditworthiness? I don't see how "supercapitalism" changes that

You haven't seen any of the anti-cash propaganda, some of it here on HN? The interests behind that are also behind several other disturbing changes.

Square peg, round hole. Has nothing to do with credit bureaus.

Re: How Equifax Became a Private IRS

#183

Post by lmm »

xxpor wrote: post #176
lmm wrote: post #59

Earlier quoted context omitted.

> If you take a loan and pay it back on time, you'll have high credit. Unless you're on the Equifax blacklist. Journalists who wrote anti-equifax articles tend to find their way there, as do ex-girlfriends of upper management. And conversely women who do NSA hookups with a VP or above tend to find their way onto a whitelist that boosts your credit score by 150 or so - it's considered an unwritten perk of the job. (Th…

This is a good reason for most finance companies to take the middle of the 3 scores.

That helps some, but realistically it's a small industry and there are lots of channels (formal and otherwise) linking the competitors. A lot of people working at one previously worked at another.

Re: How Equifax Became a Private IRS

#184

Post by refurb »

tarranoth wrote: post #142
refurb wrote: post #139

Earlier quoted context omitted.

I don’t follow. Shopping with a credit card literally involves managing a line of credit. You don’t see how that relates to creditworthiness? You also believe purely income information is a better indicator of credit worthiness? It tells you almost nothing (which is why income plus all current expenses is used).

A mortgage is about the ability to pay back hundreds of thousands over an extremely long time period. Your normal shopping is a blip, and it makes barely any difference because normal people just use their credit card the same as if it was a debit one (the only difference you pay it off at the end of the month). So it doesn't tell me anything about your ability to handle real credit. What do I care that you pay off a…

I don't think you understand how the average person handles credit card debt.

Plenty of people fail to pay even monthly credit card debt. That a massive,massive signal to how they'd handle larger amounts of credit.

Re: How Equifax Became a Private IRS

#185

Post by refurb »

33955985 wrote: post #172
refurb wrote: post #117

Earlier quoted context omitted.

But if you don’t use credit the system any rating has no impact on your life? Again, this seems like people want low interest borrowing without the “icky” problem of having to answer for their past failure to pay debt. The world doesn’t work that way.

You seem concerned with a “moral failures” aspect of debt, which doesn’t make for an interesting discussion. If you’re not interested in the complex system of algorithmic finance and its intersection with poverty and generational wealth, I’m not sure there’s much of a discussion here. I already mentioned that some well paying jobs (the kind that people stuck in debt traps would most benefit from) require an active cr…

There are no "moral failures" so I'm not sure where that comment comes from.

Either you can pay your debt or not. If you can't, others will use that to infer other things about your suitability for various things like jobs.

The credit score isn't the issue, it's just the medium for transmitting information. Background checks can uncover the exact same issues. I can call your neighbor and ask if what kind of a person you're like and decide not to give you a job based on that answer.

That's just life - actions have consequences.

Re: How Equifax Became a Private IRS

#186

Post by bix6 »

vuln wrote: post #31
bix6 wrote: post #25

Earlier quoted context omitted.

Many people I’ve talked to have very little idea what the factors affecting their credit scores are. Many are unaware or uninterested. I have helped many people improve their credit scores because I have spent hours learning how to game this system. Much of this information is not taught to people until they need credit at which point it’s too late to start establishing a history and your best bet is some bs predator…

Have you thought about publishing your tactics in gaming the credit system?

As someone else mentioned there is a ton of existing content. The problem is people don’t look until it’s too late because nobody cares about this stuff until it causes issues. Unless schools start teaching real life financial basics the problems will continue.

Credit Karma has been one of my most useful resource for improvements because they break down the factors very well. Many banks have stepped up their game but some don’t give you as much detail.

Re: How Equifax Became a Private IRS

#187

Post by epgui »

refurb wrote: post #129
epgui wrote: post #113

Earlier quoted context omitted.

> Minute differences in the score (573 vs 605) don't really impact you Don't they, though? How do you know? For a person who gets refused access to some important service or product because they're just 1 point under some arbitrary and unknown threshold, yes there's an impact.

No, they don’t make a difference. Generally credit scores falls in wide bands that give a general credit risk. 573 vs 605 are both very high risk and you’re getting slammed regardless. The scores are no more arbitrary than the requirement that bankruptcies roll off your score after 7 years. It’s not 6 years, or 6 years and 364 days, it’s 7 years and yes being on either side has a massive impact.

> 573 vs 605 are both very high risk

Those were just random numbers I made up. With only a little bit of imagination, you can consider the significance of other number discrepancies.

Re: How Equifax Became a Private IRS

#188

Post by e40 »

jimz wrote: post #180
cameronh90 wrote: post #148

Just the other day, I tried to sign up for a monthly rolling account with Sky TV so that I could watch The Last Of Us. About 20 minutes after I signed up, they cancelled my account due to a failed non-credit "identity check" with Experian. They won't tell me any information about what the issue is due to "data protection" other than to say there's nothing that I or anyone else can do. My credit report looks fine but…

There's a lot of incorrect data floating around, but then again, that's not really a problem limited to Experian (I've seen it with all credit reporting agencies), and it's not even limited to private entities. I would even say that it's less of a concern when it comes to the ramifications. About 15 years ago the police showed up at my parents' house looking for "me", and as it was a Friday evening, it took until Tue…

Wow. Thanks for sharing. What a system we have wrought.

Re: How Equifax Became a Private IRS

#189

Post by fragmede »

refurb wrote: post #118
fragmede wrote: post #53

Earlier quoted context omitted.

You're assuming the database is 100% accurate, and people never have their identify stolen. Which is demonstrably false.

No I’m not. Accuracy has nothing to do with my argument. And no system is 100% accurate, so your point is moot anyways.

If you actually understand that then how can you still hold that position?

Anyway, your argument's been refuted more eloquently than by me, so I'll leave you to it.

Re: How Equifax Became a Private IRS

#190

Post by 9WwFaLaTtBDaoS »

cameronh90 wrote: post #148

Just the other day, I tried to sign up for a monthly rolling account with Sky TV so that I could watch The Last Of Us. About 20 minutes after I signed up, they cancelled my account due to a failed non-credit "identity check" with Experian. They won't tell me any information about what the issue is due to "data protection" other than to say there's nothing that I or anyone else can do. My credit report looks fine but…

The last time I went to rent a vehicle I got denied due to my credit (lack of, I pay cash for everything so have nothing on my credit reports).

This despite the fact that I had been renting from this _same exact place_ for years prior. I was so enraged by this I said fuck it and went and purchased the vehicle (with cash) I was planning on renting and it will be a cold day in hell before I ever rent a vehicle again. How many industries are so anti-consumer and still in business?

In many ways, covid has emboldened a lot of companies to behave in shitty ways.

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