#credit report with score
Saying “Wasted” On Facebook Can Affect Your Credit Score
The credit systems is quite screwed up. I worked a shitty McJob full time during summer and part time during school (except for the last year where I decided to focus on my studies). Managed to be one of the very few people with a degree and no debt without Mom and Dad paying for it. and was proud of this. Got a decent job, was still living at home so built up some decent savings, payed for most stuff with cash or debit. Eventually decided to get a credit card, and yup, had to deposit a chunk of cash that I couldn’t touch for 6 months before they’d give me one. This would seem entirely reasonable to me, except by this point my sister was in university. student loans (in her defense, her program was many times more expensive than mine..), and no income (she worked summers but not during the school year). and banks (including mine, RBC) were practically throwing pre-approvals at her.
Fast forward about 10 years, I now own a house, have a mortgage, a line of credit, credit cards. basically if I added up all the credit I have available to me it would be multiple times what I make in a year). and I get calls all the time from the big banks trying to give me even more.
There was a good(ish) documentary a few years called Maxed out on Debt. if you ignore the annoying drama stuff in the middle, there’s some good frank interviews that explain a lot of it. They _want_ people who arn’t completely broke but can’t afford the credit so they’ll keep making minimum payments forever. They want to load you down with more credit than you can afford so you get on that treadmill.
I’m kinda on the fence with regards to how I feel about this. One one hand, the banks are doing some shady stuff and directly trying to set people up for financial disaster for their own benefit. On the other hand, they arn’t forcing people to use their credit cards beyond their means. Personally I’ve managed to never pay interest on any of mine. I guess it’s gotta be a middle ground. Much as I hate nanny-state type stuff, I feel like this is one area we may need the government to come in and save people from themselves by restricting how much credit a person can hold based on income or something.