re: Are Credit Scores Racist?

No it's personal responsibility. I DESTROYED my credit when I was in my early 20's and worked my arse off to fix it by making responsible financial decisions. It shouldn't be easy for everyone to get what they can't afford.

Gotta love the community reinvestment act to make sure them baws with bad credit can still receive then default on a loan.

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Are Credit Scores Racist?

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No. People just try to live above their financial means. And they lose track on how much they spend.

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I wonder what will be considered racist tomorrow?

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Mayonnaise, printer paper, polar bears, the white backdrop of TD?

I worked at a financial institution where I had to pull credit all of the time.

An interesting observation I made during my years there, the credit gap between blacks and whites existed across all incomes.

I work in banking and have had several black coworkers tell me that its simply not a priority within the majority of black culture to pay bills on time. It's as simple as that.

This is basically a microcosm of the issues of today. Groups want what they did not work for handed to them. Like a bunch of sniveling kids who want something every day to be satisfied.

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It identifies people who are good at borrowing and repaying money.

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Yeah, but credit scores can fall for reasons that have nothing to do with this.

Pay off your credit card and cancel your account? Your credit score drops.

Too many businesses request to look at your credit report? Your credit score drops.

I worked at a finance co, mortgage broker, and bank. The main thing I take away is that it is a cultural thing. Money today is money spent. There is a skepticism or wariness of large financial institutions, so many deal mainly with fast easy credit sources. This is reflected in lower scores because of high-risk practices. This is across incomes.

Many had debt financed for someone else who had bad credit but didn't understand the consequences of that. Also, if it is a 3rd party payee and not the original creditor, they will ignore it. That is why mortgages that are sold become an issue for some people.

I believe there is a general misunderstanding of finance by a lot of people (of many races), but it is cultural how people handle it. Lending is actually a volume business, so some in that business will take advantage.

I also had many people who didn't understand student loan debt. They thought that if they didn't get a job, they didn't have to pay for the school. I believe a lot of this is to blame on the government and schools how they push this as well as the students themselves.

That being said, credit scores are a racket, but if a person has a low score, it is usually pretty accurate. Also, people think scares are solely based on history which is not the case. It is based on risk. I don't think the majority of people who comment on this in government or the media understand this.

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ESPN is racist

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Naw the SJW love ESPN