Do Smart People Have Credit Problems?
December 9, 2009 · Print This Article
Why do people have credit problems? It is easy to look at those mired in debt from a distance and say that they just did not know any better, but is this true? Does a familiarity or even an intimate knowledge of financial matters shield one from personal credit problems?
Does knowing the mistakes that most often lead to these problems protect you from them? Basically, the question is this. Do smart people have credit problems?
Someone Else’s Problem
It is easy to be on the outside looking in and to point out what went wrong for those facing credit problems and mounds of debt. In fact, the causes of the situation and even ways to avoid such situations can seem painfully obvious to the average onlooker. So many people use their credit cards with wild abandon and others just live beyond their means.
If only these individuals would learn not to spend money that they do not have then their finances would never reach a state of ruin. It is too easy to be on the outside looking in and offering these simplistic explanations. There is so much more to the story.
Are Smart People More Prone To Credit Catastrophe?
There is a possibility that those who are well-versed in matters of finance and credit are even more susceptible than those who are not. Some people who know so much about financial matters somehow feel that this knowledge makes them immune to financial mishaps. Sadly, this is not the case.
Think about this scenario in another one of life’s arenas. How much do you know about healthy living? Do you know enough about proper nutrition and regular exercise to lead a lifestyle that promotes optimal health? And do you lead that lifestyle?
Just because you know how to eat in a way that is healthy that does not mean that you always avoid junk food. Just because you know how much exercise you should be getting on a weekly basis that does not mean that you exercise as often as you should. In the same way, many people know how to avoid financial credit problems.
They just don’t.
The issue is that those who know how to avoid the downfalls of poor credit usage might think themselves impervious to financial harm even though they can fall just as easily as anyone else. Knowing how to handle your finances properly is not the same as doing it.
So Why Do Otherwise Intelligent People End Up With Credit Problems?
The truth is that almost everyone understands the basics of properly managing their finances. You do not spend money that you do not have. It is as simple as that. Cash flow issues complicate matters, but it is not just those who have these issues who end up in dire straits.
There are many explanations, actually. People do not want to think about financial limitations. They do not want to face problems as long as they still have credit left. They want to maintain a lifestyle.
It is not that smart people do not have credit problems. They do. They can just explain their personal credit problems in more complex financial terms. It is not a wealth of knowledge or an extensive financial vocabulary that shields anyone from personal credit problems. It is only through doing the necessary budgeting and money management that anyone maintains a bright financial picture. Now that’s smart.
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It causes problems, because alot of business dont have cash on hand to pay for things. They have been relying on cheap and easy credit, so now they can not get loans. There is such a demand for cash that our dollar is going up even though we have really low intrest rates which devalues the dollar. You can get a loan for longer term things but for day to day loans everyone is to scared to loan out money. Which causes business to freeze up.
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New Credit Rating: Casella Waste:
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If your buying a home or vehicle all inquiries made in a 14-day period are lumped together and only count as one, they all show but your score only gets dinged once.
As far as the rest of the things you mentioned you can look for a small drop of 3-5 points per inquire.
They show on your report for 24-months but only affect your score for about the first 6-months.
I know it doe's not seem fair but we all go through it.
credit rating Are There Risks…
Thatz it I'm looking for spouse w/ good credit !! We can combine of scores and income !! Lol
Exactly!
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Almost all mtg lenders do not look at your score – even though they get them.
They analyze your report, your employment history and your salary.
Forget the score – make sure your reports are perfect, and you have little debt.
/
It also depends on what state you live in,, go to search and put in statue of limitations, you will find your state and also explains date of last contact….if you fall into the guide lines then they are harassing you
Did you ever consider that maybe you ought to examine all 3 credit rating bureau credit rating scores? That thought has occurred to a whole lot of folks, some have even acted upon it. Most simply ponder over it briefly, then dismiss the idea, usually they don’t understand how you can approach it, in other cases simply because it’s just a large unknown, still others simply because they believe they cannot do it.
I think this video is being presented as an American policy within its own national borders. It has to do with making improvements to their own system. That is my understanding, ask Peter Appleseed for more info.
all of these commercial aree awsome , every single one has got stuck in my head at some point
Money Management : Help With Debt Problems: Get help with debt problems by contacting a consumer credit counsel.. #news
I clicked on this video thinking it would offer useful advice on how to increase your credit score. In this current time, most people have experienced huge losses to their credit score – it seems futile for a show to reiterate the problem and not present solutions. Instead of telling us why we have bad credit – use your vehicle to convey how to positively affect our financial lives.
Visa seek to ease debt problems:
http://www.clearstart.co.uk – Credit card firm Visa plan to help people avoid debt prob… http://bit.ly/cfOJTm
good one, but folks dont ever try this at home
we have to go back 1+1=2 not 1+1=what ever the fed needs , grt post will sub
Front bad credit? This day does not prevent you from equipping the application and approval for a loan. Yes, you can now even bad creditors for their financing needs by bad credit loans . borrowers with FICO scores below 580 and bad credit problems like CCJs, IVA, arrears, defaults, arrears and bankruptcy creditors are bad. [...]
Money Market Funds Can Rely on Credit Rating Agencies
A credit score is a number based on a complex formula that takes in a number of financial factors to help lenders know how likely you are to make reliable credit payments. #credit scores #credit reports #financial
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I will comrade ! Then together, we shall redistribute the wealth of nations !
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I clicked on this video thinking it would offer useful advice on how to increase your credit score. In this current time, most people have experienced huge losses to their credit score – it seems futile for a show to reiterate the problem and not present solutions. Instead of telling us why we have bad credit – use your vehicle to convey how to positively affect our financial lives.
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