Why The American Credit System Is So Terrible

Wow eye opening on credit system.

It pisses me off how people can ignore the fact that we go through real life situations

I have perfect credit. Buying as many assets as I can during the down turn. Very optimistic about the future.

I don't understand how you apply for credit and it effects your score for 26 months.... so you telling me that applying foe credit stays on there for more than 2 years???

Insurance blows my mind when they use your credit score to make you pay more. What i pay for car/home insurance shouldn't be raised due to credit scores. Your not taking a loan your paying for a future service.

There are ways to game the system, but you are correct that the more money u make your creditors the better your score, generally

It's so mind-blowing to think that if you never had to take a loan, if you only bought what you could afford out of pocket, if you never carried a debt in your life - you have a bad credit score. That makes no sense at all

the fact that your credit score can go down just because a company checks it is so fuckin bogus. it takes months to repair credit just because someone runs your credit for a loan approval or buying a new car for example. wtf

no solutions. only problems. geat

Love how the pay back system is a way to lower your score. The Amish don't have credit score but get loans

How'd you get sponsored by Amazon's audible???

I experienced paying off a car loan early and having my credit score lowered.

Audible is terrible for indie authors it offers them only 40% of profits and even less if they are not exclusive since amazon has so many users indie authors often have to accept this deal amazon is such a monopoly that a lot of other platforms with audiobooks acctually get them from amazon. The major ones that are not involved with audible are spotify and speechify. Please if possible seek alternatives for amazon it may not fix the underlaying problem but short term it may allow authors to be in a bit better situation

This video talks too much about race. Credit scores aren't inherently racist, it just reinforces the wealth hierarchy. Sure that discriminates against black people, but that is because they are statistically poorer. If you compare the impact of credit scores on a poor white and black Americans, it would be the same. Still a bad system because it clearly hurts poor people and intentionally benefits the rich. Not to mention the banks are taking zero risk because the bank bailouts over and over again

That's terrible, but what about money lenders wanting some prove that the person they're lending money to have some trustworthiness and it isn't a scam? Is there a solution for that?

Disappointed in this video,. you called out a lot of problems with Credit Scores,. but didn't offer any better feasible solution. How should a Business or a Bank ascertain the financial worthiness of a potential customer ? (for big purchases). Obviously for small things like Gas or Fast Food,. that's not needed. But for big things (say, renting an apartment),.. there is inherent risk in that transaction. If there was no background-check or no way to ascertain someones financial history,. then scammers and con-artists could just go around "buying" big ticket items and never paying for them.

If you have bad credit, get a cat. Cats will improve your credit score by hundreds of points. Not even capitalists can resist the pain of hairballs.

I've been saying for years it isn't fair that because I decided as a child I wanted to go to college to study to be an artist, I live with lower paying jobs. Because I have lower paying jobs I often have more month than money. Because I've had months of struggle to get bills paid my credit score has taken a hit over the years, and now if I need a loan, like for a car, my interest rate is really high. So basically, because I'm part of the working poor, many things in my life cost a lot more than people who make a lot of money and are given really low interest rates.

Credit score equals total scam!

One thing that has always bothered me is utilities. If you pay your cable/power/cell/etc bills on time every time it doesn't adjust your score at all. Pay late 1 time and you take a hit. Most companies outside of mortgages and credit cards don't report positive history, only delinquencies.

"CCP"

Ive heard that bad credit is better than no credit, which makes zero sense to me. I would be willing to lend money to someone who has never asked for it, than someone who proved they were bad with money. Less money lost and all.

Not to mention that companies can charge you for a service you never even used by charging for the service before you even use it. Then, if you don't pay it, it can be sent to collections to ruin your credit... All for something you never even got.

Because it didn’t exist until the 80s.

It’s a lie.

what a crappy banking system. no reason whatsoever to move to that sick country.

Let me run america so I can save us

And why arent all bills factored into credit? Like i pay rent, car, car insurance, phone bills all on time

Medical debt is bullshit

Never understood why our solution to people with a lower (privatized credit) score, is to charge way more to poor people and annual fees, keeping them trapped in debt

The FICO system is so very flawed. And this is coming from someone with an average score of 810. 🫤

I'm sorry, but if you know offhand that something is absurd but say it anyway, "Bankers, usually white men, got to decide who to give credit to on the basis of, 'Hey, I like this guy, let's give him some money..." how am I supposed to take the rest of the video seriously?

muh social credit xing ping china bad

lefty propaganda

I've lived in hotels since 2007. I know you'll never own anything in America and I don't want anything to do with middle class or wealthy housing communities I have had everything including walk to work the mall movie theater groceries everything you middle class have to blow $$$ to get to. And I live in Tucker Georgia.

This real history is what the politicians want never to be told in school because the truth makes white people in America look bad well you shouldn't have did it.

After the lockdown I stopped caring about credit

When you walk behind the bull on Wall Street, be careful where you step.

The system isn't broken, it's fixed.

I think everybody should default I'm all their bills stop paying taxes let all collapse, start all over this time with people who are smart. And that predatory.

I had an 810 score and couldn't even get a loan for a motorcycle. Then when I went through the hassle of consolidating my credit cards into one because it appeared that was the solution to getting a loan, some PECO bill I didn't know about after moving two years ago goes to collections and even if I paid it, they won't take the negative mark off my credit so I lost 200 points just after I tried to improve it. Credit is bullshit garbage.

Not being a US citizen or resident, this seems entirely absurd and promotes a class structure that will lead to the deconstruction of this model

I genuinely don't understand this video. Every 1st world country uses a credit score system. You have to have money or work your heart and soul into the dirt to get the money to be able to play. Why are you singling out just America?

The wildest thing about credit scores to me, is that most of the information is private information that none of us expressly decided to give to these private companies, yet none of our politicians ever considered to protect our privacy, or even to require lenders to allow people to get loans "the old fashioned way"

Thank you for your informative work, it's excellent! You've said it's normal every ten years or so there's a crisis, I want to ask your opinion about the recent bank crisis, specially the Silicon Valley Bank and its implications to the system. What do you think about the measures taken by the government on this matter?

It's not that I can't pay the crooks at Virgin Mobile, it's that I don't want to and if I do, they offered me a deal at 50 cents on the dollar, it will be on the last day before the deadline. All I can do is stall as a disatisfied, ripped off customer.

It is, I almost went homeless with $13K in the bank. You can't get an apt through a consortium with bruised credit! I can pay the rent for the whole year up front, don't be stupid-take the money! How many years do I need to pay up front? I only have one FFS!

Essentials being commodities are literally killing people

"oh, Klaevin, you are an american who moved to France when he was a kid. You would make so much more money with your (free from France) diploma by moving to the US"

yeah, but... healthcare, credit scores, public transit, retirement plans and neoliberalism.


"YeAh But MoNiEs"

Credit scores are also incredibly punishing for trans and nonbinary people who get a legal name change. Despite previously having a good credit score from regularly paying my credit card bills, paying off the loan for my car, and paying off the mortgage on my house early, the name change process left me without a credit score because all my credit is tied to my deadname.

Loved this video