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Old 01-15-2018, 11:04 PM
 
2,768 posts, read 1,496,259 times
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Quote:
Originally Posted by hitpausebutton2 View Post
I do apoligize if i come off that way.. Not way i thought this topic would go. But back on point here.. The bold i highlighted is the issue i see. Ok so you want to make interest on the loan, i get it. You want something back on your loan, plus some. As the consumer our goal is to pay things off sooner than later to keep from having to paying too much on that loan. So why are we punished for doing just that.
Got one expert that tells you to pay min to keep history and one expert that tells you to pay everything off fast as possible so your not over paying. ( interest). With that being said, for somebody that is just starting out and have no history, how are they suppose to get something when they cant even get approved by these strict terms. Cant have your cake and ice cream too.. unless your very very greedy on your process.
You havenít done enough research.

Get that part done first, then set your sights on buying a home.

 
Old 01-16-2018, 03:53 AM
 
64,551 posts, read 66,100,109 times
Reputation: 42988
Paying interest on loans or not does not effect your score. I have not paid interest on a thing in 25 years. But we do charge everythiing we can for the perks. Our credit scores are in the 800's.

Who ever is telling you that if you pay things off right ways will hurt you should stop giving advice.
 
Old 01-16-2018, 04:41 AM
 
3,060 posts, read 2,556,146 times
Reputation: 1692
Quote:
Originally Posted by hitpausebutton2 View Post
Just general.. What would hurt if their is a flat rate? You still make your money back plus some?
The effect of such legislation depends on how you do it.

1. If you let banks refuse to give out loans, then people with bad credit won't get loans at all. This will just make their situation worse.

2. If you force banks to give out loans, then banks will be forced to give out cheap loans to people who have history of not paying back. This will actually be allright during good times, but during recession a lot of people will not be able to pay back their loan and the banks have to be rescued by the taxpayers. During those times the banks will not give out loans at all, meaning the recession will be much worse.

Both options seem horrible, hence we should not have a flat rate.
 
Old 01-16-2018, 08:15 AM
 
3,720 posts, read 1,667,677 times
Reputation: 5094
If you think people will like that, start a bank. Sell shares to raise capital. Use the capital to start making loans according to your plan: same rate for everyone. Collect the payments and use them to operate your business. You might make a lot of money or you might not but you'll never know till you try.
 
Old 01-16-2018, 09:29 AM
 
Location: 5,400 feet
2,198 posts, read 2,271,121 times
Reputation: 2840
Quote:
Originally Posted by hitpausebutton2 View Post
First all, why the personal attack?

Second of all, my credit is base on history. I paid my bills, early but paid. Anything that requires me to pay interest on anything period gets paid off early as possible. So stop with the insults. IF somebody miss a payment due to a mailing issue or something beyond the control of the borrower, should not have a huge affect right off the bat. Who knows it could been the moron at the credit office putting the payments in by hand and didnt want to do their job at the end of the day. I can see a drop if you miss more then 2-3 payments on something but never been late prior and after the payment, could see a small hit. But you see my point is getting those points back that takes eff forever to get. FICO will drop you like a hot potato over a miss payment vs paying back on time after the fact. What i dont like is them basing nearly good chunk of your score is history. I would rather see a credit file with paid off items and paid/closed accounts then some 10 year history on a 300 dollar credit card. You want to see debt, and nothing else. Debt that we all should not be in, but we have to put it on a report system to please the business of it all. That debt is the problem. Its designed to give credit to those that really dont need credit. If you was paying %3 on a 4 year car note. Earlier you pay on it, less interest they are making. But you have the funds to pay it off 2 years early, so you do it. You get penalize for doing that because the bank or lender didnt make full interest off you. So now you only show 2 years of history on a close account. But according to your theory, you want to see 4 years on a open account when you had the option to close it. Change the status quo..
A mail payment issue is within control of the borrower. If you don't leave sufficient for a payment to arrive, the onus is on you. If you don't trust the mail, use your bank's bill pay process to make a payment the next day. Stop waiting until the last minute to pay.
 
Old 01-16-2018, 10:14 AM
 
2,360 posts, read 1,027,668 times
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Quote:
Originally Posted by jiminnm View Post
A mail payment issue is within control of the borrower. If you don't leave sufficient for a payment to arrive, the onus is on you. If you don't trust the mail, use your bank's bill pay process to make a payment the next day. Stop waiting until the last minute to pay.

Back the bus up. Be nice if we all could pay early, but unlike the 1% most live check to check and only pay bills when they get paid. Heck it be nice if i can get my light bill in a timely matter, or water bill. When i get my water bill, i have 5 days to pay it, light bill comes in and its nearly 2 days before "late fees" kick in. Dont setup auto pay because i like to see what i am getting charged for vs just hoping its right. What if you mailed it 2 weeks prior to due date and still get hit with being late, because the worker didnt put it in the system in time. What you do, take the hit and dispute it, meanwhile your score takes a dump because of human error beyond YOUR control.
 
Old 01-16-2018, 12:43 PM
 
2,768 posts, read 1,496,259 times
Reputation: 2172
Quote:
Originally Posted by hitpausebutton2 View Post
Back the bus up. Be nice if we all could pay early, but unlike the 1% most live check to check and only pay bills when they get paid. Heck it be nice if i can get my light bill in a timely matter, or water bill. When i get my water bill, i have 5 days to pay it, light bill comes in and its nearly 2 days before "late fees" kick in. Dont setup auto pay because i like to see what i am getting charged for vs just hoping its right. What if you mailed it 2 weeks prior to due date and still get hit with being late, because the worker didnt put it in the system in time. What you do, take the hit and dispute it, meanwhile your score takes a dump because of human error beyond YOUR control.
No. You find a way to pay on time. My friends building a business from the ground up made a lot of weird pots of soup for dinner that lasted the whole week so they could keep the lights on in their studio apartment.

Who's still mailing bills, btw? You can pay everything online, the day it is due. Nobody's forcing you to go auto-pay and eat overdraft/late fees. No blaming of 'mystery workers' for not paying on time.

IME rarely are a couple of late electric bills going to tank a home loan. It's the whole borrower's profile. Again, start slowly and educate yourself on this stuff and your situation will change.
 
Old 01-16-2018, 12:50 PM
 
Location: Denver CO
18,975 posts, read 10,040,378 times
Reputation: 27746
Quote:
Originally Posted by hitpausebutton2 View Post
Back the bus up. Be nice if we all could pay early, but unlike the 1% most live check to check and only pay bills when they get paid. Heck it be nice if i can get my light bill in a timely matter, or water bill. When i get my water bill, i have 5 days to pay it, light bill comes in and its nearly 2 days before "late fees" kick in. Dont setup auto pay because i like to see what i am getting charged for vs just hoping its right. What if you mailed it 2 weeks prior to due date and still get hit with being late, because the worker didnt put it in the system in time. What you do, take the hit and dispute it, meanwhile your score takes a dump because of human error beyond YOUR control.
You seriously think only the 1% manage to pay their bills on time?
 
Old 01-16-2018, 12:54 PM
 
2,360 posts, read 1,027,668 times
Reputation: 2071
Quote:
Originally Posted by damba View Post
No. You find a way to pay on time. My friends building a business from the ground up made a lot of weird pots of soup for dinner that lasted the whole week so they could keep the lights on in their studio apartment.

Who's still mailing bills, btw? You can pay everything online, the day it is due. Nobody's forcing you to go auto-pay and eat overdraft/late fees. No blaming of 'mystery workers' for not paying on time.

IME rarely are a couple of late electric bills going to tank a home loan. It's the whole borrower's profile. Again, start slowly and educate yourself on this stuff and your situation will change.
Yes you can pay most online, but not here. Water is money order mailed or pay at the city hall. Some things that are just beyond a person reach. I feel bad for those are paid monthly and here is a 300 dollar bill that is due one week before they get paid. Bills due dates dont line up with people checks and its no body fault. If your check to check, you do find a way but your sacrificing alot for a system that is corrupted from the start.
 
Old 01-16-2018, 12:58 PM
 
2,360 posts, read 1,027,668 times
Reputation: 2071
Quote:
Originally Posted by emm74 View Post
You seriously think only the 1% manage to pay their bills on time?
No it was sarcsim.. but most of the world lives check to check.. like i said MOST..
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