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Old 04-04-2010, 10:59 AM
 
Location: Baltimore, MD
15 posts, read 20,031 times
Reputation: 10

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I wanna move to Orlando for school but i'm from Maryland and i haven't really developed any credit, is it possible for me to still lease a apartment there? is it possible if my mom could co-sign even if she didn't come down to florida (fax it?) i'm not in debt so plus i have quite a bit of money for relocating($3000)
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Old 04-04-2010, 11:32 AM
 
4,167 posts, read 9,338,239 times
Reputation: 2446
In this market I am sure that there are some properties that are willing to look past credit to get their properties leased. Also, many private owners will negotiate past your credit on Craigslist.
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Old 04-04-2010, 05:36 PM
 
2,580 posts, read 3,748,545 times
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I hate the idea that apartments base your ability to rent on your relationship with debt (the FICO score). It is great that you are not in debt, and if I were you, I would do my best to stay away from it. Unfortunately, because you choose not to be a slave to banks, you are looked upon as a risk to car insurance companies, apartment complexes and even some employers.
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Old 04-04-2010, 06:16 PM
 
26,585 posts, read 62,038,899 times
Reputation: 13166
Quote:
Originally Posted by boy3365 View Post
I hate the idea that apartments base your ability to rent on your relationship with debt (the FICO score). It is great that you are not in debt, and if I were you, I would do my best to stay away from it. Unfortunately, because you choose not to be a slave to banks, you are looked upon as a risk to car insurance companies, apartment complexes and even some employers.
Your FICO score isn't based on debt (unless you've got a lot of it) but rather how timely you pay you bills. If you pay them on time every month--even in full and carry no debt--you'll have a high FICO. I don't carry credit card debt, only my 0% car loan and mortgage, and have a FICO score of around 800. I use a credit card for everything and pay it off every month.
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Old 04-04-2010, 07:16 PM
 
2,580 posts, read 3,748,545 times
Reputation: 2092
The FICO score is based on your relationship with debt. If you don't borrow money, you don't get a FICO score. In order to get a high FICO score, you have to borrow and pay off, borrow and pay off, and borrow and pay off. It is not a measure of wealth. If the mortgage lenders actually used their brains and actually investigated the financial lives of potential clients instead of basing everything on the FICO score, perhaps we wouldn't be in this mess right now. (Yes, I listen to too much Dave Ramsey). :-)

Anyway, to help the OP, you just need to provide the landlord with a proof of income. If you have some sort of rental history, you can ask your landlord to provide a reference letter showing that you've paid rents on time. If you do have to have a parent co-sign, then they can base it on her credit or their rental/mortgage history.
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Old 04-05-2010, 05:33 AM
 
26,585 posts, read 62,038,899 times
Reputation: 13166
Quote:
Originally Posted by boy3365 View Post
The FICO score is based on your relationship with debt. If you don't borrow money, you don't get a FICO score. In order to get a high FICO score, you have to borrow and pay off, borrow and pay off, and borrow and pay off. It is not a measure of wealth. If the mortgage lenders actually used their brains and actually investigated the financial lives of potential clients instead of basing everything on the FICO score, perhaps we wouldn't be in this mess right now. (Yes, I listen to too much Dave Ramsey). :-)
It's not "debt" if you use a credit card and pay it off each month because you aren't charging anything you don't have the cash in the bank to cover.

Dave Ramsey has a lot of good advice, but it's really best for people with no self-control on their spending habits or low income people or people who are ignorant as to how to make their money work for them. He has a hard time understanding that there's nothing wrong with making daily purchases on a credit card as long as you've got the cash to cover them. And his philosophy will not produce wealth in the long run.

Based on his advice, I would have paid cash for my car. Instead I took a 0% loan (the terms of the sale didn't change) and kept $20K in my investments. Conservatively I will earn $1000 over the three years that I'm paying the 0% note. That's $1000 I wouldn't have if I had followed Ramsey's philosophy. Of course I have the self-control to pay my car loan instead of spending that money on some crap each month--which is a concept that I think a lot of Ramsey's followers have trouble managing.
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