Gov't Benefits (Dean: bad credit, student loans, employment)

[LookingtoLeave]

I'm watching the news right now and they're doing a spot on pulling credit reports for food stamp recipients-don't know about other programs though. This woman's food stamps were cut off when they pulled her credit report, and now she has nothing to eat. That's terrible and I can't believe the state would do that-especially since there are no "real" disclaimers on the food stamp app stating a credit report will be pulled. It simply said something like the will "verify" the information you submit on the report. They interviewed a rep from the state office who said the woman was denied b/c of a "human error".

Did anyone else see this?

[ryneone]

Originally Posted by LookingtoLeave

I'm watching the news right now and they're doing a spot on pulling credit reports for food stamp recipients-don't know about other programs though. This woman's food stamps were cut off when they pulled her credit report, and now she has nothing to eat. That's terrible and I can't believe the state would do that-especially since there are no "real" disclaimers on the food stamp app stating a credit report will be pulled. It simply said something like the will "verify" the information you submit on the report. They interviewed a rep from the state office who said the woman was denied b/c of a "human error".

While this could just be a fluke they need to do something about passing out food stamps to people who don't need them.

[LookingtoLeave]

This is true as the money is coming from taxpayers, but the agency can't afford flukes like this. This poor woman had barely anything to eat. Most people who are poor have bad credit as it is, but that doesn't mean they're not in need.

[the_dimwit]

Pulling a credit report can be a good way to determine real need for Government assistance. For example, if a credit report shows that an individual has 5 major credit cards and several store cards, and that none of them have any major issues (maybe a few 30 day lates at most), then this person is obviously getting money from somewhere. On the other hand, if the person hasn't had any major activity in a long time, the need could be real.

I didn't see the piece in question, so I can't speak to what happened in this woman's case.

--Dim

[LookingtoLeave]

This is not necessarily true. It shows your outstanding debt, and of course if it's paid, however it does not show your income. That's what banking records should be used for.

In addition, we all know incorrect information shows up on credit reports. I just pulled mine a month ago and it still shows I am employed at a firm I quit months ago.

Additionally, I have quite a few credit cards out there myself, but my employment income is ZERO! They're paid with student loans I must take out. So are you saying that I shouldn't qualify if I were to apply b/c I am fortunately able to pay my credit cards? I don't think so.

[the_dimwit]

Originally Posted by LookingtoLeave

This is not necessarily true. It shows your outstanding debt, and of course if it's paid, however it does not show your income. That's what banking records should be used for.

In addition, we all know incorrect information shows up on credit reports. I just pulled mine a month ago and it still shows I am employed at a firm I quit months ago.

Additionally, I have quite a few credit cards out there myself, but my employment income is ZERO! They're paid with student loans I must take out. So are you saying that I shouldn't qualify if I were to apply b/c I am fortunately able to pay my credit cards? I don't think so.

I wasn't saying that income was on the credit statement--I was pointing at the fact that, using deductive reasoning, if one has several credit cards with activity each month (charges and payments with minimal or no late payments), there is some kind of income, regardless of the source.

Thankfully, I have never had to apply for Government assistance, so I may be a bit naive in this area.

--Dim

[cwh]

Originally Posted by the_dimwit

I wasn't saying that income was on the credit statement--I was pointing at the fact that, using deductive reasoning, if one has several credit cards with activity each month (charges and payments with minimal or no late payments), there is some kind of income, regardless of the source.

Thankfully, I have never had to apply for Government assistance, so I may be a bit naive in this area.

--Dim

Yes I read an article in the last week or so about consumption spending in the US. The bottom 20% earned 10k/year but was spending 20K/year. I am thinking there is alot of unreported income there.

[caligrl]

I work for Gov. They pull credit to see income-are people working? did they report TRUE income? Fraud...The Gov. is trying to crack down on Fraud-which We all pay for. The authorization that is signed allows for credit to be pulled for this very reason...Fraud

[peacepiece]

I'm not sure what credit reports have to do with need. They should pull w-2's or tax records or something. People can use one credit card to pay another with balance transfers so it means only that they are paying it. I'm probably going to take a lot of heat for posting this... and I'm all for people getting food stamps... but if someone has student loans and they are going to school, they can still work.
GPA

[SIZE=2]A young woman was about to finish her first
year of college.Like so many others her age, she
considered herself to be a very liberal Democrat,
and was very much in favor of the redistribution
of wealth.
She was deeply ashamed that her
father was a rather staunch Republican, a
feeling she openly expressed. Based on the
lectures that she had participated in, and the
occasional chat with a professor, she felt that
her father had for years harbored an evil, selfish
desire to keep what he thought should be his.
One day she was challenging her father on his
opposition to higher taxes on the rich and the
addition of more government welfare programs. The
self-professed objectivity proclaimed by her
professors had to be the truth and she indicated
so to her father. He responded by asking how she
was doing in school.? ? ? ?
Taken aback, she answered rather haughtily that she had a 4.0 GPA,
and let him know that it was tough to maintain,
insisting that she was taking a very difficult
course load and was constantly studying, which
left her no time to go out and party like other
people she knew.
She didn't even have time for
a boyfriend, and didn't really have many college
friends because she spent all her time
studying.
Her father listened and then asked,
"How is your friend Audrey doing?" She replied,
"Audrey is barely getting by. All she takes are
easy classes, she never studies, and she barely
has a 2.0 GPA. She is so popular on campus,
college for her is a blast. She's always
invited to all the parties, and lots of times she
doesn't even show up for classes because she's
too hung over." Her father asked his daughter,
"Why don't you go to the Dean's office and ask
him to deduct a 1.0 off your GPA and give it to
your friend who only has a 2.0. That way you will
both have a 3.0 GPA and certainly that would be
a fair and equal distribution of GPA. The
daughter, visibly shocked by her father's
suggestion, angrily fired back, "That wouldn't
be fair! I have worked really hard for my grades!
] I've invested a lot of time, and a lot of hard
work! Audrey has done next to nothing toward her
degree. She played while I worked my tail off
!" The father slowly smiled, winked and said
gently, "Welcome to the Republican Party."


[/SIZE]

[ryneone]

I love it. ^^^