If my credit is denied!!

[feelthefire]

All I can say is that $1500 deposit better be for 2 iPhones, otherwise your credit is so bad you shouldn't even be considering taking on ANY monthly bills outside of your debt.

There are many ways to ruin your credit and comparatively few to restore it.

 

[ibookin']

A "line of credit" (aka "revolving debt") (ie.credit cards, home loan, car loan, boat loan, student loans, etc.) is what is reported to a credit agency and shows up when you have your credit pulled. Each loan/lien holder that you've had for several years (7-10 usually) shows up. It show how much the debt was for (or in the case of credit cards your total credit limit), how long it has been open, and then it either says "In Good Standing" "Pays as Agreed" "Closed" "Out of Payment" etc. This is also where the delinquent payment history shows up. Most places will let you get by with the occasional late payment, it happens to nearly everyone eventually. But tech. speaking once you're 30 days late, they have the right to report you. Once you hit 90 you usually fall from their good graces and they put the dreaded "Late 90+" on your credit. One of these generally doesn't hit you too bad, but you get a second and it is the kiss of death.

"Reoccurring service charges" (ie. cell phone, home phone, etc.) are NOT reported to the credit agency. However, once you become delinquent on the payments they have every right to report you.

Lastly, if you are working to buy a house, car, etc. Anything that requires a large loan, you may want to hold off for the time being. Some cell phone companies do what is called a "hard pull" (aka hard check, depending on your location in the country) on your credit. This is the same hard pull that occurs when you are applying for a home loan, car loan, etc. Hard pull/check(s) hit your FICO score (aka "credit score") for roughly 5 points. 5 points might not seem like alot, but if you're riding close to a transition area in the FICO scale, 5 points can mean an entire 1% interest difference for a car, and up to .25% for a house. Thats a big difference in the long haul.

(Yes there is a soft check ... all those loan consolidation offers, credit card offers, etc etc come from soft checks. Soft checks do not impact your credit seeing as they only check to see that HAVE credit, not that it is good/bad.)

And as a matter of opinion, I agree with the person who said if you have a 500.00 deposit, you probably shouldn't be going after a 600.00 phone. Get a regular phone, and get a small loan for something and use the 80 bucks a month to pay it off and fix your credit.

Hey, wow, my account still works. Thought I'd take the time to respond about something I know about and possibly help some people who aren't entirely confident in their credit rating.

Anyway, the post I quoted is largely correct. However, there are a couple inaccuracies.

Inquiries DO NOT hit your score for 5 points. There are many, many factors in the FICO algorithm that determine what effect different items will have on your score, and no one really knows exactly how it works. In my experience, I've never really been hit that hard for inquiries. I used to have 12 INQs in the past year on my Experian report, and my score was not 60 points lower than my Equifax report, which had 0. Also, a mortgage or auto lender will most likely not care about an inquiry from AT&T. 15 credit card inquiries, yes, a cell phone inquiry, no.

The other thing is that late payments do hit you quite hard, especially 60+ days late. Again, exactly how hard depends on many factors. I can't speak from experience on this, but from what I hear one 30 day late can push someone with a >700 score down into the mid 600s.

As far as getting approved for a phone goes, you don't have to have "good" credit to get a cell phone with no deposit. I frequent a credit forum, and there are people there with lates, collections, bankruptcy, etc. and sub-600 scores that get approved for AT&T with no deposit. Also for those who want to know, AT&T pulls Equifax.

Hope this was helpful.

 

[nkkumi01]

All I can say is that $1500 deposit better be for 2 iPhones, otherwise your credit is so bad you shouldn't even be considering taking on ANY monthly bills outside of your debt.

There are many ways to ruin your credit and comparatively few to restore it.

lol whoops one to many zeros. 150 deposit, sorry bout that

 

[jeremy.king]

I have to say you're not quite accurate here. Your "two reasons" should at least be amended to 3.

The third reason? A married person being penalized for the poor spending habits of their partner. The credit card companies are ALL too happy to hand out new lines of credit to one's marriage partner, without even informing them they've done so. Someone's husband or wife can then run around, maxing out new lines of credit - and they'll be none the wiser until all the overdue notices arrive in the mail (assuming the partner isn't intercepting the mail and hiding/destroying those first!). I've seen this story play out MANY times, and it takes YEARS after a divorce is finalized to repair the damage.

I would argue your scenario falls into number two. Managing your credit lines also includes managing who has access to them. Sadly, identity theft would yield the same result.

Also, in WI - your scenario couldn't happen because of their marital property laws. If your spouse tries to open a credit account, the spouse has to be notified (i.e. no surprises!). Too bad I moved to IL

 

[Mpulsive81]

I would argue your scenario falls into number two.

So lets rephrase it...it can be reworded to say

2. "They have demonstrated that they cannot responsibly manage their spouse and/or their credit obligations."

just trying to lighten up the mood of the thread!

 

[powerbook911]

Does a "hard" inquiry show up on your credit report, when getting a phone activated? These hard inquiries, if you have a bunch in a 2 year period, hurt your credit score.

Thanks.

 

[Abraxsis]

Hey, wow, my account still works. Thought I'd take the time to respond about something I know about and possibly help some people who aren't entirely confident in their credit rating.

Anyway, the post I quoted is largely correct. However, there are a couple inaccuracies.

Inquiries DO NOT hit your score for 5 points. There are many, many factors in the FICO algorithm that determine what effect different items will have on your score, and no one really knows exactly how it works. In my experience, I've never really been hit that hard for inquiries. I used to have 12 INQs in the past year on my Experian report, and my score was not 60 points lower than my Equifax report, which had 0. Also, a mortgage or auto lender will most likely not care about an inquiry from AT&T. 15 credit card inquiries, yes, a cell phone inquiry, no.

The other thing is that late payments do hit you quite hard, especially 60+ days late. Again, exactly how hard depends on many factors. I can't speak from experience on this, but from what I hear one 30 day late can push someone with a >700 score down into the mid 600s.

As far as getting approved for a phone goes, you don't have to have "good" credit to get a cell phone with no deposit. I frequent a credit forum, and there are people there with lates, collections, bankruptcy, etc. and sub-600 scores that get approved for AT&T with no deposit. Also for those who want to know, AT&T pulls Equifax.

Hope this was helpful.

Actually it depends on the type of inquiry and loan amount. I quoted the 5 points from a house (which is why i am pouring over my report) which is naturally a large loan. You are correct that the actual hit can be different depending on the amount of funding you are seeking. The ~5 point hit is what any mortage broker will tell you, this is why they highly recommend you try 3 or 4 different funding sources within a 3 week period so it only "pulls" once. As for 12 Inq. a year ... if those were hard checks it would have hit your credit hard ... Dad is a banker and he said if they seen 12 hard checks on your record in a year they would scrutinize your report 10x more than normal no matter the amount of funding you were looking for.

 

[Hmac]

I have to drop down $750 on Friday for a deposit. I have bad credit.

Paying your bills on time with other cell providers means nothing. You don't get credit for that. It also doesn't mean squat on your credit for utility bills and what not.

All cell providers require good credit or have high deposit requirements, thats just how it is.

Personally, I think it should be law that companies who can or do report bad credit should be required to report good credit.

The guy missed 4 payments. That's gonna hurt.

As to reporting good credit...ALL credit is reported, and usually summed up into one score. They submit your name and SSN, and that credit score pops up. If you miss 4 payments, that's gonna show up.

See, the deal is that you don't get patted on the back for "only" four late payments. You get penalized because most of the people miss none.

 

[ibookin']

Dad is a banker and he said if they seen 12 hard checks on your record in a year they would scrutinize your report 10x more than normal no matter the amount of funding you were looking for.

I don't doubt that 12 inquiries might hurt you in getting a mortgage, but for credit cards/auto loans/cell phones, it's not that big of a deal. I've had no problem getting credit cards from major banks with the 12 inquiries (yes, they are hard inquiries), and I still have a >700 FICO score last time I checked.

Anyway, the point of my previous post was to indicate that as long as your FICO is >600 and you don't have any serious delinquencies, you shouldn't have a problem getting AT&T service with no deposit, so don't worry about it unless you've got serious credit problems.

 

[technicolor]

Here is a post in regards to Cingular score numbers

http://creditboards.com/forums/index.php?showtopic=261453&hl=cingular


They almost exclusively pull Equifax.

 

[retrospects]

let me put it politely if you have bad credit or no credit you dont need an iphone. why because you need to get your priorities straight!

 

[janey]

let me put it politely if you have bad credit or no credit you dont need an iphone. why because you need to get your priorities straight!

thank you for being so inflexible to all the circumstances that may cause someone to have little to no or bad credit but still be able to afford an iPhone and to pay for an expensive monthly plan and maybe an expensive deposit as well.

people have mentioned this before only to get flamed. it didn't need to be repeated for the 10 gazillionth time.

I suggest you say that to the faces of half my friends who could afford to buy their sidekicks (not the cheap ones either) and have $100/mo plans but little credit, only because they haven't yet had the mere TIME to build good credit.

It is truly none of your business what these people do and it is not your place to judge them or what they want to do because of circumstances I'm sure you can't even begin to think about.

 

[technicolor]

let me put it politely if you have bad credit or no credit you dont need an iphone. why because you need to get your priorities straight!

This is a very myopic stance. If one is young and hasnt had time to build credit doesnt mean they cant afford iphone. It takes months to a few years to build stellar credit. Even in the process of doing so, one could still be able to afford the iPhone.

 

[joelk]

so can someone clarify whether at&t stores are definitely doing the credit check before you walk out the door or do they allow you the option of doing it at home via iTunes as the demos show?

i'm not particularly concerned but just don't want to deal with the unlikely but potential embarrassment.

thnx

 

[technicolor]

so can someone clarify whether at&t stores are definitely doing the credit check before you walk out the door or do they allow you the option of doing it at home via iTunes as the demos show?

i'm not particularly concerned but just don't want to deal with the unlikely but potential embarrassment.

thnx

you can do it at home. going into the store to buy the phone is just going to buy the equipment.

i literally just got off the phone with at&t and i was approved with no deposit and got my ban number.

as a matter of fact im listening to the terms and conditions while i type this.

so if you want to know before you even buy your phone you can call
1-888-333-6651

or you can wait and buy it and find out in the comfort of your home if you are worried about embarrassment.

hth

 

[joelk]

you can do it at home. going into the store to buy the phone is just going to buy the equipment.

i literally just got off the phone with at&t and i was approved with no deposit and got my ban number.

as a matter of fact im listening to the terms and conditions while i type this.

so if you want to know before you even buy your phone you can call
1-888-333-6651

or you can wait and buy it and find out in the comfort of your home if you are worried about embarrassment.

hth

perfect. thanks for the reply. i'm sure i'll be fine but i'd prefer to do it at home.

 

[retrospects]

thank you for being so inflexible to all the circumstances that may cause someone to have little to no or bad credit but still be able to afford an iPhone and to pay for an expensive monthly plan and maybe an expensive deposit as well.

people have mentioned this before only to get flamed. it didn't need to be repeated for the 10 gazillionth time.

I suggest you say that to the faces of half my friends who could afford to buy their sidekicks (not the cheap ones either) and have $100/mo plans but little credit, only because they haven't yet had the mere TIME to build good credit.

It is truly none of your business what these people do and it is not your place to judge them or what they want to do because of circumstances I'm sure you can't even begin to think about.

i still stand by what i think, and i am young i will be 21 friday. also i have very good credit(no deposit) honestly if you have no credit or bad credit you need to save that money and build a credit history. you do understand that if you worried about having a 750 dollar deposit you will be spending over 1000 dollars just to get a phone......i dunna it just dose not make sense to me. i dont want it THAT bad.

 

[retrospects]

This is a very myopic stance. If one is young and hasnt had time to build credit doesnt mean they cant afford iphone. It takes months to a few years to build stellar credit. Even in the process of doing so, one could still be able to afford the iPhone.

i dont care honestly, if you can afford it and you are willing to blow 1000 bucks on a phone. be my guest. all i know is that i have worked hard to build over the past few years to build credit and im only 20. so again its a matter of priorities.

 

[technicolor]

i dont care honestly, if you can afford it and you are willing to blow 1000 bucks on a phone. be my guest. all i know is that i have worked hard to build over the past few years to build credit and im only 20. so again its a matter of priorities.

Most 20 years old dont have stellar credit. Hopefully you dont go thru any tragic events that will send your credit into the toilet within a matter of months.

 

[retrospects]

Most 20 years old dont have stellar credit. Hopefully you dont go thru any tragic events that will send your credit into the toilet within a matter of months.

its the fact that these kids are willing to spend 750 bucks just to have the privilege to buy a 600 dollar phone. i would be willing to bet the majority of the people that want/are getting this phone are kids under the age of 18. if you can afford it, go for it but its the people that cant that i was talking about. as for the whole credit spiraling into oblivion, unlikely.

 

[janey]

i still stand by what i think, and i am young i will be 21 friday. also i have very good credit(no deposit) honestly if you have no credit or bad credit you need to save that money and build a credit history. you do understand that if you worried about having a 750 dollar deposit you will be spending over 1000 dollars just to get a phone......i dunna it just dose not make sense to me. i dont want it THAT bad.

Okay, so you're relatively young and you have good credit, want a cookie or a gold star sticker?

If someone really wants an iPhone and can afford to pay for the phone, the plan and any deposit that will be returned to them after a year of being on time with payments, again it's none of your business. They may already probably be building their credit through other ways, and if they have enough money to afford an iPhone on top of that, great for them. Not everyone is some reckless teenager or 20something with massive student loans and credit card debt who shouldn't be getting an iPhone. It's not your place to paint everyone with the same brush.

I'm way younger than you, and I have good credit, no deposit involved regardless of whether I choose to go the non-family-plan-in-my-mom's-name route or not, I can afford to buy an iPhone, I can afford to pay for the plan...but I have college-bound friends wanting an iPhone but that have no credit even though we're all similar in age, but will get one anyway because they can afford to, whether or not their parents pay for it, deposit be damned.

Do I detect a hint of jealousy or what? The people with bad credit that your advice would be great for would have to be ****ing nuts to go for an iPhone on top of the deposit on top of the expensive plans. So it was really redundant to say so, which brings up the question of who you were directing that at...which would seem to be the group of people here who don't necessarily have good credit for various reasons, I state for the second time, that you probably can't even begin to imagine.

 

[retrospects]

Okay, so you're relatively young and you have good credit, want a cookie or a gold star sticker?

If someone really wants an iPhone and can afford to pay for the phone, the plan and any deposit that will be returned to them after a year of being on time with payments, again it's none of your business. They may already probably be building their credit through other ways, and if they have enough money to afford an iPhone on top of that, great for them. Not everyone is some reckless teenager or 20something with massive student loans and credit card debt who shouldn't be getting an iPhone. It's not your place to paint everyone with the same brush.

I'm way younger than you, and I have good credit, no deposit involved regardless of whether I choose to go the non-family-plan-in-my-mom's-name route or not, I can afford to buy an iPhone, I can afford to pay for the plan...but I have college-bound friends wanting an iPhone but that have no credit even though we're all similar in age, but will get one anyway because they can afford to, whether or not their parents pay for it, deposit be damned.

Do I detect a hint of jealousy or what? The people with bad credit that your advice would be great for would have to be ****ing nuts to go for an iPhone on top of the deposit on top of the expensive plans. So it was really redundant to say so, which brings up the question of who you were directing that at...which would seem to be the group of people here who don't necessarily have good credit for various reasons, I state for the second time, that you probably can't even begin to imagine.

jealous of what? im getting the phone. i understand that some people have had misfortunes and credit is already confusing to begin with. if you have the money to spend and its your choice, go for it. it would not be my choice but im not you and vice versa. im not directing it at anyone what i was saying is that if you have credit bad enough to make your deposit on a phone 750 that may not be the right thing to spend the money on. i am proud that i have good credit, i have worked hard to build up my credit history and strive to keep it good. but thing do happen and i can only do the best i can to keep it good. im not trying to put down anyone. maybe what i said was worded wrong, i apologize for that.

 

[janey]

blah blah blah

it was somewhat inappropriate to say here given someone ALREADY said that when it was STILL inappropriate to a group of people it didn't really apply to.

and given you reaffirmed your beliefs multiple times in the same manner, it sure does sound like you're on a high horse.

 

[retrospects]

wow i can do that too

oh well regardless, we are typing at each other on the computer and i could care less if you think i offend you. bottom line, if you have to pay the 750 you PROBABLY dont need the phone, your money could be used in a better placed such as books for school or a new diaper.

 

[devilot]

This doesn't seem to be getting anywhere anytime soon. And I think everyone's slightly on edge. If another mod has the time to sift through all these posts and clean it up, props to them. If not? This'll stay closed for a bit.