Impact of new credit card regulations on SAHP's

iVillage Member
Registered: 11-22-2000
Impact of new credit card regulations on SAHP's
1062
Wed, 10-19-2011 - 11:38am

I saw a little bit about this this morning, and immediately thought of this board.


Pages

iVillage Member
Registered: 06-04-2003

While I thik the spirit of the law is correct like many laws they will make changes to it to fix little issues. Actually this is not a new law just a change to fix an issue with the law. Here was the issue.

Mr X tells the credit card company he makes 100K - they offer him credit of $10K based on his/their income, debt, etc.

Mrs. X tell the credit card company she makes 100K - they offer her credit of $10K based on her/their income, debt, etc.

They have over offered credit to the family because it is impossible to determine how much money they really make.

I can't buy a house without my H cosigning and I don't really see the big deal of having him cosign a credit card. This is not the 60's I just can't afford a house without my husbands income and visa versa.

If a nonworking person needs a good credit they can have a bank account in their name, bills in their name that are paid on time, and alimony and life insurance, social security,etc are considered income.

While I agree that SAH

iVillage Member
Registered: 05-27-1998

Yes, that is my situation exactly. I have credit cards, and pay them off every month, even though I no longer have a job.

iVillage Member
Registered: 05-27-1998

But how could the credit card company know if a woman had no income, as long as she was paying her bill off every month? I'm no longer working, but the credit card companies have no way of knowing this, because I would never dream of carrying a balance on any credit card.

iVillage Member
Registered: 05-27-1998

The issue with abused women isn't about keeping them safe. Of course that's the first thing they need. But what happens after the manage to get free of the abuser and need to start over, and have no credit because of this regulation?

And I'm guessing abused women are particularly vulnerable here, because the type of man who beats on women is likely to be a control freak who doesn't allow her to work and threatens any independence she may attempt. It is women like this who really do need to have credit cards, if only to finance their getaway.

iVillage Member
Registered: 11-22-2000
ashmama wrote:

The issue with abused women isn't about keeping them safe. Of course that's the first thing they need. But what happens after the manage to get free of the abuser and need to start over, and have no credit because of this regulation?

And I'm guessing abused women are particularly vulnerable here, because the type of man who beats on women is likely to be a control freak who doesn't allow her to work and threatens any independence she may attempt. It is women like this who really do need to have credit cards, if only to finance their getaway.

Yes.

iVillage Member
Registered: 08-22-2009

iVillage Member
Registered: 06-04-2003

But why ask credit card companies to shoulder the burden of supporting an abused person who has no job?

Would you cosign her credit card? and be responsible for all her costs to "getaway"? Why would a credit card company be responsible for this?

I think abused women need

iVillage Member
Registered: 06-04-2003

How exactly does this affect you.

You can have your husband cosign or put you as an authorized user on his card. (and visa versa)

You will be extended the same amount of credit overall just not that much credit on all your credit cards.

What is happening now is that a company believes your household can handle (let's say) 20K line of credit. So they give you 20K on your credit card and your husband 20K on his. Now your family has been extended 40K line of credit - which is too much and a huge risk to the credit card companies.

Now you husband will get (let say) 15K on his credit card - you get 5 K on your credit card (if for some reason you feel you need separate credit cards). You put him on your card as an authorized user and visa versa and you have 20K line of credit.

iVillage Member
Registered: 12-07-2003
I think credit card companies periodically make inquiries into your credit report (usually so they can offer new services). I believe your employer and income is on your credit report, so they would see them there.
iVillage Member
Registered: 08-22-2009

Pages