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Posted: Sun Jun 17, 2007 5:56 pm Subject: TRANSUNION

Have you all heard the latest? Transunion is going to start reporting payday loans and rent to own on credit reports. This is going to bring scores down even more. Wonder what they are going to do in the states where payday loans are ILLEGAL? This is going to be a tricky one for Transunion. Kyside38

Posted: Sun Jun 17, 2007 6:07 pm Subject:

WOW!

I did NOT know that. When is this supposed to take effect. As if people really needed this. Don't those places have to pay some type of fee to be able to report to these major CRs?

Posted: Sun Jun 17, 2007 6:10 pm Subject: loan

Steelers saw it in the newspaper. It dosent say when it takes effect.

Posted: Sun Jun 17, 2007 6:13 pm Subject:

I think these subprime people have paid some type of fee to join Transunion. I think that is what you have to do to be able to report with them. I am suprised.

Posted: Sun Jun 17, 2007 6:15 pm Subject: transunion

Steelers I found it its on a website called payday loan news abc they are also going to report utility payments and cell bills. Something called a thinfile.

Posted: Sun Jun 17, 2007 6:17 pm Subject:

I know that cell bills were already being reported and in some cases utility bills. Not sure what a thin file means though, did they explain it more in the article you read?

Posted: Sun Jun 17, 2007 6:21 pm Subject: loan

Supposed to be to help the lenders not to get into any more trouble lending to bad consumers. Just something else to drive the credit scores down even more.

Posted: Sun Jun 17, 2007 6:23 pm Subject:

As if being subprime lenders and unscrupulous lenders makes them good people! Twisted Evil

Posted: Sun Jun 17, 2007 6:58 pm Subject:

Thin files are considered credit files with fewer than four credit accounts. The industry is trying to find a way to score more people so that credit offers can be expanded. LexisNexis is one that currently evaluates thin files for clients by looking into asset ownership and address tenure for those with so called thin files. It will definitely be a growing market.

Posted: Sun Jun 17, 2007 7:04 pm Subject:

So they are actually trying to find a way to hand out more credit and help those who have no credit history?

Posted: Sun Jun 17, 2007 7:10 pm Subject:

They see an untapped market of people with no credit history and are looking for a way to move into that area. Whether good or bad, time will tell. You know there has to be something in it for them - and they'll find some kind of "gotcha". Their studies are showing that many of the people with little or no credit histories are those who are likely to default, so probably an opportunity for more subprime rates.

Posted: Sun Jun 17, 2007 7:27 pm Subject: transunion

Like thats all this country needs more subprime rates. Evil or Very Mad

Posted: Sun Jun 17, 2007 8:08 pm Subject:

I think this is more or less a policy change on the PDLs part, not on Transunion's end. The paydays could have previously reported to Transunion if they wanted to ... anyone can report to Transunion as long as they sign an agreement. I think the payday stores never reported because it is a pain to compile electronic tapes and follow the MetroII encoding; where with Teletrack they can simply report accounts through the website.

You won't believe this, but it doesn't cost anything to report accounts to Transunion or Experian (I have never dealt with Equifax). I report over 2,000 accounts to both bureaus every month, and they have never charged me a penny. Where Transunion makes is money is by selling credit reports.

Posted: Sun Jun 17, 2007 8:17 pm Subject:

Just went and read that article. Sounds like Transunion is just offering a new product. Thin files will be geared more toward PDLs, and probably be similar to Teletrack.

Posted: Sun Jun 17, 2007 8:18 pm Subject:

Thanks Debtcruncher! I am still lost understanding a "thinfile". But when people ask me "Who's your pimp daddy?", I tell them, "Majic Mike" Very Happy

Posted: Sun Jun 17, 2007 8:48 pm Subject:

The bureaus offer so many products in addition to the "standard" credit report.

Here's my guess on what a thin file is:
A regular credit report, with all the bells and whistles and other add-ons, costs my company about $5.00 (add $8.50 if the file comes back as a fraud hit). This is going to show me all the credit cards, installment accounts, inquiries ... you know what's on it so I don't need to go into detail.

A payday store knows that if you're going to them for a loan, you probably don't have good credit. So they don't want to pay $5 to find out that you're not paying your credits ... that was a given when you applied to them. PDLs don't care about your credit cards.

PDLs really just want to make sure that you haven't screwed any other PDL stores.

Enter the "thin-file". My guess is that a thin file will cut out all the credit cards / bank notes / car payments, and just report all the sub-prime activity (ie PDLS). And since it is stripped of all that data, it will probably cost a lot less than a regular credit report.

For comparison, Teletrack charges about 67 cents for one of their reports. I'm sure this new "thin file" is just a way for Transunion to compete with Teletrack.

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