Loans

[Corelli]

Are you sure its 3 months bank statements and not 3 months payslips? Standard Bank asks for that. Normally Nedbank asks for that.

 

[supersunbird]

I’m a bit confused

So I don’t have a credit history. When I check my score it just says your credit score is unavailable. I’ve never taken up credit except for a corporate card which was linked to a business account I had which no longer exists however the card is still active

So naturally as expected when I apply for credit it gets rejected even the smallest loans reject.

Out of curiosity I applied through my bank account for a loan on the app and it was approved for a substantial amount. I didn’t proceed with it but then applied for overdraft and it was approved as well. How is this possible when everyone else rejects me for credit.

Is there some sort of catch here. Am I missing something? I don’t even earn that much. Never had any judgments or defaulted on anything. Have had the corporate card for about 7 years. Worst I’ve done is maybe been late on payment a handful of times.

I phoned the bank which is standard and they said it’s been approved just gotta send 3 month statements.

I’m assuming they approved but haven't run a credit check yet. But if so why would they approve it to then un approve it.

Any thoughts on this.

Lets use this example:

I wanted to get a credit card, at end of 2019 I went to my bank, the person could not get hold of my works HR to confirm employment, because HR was closed because I went in the week after Christmas.

I went the next week again and the new person who helped me didn't even need to contact works HR, because I had been banking with them since 2008, and I walked out with my new credit card (with a great interest rate). The first person who assisted just hadn't gone that far with the process to see that my confirmation of employment was not even required.

 

[supersunbird]

Cellphone contracts. Municipal services. Clothing accounts. These are all easy starts.

Nothing CoT appears on my credit reports... what municipality does that?

 

[deweyzeph]

Oh the World's Most Advanced Nation - ie Japanese does 85% of their daily transactions in cash.

Its for that reason and should there be a disaster or war, they have urged their citizens to keep cash for that reason.

Here if we have a blackout, and Eskom is offline. All the banks, atm's etc will be offline. How will you pay for groceries? Interesting predicament.

If there's a disaster cash isn't going to help you. Doesn't matter whether it sitting in your bank account or if you've stuffed it under your mattress.

 

[supersunbird]

Oh the World's Most Advanced Nation - ie Japanese does 85% of their daily transactions in cash.

Its for that reason and should there be a disaster or war, they have urged their citizens to keep cash for that reason.

Here if we have a blackout, and Eskom is offline. All the banks, atm's etc will be offline. How will you pay for groceries? Interesting predicament.

What groceries? The looted ones?

 

[deweyzeph]

What groceries? The looted ones?

If there's a disaster of that magnitude cash will be worthless.

 

[Snyper564]

An old mentor of mine (been in investment banking a decade) said to me this

Never fear debt and credit. Well managed debt and using the banks money will always tie you in better stead than buying something in cash.
But why?
The simple answer is use the banks money to buy your assets and use the credit to open up your own free cash for investment in other things. The bridge and difference between these things is the interest you pay on making the funds available.

Simply put, debt and credit is a good thing if managed properly. I understand the fear, the need to cut up credit cards. The difficulty in finding and getting credit, but anything worth having is difficult to obtain and difficult to maintain but ultimately worthwhile

My 2 cents anyway


To answer the OP - You cannot physically tell me, that you are unable to get a store account, an RCS account with any store, woolworths, Edgars, blabla. You cannot tell me, that your income from either business or salary is paid into your bank account and you cannot raise an overdraft or a credit card against the flow of funds. Complete utter rubbish to say, Its impossible to get credit, I dont know what to do

Unless you are literally paying cash for everything, live under a rock, never use your bank account wherever that may be and live like a pauper, you cannot possibly tell me that you cant find or dont know how to find credit. DM me if necessary or you are criminally charged or defaulted - credit is expensive, but not impossible to obtain - You just gave up on trying different avenues, its easier to pay cash and say "I want to live with no debt"

I believe a balanced approced is good. I don't fear debt and have used it to successfully fund many a venture. But to the avg person if used incorrectly and to chase things of no value its absolute poison.

 

[epah]

My take on things...

If you don't have the cash for it, don't buy it ( Except for a house & maybe a car ).

Do you WANT it or do you NEED it?

I only do cash.

The item you want, is it an asset or liability?

Will it GAIN value or LOSE value over time?

Side effect, there are times I walk out of the store if I cannot afford the full amount.

Save, check deals, THEN buy said item.

You still need a credit score in life either way. So avoiding debt all together and not increasing your score will only put you at a disadvantage later in life.

 

[NarrowBandFtw]

Nothing CoT appears on my credit reports... what municipality does that?

same, credit card, insurance payments, bond, telephone accounts etc, but no municipality

that's on Experian, TransUnion might be different, but my account is locked there so not gonna bother unlocking to check

that might be something to keep in mind for the OP though: check at least both of those, not just one or the other, when you want to know your credit score

 

[Iamn0tageek]

You still need a credit score in life either way. So avoiding debt all together and not increasing your score will only put you at a disadvantage later in life.

Ja I heard people saying the following:

Open a clothing account or whatever
Buy some stuff on account
Settle account in full end of month

These days any place will give you a clothing account I believe.

Go to Ackermans or some welfare gangsta place like that.