Latest / Earn Your Leisure / EYL #18 Credit Rules Everything Around Me

Transcript

EYL #18 Credit Rules Everything Around Me · Earn Your Leisure

• 0:23
  Speaker 1: All right, guys, welcome back to the earlier Leisure Podcast,
• 0:27
  Speaker 1: episode eighteen eighteen.
• 0:29
  Speaker 2: Damn really eighteen already, I'm just listening to fifteen.
• 0:33
  Speaker 3: I'm still on fifteen actually, Yeah, time fly, time fly.
• 0:36
  Speaker 3: So we are fresh off of our LA trip.
• 0:38
  Speaker 4: Shout out to LA.
• 0:39
  Speaker 1: Yeah, we talked about that later on. We had a
• 0:41
  Speaker 1: good time out there. Shout out to California. We got
• 0:43
  Speaker 1: a lot of love out there.
• 0:44
  Speaker 4: Yeah. Man, it was overwhelming to see people come out.
• 0:48
  Speaker 4: Like I said, like, we had no we didn't know
• 0:50
  Speaker 4: anyone in LA and we left with the family of
• 0:53
  Speaker 4: people that are with us. So that's dope.
• 0:54
  Speaker 1: Yea, we go in detail. We're going to detail that
• 0:56
  Speaker 1: at the end. Well, we got a very special episode today.
• 1:00
  Speaker 1: One of the biggest requests that we have been getting
• 1:02
  Speaker 1: for a very long time is credit. You know, I'm
• 1:05
  Speaker 1: a financial advisor and people ask me about credit all
• 1:07
  Speaker 1: the time and not something I really specialize in.
• 1:10
  Speaker 3: So we we had to cover credit.
• 1:12
  Speaker 1: Like you can't have a financial podcast and not cover credit, right, Yeah,
• 1:17
  Speaker 1: it's mandatory.
• 1:18
  Speaker 2: So you know, moving vehicle for any financials you do
• 1:22
  Speaker 2: these days.
• 1:22
  Speaker 3: Man.
• 1:24
  Speaker 1: So when we you know, we were talking about credit,
• 1:26
  Speaker 1: you know, we had to get a specialist, and so
• 1:28
  Speaker 1: that's what we did.
• 1:28
  Speaker 3: We got Andy Suco.
• 1:30
  Speaker 1: Who is a specialist, guru, whatever you want to call
• 1:34
  Speaker 1: it in the credit industries. Work with a lot of
• 1:36
  Speaker 1: celebrities doing the radio, and more importantly, he works with
• 1:39
  Speaker 1: regular everyday people and helps him improve their credit. So,
• 1:42
  Speaker 1: first and foremost, thank you, thank you for joining us.
• 1:45
  Speaker 2: Welcome for having me. Appreciate it. I love it, feel energy.
• 1:49
  Speaker 2: It's different when you're listening and when you're here, like
• 1:50
  Speaker 2: all right.
• 1:52
  Speaker 3: Nah for sure.
• 1:53
  Speaker 1: So so yeah, so we are going to cover a
• 1:56
  Speaker 1: broad range of different topics today. We're gonna answer a
• 1:59
  Speaker 1: lot of questions that we got on Instagram, and hopefully,
• 2:02
  Speaker 1: you know, we're going to provide some very very valuable
• 2:04
  Speaker 1: information when it comes to credit because as our merch
• 2:08
  Speaker 1: merch line, yeah you know, every creep, yeah yeah, everything
• 2:12
  Speaker 1: ninety four, it was cream, it was that, it was
• 2:14
  Speaker 1: cash fos everything around me. Well we're in twenty nineteen
• 2:16
  Speaker 1: right now, so now it's credit rules everything around me, right,
• 2:19
  Speaker 1: So that's that's that's the age that.
• 2:21
  Speaker 3: We're in right now.
• 2:21
  Speaker 1: So before we start, we're going to tell some personal stories.
• 2:24
  Speaker 1: If you listen to the podcast, you know, we'd like
• 2:26
  Speaker 1: to actually get real personal about, you know, stuff, and
• 2:29
  Speaker 1: it's not just like telling things third story, third person.
• 2:33
  Speaker 1: We actually let you in on our personal lives. So
• 2:36
  Speaker 1: me and Troy both have credit story. So Troy, you
• 2:37
  Speaker 1: want to start off with the credit story, yeah, man.
• 2:39
  Speaker 4: And I think we will. It's well documented the process
• 2:42
  Speaker 4: of me getting this home, and we're talking about the
• 2:43
  Speaker 4: appraisal and that was the first step. But before we
• 2:47
  Speaker 4: could even get to the apraisal process, I had to
• 2:49
  Speaker 4: get approved for a loan and a scary party. It
• 2:53
  Speaker 4: was scary, and I was working with with a friend
• 2:54
  Speaker 4: of mine, and you know, I was pretty familiar with
• 2:58
  Speaker 4: the three bureaus, you know, Experience, TransUnion, and Equal Facts.
• 3:02
  Speaker 4: And I looked at my score. You know, I had
• 3:04
  Speaker 4: used Credit Carmer and Famous. I started with them, the
• 3:07
  Speaker 4: famous Credit Carmer. You know, it was for free, and
• 3:09
  Speaker 4: then I actually paid.
• 3:10
  Speaker 3: Yeah, nothing was free in this country.
• 3:13
  Speaker 4: Fact, So I paid the service because you know, I'm
• 3:17
  Speaker 4: trying to get a loan. I need to be serious
• 3:19
  Speaker 4: about this. I paid TransUnion, I paid all three girls,
• 3:21
  Speaker 4: and I looked, I righted. You know, I had like
• 3:24
  Speaker 4: a six ninety five average, not great but qualifies is good.
• 3:28
  Speaker 4: And in order to get the loan, I had to
• 3:30
  Speaker 4: have a six fifty scores. So I'm like, great, I
• 3:33
  Speaker 4: tell my boy run the credit.
• 3:34
  Speaker 3: It's good.
• 3:34
  Speaker 4: And he was worried about the inquiries. I'm like, it's good.
• 3:37
  Speaker 4: I checked them, I paid, we're good. He calls me
• 3:40
  Speaker 4: and he says, we got a problem, and I'm like,
• 3:43
  Speaker 4: what's the problem. He's like, the scores a five twenty
• 3:46
  Speaker 4: five and I'm like first reaction was like, nah, this
• 3:49
  Speaker 4: is this is identity that. This has to be identity
• 3:51
  Speaker 4: that but no, it's not me. Like he was like,
• 3:54
  Speaker 4: all right, look give me a social again. We're gonna
• 3:56
  Speaker 4: run it again. But you know, the inqueries is starting up.
• 4:00
  Speaker 4: I'm like, no, running again, that that's not me. I'm
• 4:02
  Speaker 4: looking at my scores. I texted him. He's like, I'm
• 4:04
  Speaker 4: not sure what was happening. So I looked the I
• 4:08
  Speaker 4: looked at the report and I saw some things that
• 4:10
  Speaker 4: were there, one being the United States Department of Education.
• 4:14
  Speaker 4: They had a loan on there that you know. I
• 4:16
  Speaker 4: was like, this doesn't even make sense. You know, I
• 4:17
  Speaker 4: had Sally Maine. I was nabbying and combined at the Salidad.
• 4:20
  Speaker 3: But they didn't close it.
• 4:22
  Speaker 4: So it looked like I had some I had two
• 4:24
  Speaker 4: loans exactly my dad to ratio. That ratio was high,
• 4:29
  Speaker 4: so I got that knocked off. Uh, And then I
• 4:32
  Speaker 4: started looking the other things. I started educating myself and
• 4:35
  Speaker 4: one of the things I was looking at, I was like, wait,
• 4:36
  Speaker 4: they have credit cards on there, but that's not mine.
• 4:39
  Speaker 4: I'm just an authorized user for that card. So that
• 4:42
  Speaker 4: debt was added on to it. And then I looked
• 4:46
  Speaker 4: and I was like, you know what, why are we
• 4:49
  Speaker 4: seeing both two different scores? And then it hit us
• 4:51
  Speaker 4: my mortgage broken and myself. We were like, oh, they're
• 4:53
  Speaker 4: using your fight Go score and I was like, huh,
• 4:57
  Speaker 4: like what we have three bureaus and then using a
• 4:59
  Speaker 4: different score. He's like, you're using your fycal scores. So
• 5:01
  Speaker 4: then I was like, all right, well what's that. I
• 5:03
  Speaker 4: had to educate myself again, paid again. So I became
• 5:06
  Speaker 4: a member of my fyco dot com and when I
• 5:09
  Speaker 4: saw it was like I sold a five twenty five.
• 5:11
  Speaker 4: I'm like, no, this is really me, this is really me.
• 5:14
  Speaker 4: And it opened my eyes because I was like, wait,
• 5:17
  Speaker 4: there's different type of fighter scores right, there's like a
• 5:20
  Speaker 4: one tooth up to which is it?
• 5:22
  Speaker 2: Not We'll advantage ten right now, fantas ten so like
• 5:25
  Speaker 2: so experience uses advantage ten right.
• 5:27
  Speaker 4: So each bureau uses something different and I was just like,
• 5:30
  Speaker 4: all right, this is crazy now, Like I'm just crazy.
• 5:32
  Speaker 4: So I keep going. I'm digging. I'm like, I have
• 5:34
  Speaker 4: this is a time sensitive right this this housing deal
• 5:36
  Speaker 4: has to get done within two months. There's a lot
• 5:39
  Speaker 4: of dominoes that will fall, Like if I don't get
• 5:40
  Speaker 4: the loan, then you know, my brother can't move, then
• 5:43
  Speaker 4: we can't have the house. So I started digging deeper.
• 5:47
  Speaker 4: I see, like my utilization rate, which is how much
• 5:50
  Speaker 4: money you're using from a credit card. And at the
• 5:52
  Speaker 4: time I had a best Spot card. It was not
• 5:53
  Speaker 4: crazy one thousand dollars, but I had used eight hundred
• 5:56
  Speaker 4: and I have bought like a new TV, so like that's
• 5:58
  Speaker 4: eighty percent of the card. I'm like, all right, well,
• 6:00
  Speaker 4: I'm gonna pay that off. So I did. I paid
• 6:03
  Speaker 4: it off. But on top of it, I was like,
• 6:05
  Speaker 4: I know we're in time sensitive. So I said, I'm
• 6:07
  Speaker 4: gonna call it best buyer the customer service I MNSA
• 6:09
  Speaker 4: speak to to their debt department. I'm like, listen, the
• 6:14
  Speaker 4: credit report apartment, and I'm like, look, when do you
• 6:16
  Speaker 4: guys report to the bureaus? Like I was just bold
• 6:19
  Speaker 4: like that, like when do you report? And they're like, well,
• 6:20
  Speaker 4: usually don't do that. And the lady was like open,
• 6:23
  Speaker 4: she was like, you know what, I understand the circumstance.
• 6:25
  Speaker 4: I'll help you out. We report on the twenty first.
• 6:27
  Speaker 4: So I was like, bat, I'm gonna have this paid
• 6:30
  Speaker 4: by the tenth and I need you guys to report
• 6:32
  Speaker 4: it by the fifteen. They were like, we'll do it
• 6:33
  Speaker 4: for you because we understand the circumsift. I went to
• 6:36
  Speaker 4: my next car. I was like, I had a major
• 6:37
  Speaker 4: this card only five hundred dollars, but I used four
• 6:39
  Speaker 4: hundred dollars for a suit, so my utilization right like
• 6:41
  Speaker 4: ninety percent. Like I am gonna pay that one down.
• 6:43
  Speaker 4: Boom did it, and they were like all right cool.
• 6:48
  Speaker 4: When I was so I'm like, when do you report,
• 6:49
  Speaker 4: they were like the sixth or every month, So I'm like,
• 6:52
  Speaker 4: all right, well we're at the fourth perfect they sent
• 6:55
  Speaker 4: thiss in. I got it in time, right, so like
• 6:58
  Speaker 4: in a month, in a month, a month and a half,
• 7:00
  Speaker 4: I went from like a five to twenty five to
• 7:02
  Speaker 4: like a seven hundred just because I educated myself on
• 7:05
  Speaker 4: it and was relentless, Like I was on the phone
• 7:10
  Speaker 4: every day with the credit department, the credit bureaus. I
• 7:14
  Speaker 4: was on the phone with the Department of the like
• 7:16
  Speaker 4: at one point I wish I would recorded the conversation
• 7:18
  Speaker 4: that one of the customer service women were like, thank you.
• 7:22
  Speaker 4: I was giving her information because that's how well I
• 7:26
  Speaker 4: had like studied, And it was like, you know what,
• 7:28
  Speaker 4: pretty much like my family's like generational wealth is on
• 7:32
  Speaker 4: the line if I don't get this this credit card.
• 7:34
  Speaker 4: And by the grace of God, man, we got it done.
• 7:37
  Speaker 4: So it was beautiful. But like there were a lot
• 7:39
  Speaker 4: of people's like, hey, you should pay for this service,
• 7:41
  Speaker 4: and I was like for what, man, Like you know,
• 7:44
  Speaker 4: I don't have the time, Like usually I tell you
• 7:45
  Speaker 4: it's like five to six months, and we can change
• 7:48
  Speaker 4: your school, we can get it. I'm like, I got
• 7:50
  Speaker 4: thirty days, you know.
• 7:51
  Speaker 2: I mean the interesting stories of the story. Actually I
• 7:54
  Speaker 2: don't need to cut into shot story. But a lot
• 7:56
  Speaker 2: of that's what you said is things people need to know.
• 7:58
  Speaker 2: Those maintenance on your credit that's things you can do
• 8:01
  Speaker 2: and DCI detritalization, keep your debt thirty percent low debt
• 8:04
  Speaker 2: high score, high debt low score, you know, and we'll
• 8:08
  Speaker 2: get into that more.
• 8:09
  Speaker 1: Yeah nah yeah, So I mean it's crazy that you
• 8:12
  Speaker 1: was able to raise your credit score one hundred.
• 8:13
  Speaker 4: That doesn't really had long Yeah, it was crazy.
• 8:16
  Speaker 3: But it was. If not, you wouldn't have had a.
• 8:19
  Speaker 4: Home, right, And like the thing is like my friends,
• 8:22
  Speaker 4: like my friends got to watch this happened, so, like,
• 8:24
  Speaker 4: I mean, it's well documented. So when Rashade came up
• 8:26
  Speaker 4: with the idea like yea, you should do the house,
• 8:28
  Speaker 4: I was like, great, all right, my credit card is good.
• 8:30
  Speaker 4: No it wasn't. Right, quickly found out no, it wasn't.
• 8:33
  Speaker 4: But and it's important too, Like so that FCO score.
• 8:36
  Speaker 4: Like I was able to get a car because my
• 8:38
  Speaker 4: the Fycal score that they would use was like maybe
• 8:40
  Speaker 4: FICO four, right, So that was for car landing. I
• 8:43
  Speaker 4: was able to get a car. I was able to
• 8:45
  Speaker 4: get credit cards because they used FYCO six. Right, But
• 8:48
  Speaker 4: if I wanted a home, I wasn't good. And that's
• 8:51
  Speaker 4: something I don't think people really know. Man.
• 8:53
  Speaker 2: Yeah, the whole vantage system how it works. You see
• 8:55
  Speaker 2: the things with each credit virors, they create their own
• 8:57
  Speaker 2: score off of the bat is reported to that, so
• 9:01
  Speaker 2: not every bank reports the all three viewers. That's why
• 9:03
  Speaker 2: one score is gonna be higher than the other one.
• 9:06
  Speaker 2: But then for the real day of a mortgage, that's
• 9:07
  Speaker 2: my fighter because it's giving you the overall picture in
• 9:11
  Speaker 2: one snapshot, right.
• 9:12
  Speaker 4: So that's important. So like if you're trying to get
• 9:14
  Speaker 4: a home, make sure you check your fighter school.
• 9:17
  Speaker 3: Now and don't wait till last minute.
• 9:18
  Speaker 4: Don't wait.
• 9:18
  Speaker 3: Ye gotta know what you gotta know beforehand.
• 9:20
  Speaker 1: So my story is a little less anybody that all right,
• 9:23
  Speaker 1: So me and trying to have a good dynamic because
• 9:25
  Speaker 1: Choy is like a real.
• 9:28
  Speaker 3: He's like a good guy.
• 9:31
  Speaker 1: Yeah, he has like a model family, like you know,
• 9:35
  Speaker 1: he has a house and you got the whole thing.
• 9:37
  Speaker 1: I'm a little more radical, So my story is a
• 9:41
  Speaker 1: little bit more radical. And I'm gonna tell you this
• 9:43
  Speaker 1: story and don't try this sound par discretion.
• 9:48
  Speaker 3: This was years ago, right, I was young and I
• 9:52
  Speaker 3: needed money for an investment.
• 9:54
  Speaker 1: I need like thirty thousand dollars for an investment, right,
• 9:57
  Speaker 1: and at the time I didn't really have any money
• 9:58
  Speaker 1: like that.
• 9:58
  Speaker 3: I had some money saved to go into my stating.
• 10:00
  Speaker 1: Right, So I'm like Okay, where gonna get thirty thousand
• 10:03
  Speaker 1: dollars from?
• 10:03
  Speaker 3: Right?
• 10:04
  Speaker 1: So I trying to get a bank loan that didn't work,
• 10:07
  Speaker 1: and I'm like, I really don't have anybody I can
• 10:08
  Speaker 1: call thirty thousand dollars from. So I'm like, but I
• 10:11
  Speaker 1: gotta get thirty thousand. So at the time, I had
• 10:14
  Speaker 1: really good credit. I still have good credit. I have
• 10:16
  Speaker 1: really good credit. So I got cash events from one
• 10:22
  Speaker 1: credit card.
• 10:22
  Speaker 3: Let me see this.
• 10:23
  Speaker 1: So I got cash advance with one credit I was
• 10:25
  Speaker 1: like two thousand dollars. So I'm like, you know what,
• 10:28
  Speaker 1: run it up? So I spent two days applying to
• 10:31
  Speaker 1: every credit card that I cant right, and I got
• 10:34
  Speaker 1: to I got approved from every credit card that I
• 10:35
  Speaker 1: applied for. I got like twelve credit cards in the
• 10:37
  Speaker 1: course of a weekend, and it was like two thousand
• 10:40
  Speaker 1: and five thousand, seven thousands. But by the end of
• 10:42
  Speaker 1: three days, I had thirty thousand dollars in cash advances.
• 10:46
  Speaker 1: But I didn't know what before I did that, and
• 10:49
  Speaker 1: a lot of people still don't know. Is that so
• 10:52
  Speaker 1: with the cash events, well, let me back it up.
• 10:56
  Speaker 1: It was ah, they had they were they were all
• 10:58
  Speaker 1: running specials that you can balance transfer balance transfer specials
• 11:04
  Speaker 1: with zero percent interest for like eighteen months, twelve months,
• 11:07
  Speaker 1: twenty four months, right, But a lot of times people
• 11:09
  Speaker 1: don't realize that with the balanced transfers, you can actually
• 11:11
  Speaker 1: take a cash advance and you don't pay any interest
• 11:15
  Speaker 1: for eighteen months. Very dangerous because at the end of
• 11:17
  Speaker 1: the eighteen months, now all of those other months have
• 11:20
  Speaker 1: Now you got to pay the interest for the back
• 11:22
  Speaker 1: eighteen months, so you gotta be careful with that. It's
• 11:24
  Speaker 1: like twenty percent interest. But long story short, that it
• 11:26
  Speaker 1: all figured out. So I said, okay, look, this is
• 11:28
  Speaker 1: a thirty thousand dollars loan that I'm gonna get interest
• 11:31
  Speaker 1: free for eighteen to twenty four months. If I can't
• 11:33
  Speaker 1: flip that in two years, shame on me. So long
• 11:38
  Speaker 1: story short, I leveraged myself to the tilt and I did.
• 11:43
  Speaker 3: A very speculative investor.
• 11:46
  Speaker 1: Wely go into what it was, but it was highly
• 11:48
  Speaker 1: speculative and the results of it I'll tell on a
• 11:52
  Speaker 1: different podcasts, But I say this to say the power
• 11:56
  Speaker 1: of credit. I wouldn't be able to raise thirty thousand
• 11:59
  Speaker 1: dollars in a week getting true in my twenties if
• 12:02
  Speaker 1: it wasn't for credit.
• 12:03
  Speaker 3: Right, So credit can be a very powerful tool if
• 12:07
  Speaker 3: you use properly.
• 12:08
  Speaker 1: Like I said, I don't recommend anybody do what I
• 12:10
  Speaker 1: did because that was extremely dangerous.
• 12:13
  Speaker 4: I hope did that. So you have to go.
• 12:15
  Speaker 1: Yeah, but but just know that there are a lot
• 12:19
  Speaker 1: of different tactics that you can use and you have
• 12:23
  Speaker 1: to be careful. But it can you know, you can
• 12:26
  Speaker 1: make you can make money off of it. The key
• 12:28
  Speaker 1: is to make money with other people's money.
• 12:29
  Speaker 4: That's my favorite line I think you've ever said. Hold
• 12:32
  Speaker 4: the podcast, it was like powerful too, very dangerous.
• 12:35
  Speaker 3: It's very dangerous. All right.
• 12:36
  Speaker 1: So now we're gonna go into some we're gonna we're
• 12:38
  Speaker 1: gonna start, we're gonna chop it up, and we're gonna
• 12:40
  Speaker 1: break it down. So you talked about FCO score, right,
• 12:43
  Speaker 1: can you just explain the FCO.
• 12:45
  Speaker 2: So FYCO is fair isaacredit company. They don't want to
• 12:47
  Speaker 2: creates the whole score from all three viewers for you.
• 12:50
  Speaker 2: They use the latest vantage, but it'll be vantage ten,
• 12:52
  Speaker 2: vantage eight that we're using that we ad vantage ten.
• 12:55
  Speaker 3: They use the latest vantage. So what is it? What
• 12:56
  Speaker 3: is that? Because people might not know what.
• 12:57
  Speaker 2: So it's the way the score is created that that's
• 13:00
  Speaker 2: put into the score. So they don't pick every single
• 13:04
  Speaker 2: like let's say your marketing Express card. Certain cards they
• 13:08
  Speaker 2: pick up and they create the score. So the department
• 13:10
  Speaker 2: that's why I speak by the department store card, they
• 13:12
  Speaker 2: don't have your credit that much, So stay away from them.
• 13:14
  Speaker 2: Stay into the basa of the master guards and so forth.
• 13:16
  Speaker 2: Those are the ones that create the score for you.
• 13:18
  Speaker 2: And then your payment history, how much new credit you have, utilization,
• 13:22
  Speaker 2: that's all that's calculated to it.
• 13:23
  Speaker 1: Okay, okay, so all right, So as far as like,
• 13:27
  Speaker 1: there's different factors that determine your credit score, right right, correct?
• 13:32
  Speaker 1: What is some of the key factor is that people
• 13:34
  Speaker 1: should be aware of.
• 13:36
  Speaker 2: One of the major factors I see this on everyone's
• 13:38
  Speaker 2: credit report is utilization. Just like you were talking about.
• 13:41
  Speaker 2: You know, you need to keep your utilization under thirty percent.
• 13:44
  Speaker 2: Once you start hitting thirty one thirty two percent of
• 13:47
  Speaker 2: that utilization, your score drops significantly and it takes two
• 13:50
  Speaker 2: months STU billing cycles for it to go up unless
• 13:52
  Speaker 2: you call the bank, like you didn't ask them just
• 13:54
  Speaker 2: to do a courtesy for your A lot of people
• 13:56
  Speaker 2: don't know how to do that right or they don't
• 13:58
  Speaker 2: they don't know they could do that. So one of
• 14:00
  Speaker 2: them is a keep the utilization very low thirty percent
• 14:03
  Speaker 2: or below. Let's see you have five cards and excuse me,
• 14:07
  Speaker 2: and you instead of use putting all the charges on
• 14:10
  Speaker 2: one card, split it across three cards to keep it
• 14:12
  Speaker 2: under thirty percent. Your score will stay high. Second thing
• 14:15
  Speaker 2: is increase six increases a year. If you do more
• 14:18
  Speaker 2: than that, your score drops each increase two point five points. Right,
• 14:23
  Speaker 2: and banks only give you what this the other banks
• 14:25
  Speaker 2: give you. So if you apply for in your scenario,
• 14:28
  Speaker 2: if you do that now, it would have been hard
• 14:29
  Speaker 2: for you to get all those cards, right because banks
• 14:32
  Speaker 2: are title giving our credit. So banks don't give you
• 14:35
  Speaker 2: what this the other banks will give you. So let's
• 14:36
  Speaker 2: say you apply for City Bank or Chase today. You
• 14:39
  Speaker 2: got to deny it. There's an increa there. If another
• 14:41
  Speaker 2: bank don't see a card open up, they're not going
• 14:43
  Speaker 2: to extend the credit to you, right, So new credit
• 14:46
  Speaker 2: all right?
• 14:46
  Speaker 3: So so thirty percent.
• 14:48
  Speaker 1: So if you have ten thousand dollars in credit available,
• 14:50
  Speaker 1: only use three thousand, correct, that's pretty much.
• 14:54
  Speaker 3: Not with one last thing.
• 14:55
  Speaker 2: Also, like if you're trying to build your score and
• 14:57
  Speaker 2: you're in the six fifty, you're lingering around the six
• 14:59
  Speaker 2: to fifty range. You shouldn't pay off your card in
• 15:01
  Speaker 2: full every month because the bank needs to make the
• 15:04
  Speaker 2: bank needs to make a little bit of interest off
• 15:06
  Speaker 2: of you to report okay on your credit report history. Correct,
• 15:09
  Speaker 2: it's only until you're like a seven to fifty, a
• 15:11
  Speaker 2: highest score you can pay your card off in full
• 15:13
  Speaker 2: because your score is already built. But if you're in
• 15:15
  Speaker 2: the six fifteen, you're trying to raise it.
• 15:17
  Speaker 3: Don't pay the card off.
• 15:18
  Speaker 1: Can you just explain that, because that's actually the first
• 15:20
  Speaker 1: time I'm hearing that in detail.
• 15:22
  Speaker 3: Like, so you don't pay.
• 15:23
  Speaker 2: Off the credit card on full every month, like every
• 15:25
  Speaker 2: other month. You could pay it off in full? Why
• 15:27
  Speaker 2: not very well, because the bank wouldn't report okay on
• 15:31
  Speaker 2: the credit report. On the slot that says okay, I'll
• 15:33
  Speaker 2: say no data. No data is like no credit okay.
• 15:36
  Speaker 2: So you have to like trick the system that will
• 15:38
  Speaker 2: make a little bit of interest off you. Because remember,
• 15:39
  Speaker 2: the bank's in the business making money, right, right, and
• 15:42
  Speaker 2: that's why they charge these interest rates.
• 15:43
  Speaker 4: So they want to see that your valued customer over
• 15:46
  Speaker 4: a period of time exactly, right. So if I have
• 15:48
  Speaker 4: a thousand dollars and I maxed out a thousand and
• 15:50
  Speaker 4: I pay a thousand. That's not really showing.
• 15:52
  Speaker 2: Anything exactly, and that's not helping them. There not making money.
• 15:55
  Speaker 2: So there's no sentence for them to report. Okay, on
• 15:57
  Speaker 2: the credit bord you have to report to have a
• 15:58
  Speaker 2: zero balance. Don't have that, Okay, That green mark on
• 16:02
  Speaker 2: your credit board is it is no data, okay, and
• 16:04
  Speaker 2: don't The way you see that is actually from the
• 16:06
  Speaker 2: credit report from the viewers. You wouldn't see it on
• 16:08
  Speaker 2: like a mortgage report or on your ownline reports. When
• 16:11
  Speaker 2: you pull the actual report from the viewers is when
• 16:13
  Speaker 2: you see.
• 16:13
  Speaker 3: That, all right. All right?
• 16:14
  Speaker 1: So now all right, so you got some framework and
• 16:16
  Speaker 1: then you got some interesting stories to me and Troy.
• 16:18
  Speaker 1: But now we're going to we're going to dive deep
• 16:20
  Speaker 1: into the the to the world of credit and yeah,
• 16:23
  Speaker 1: we're going to hopefully drop some gyms that can save
• 16:26
  Speaker 1: you guys a lot of time and money.
• 16:28
  Speaker 4: Depends the paths. Get ready, all right, So now we're
• 16:30
  Speaker 4: going to get into the part that most people aren't
• 16:32
  Speaker 4: aware of on their credit pard that are actually happening.
• 16:36
  Speaker 4: But you know, when you make a late payment or
• 16:38
  Speaker 4: you miss a payment or you miss a few there's
• 16:40
  Speaker 4: something that's called a derogatory that's correct, So god you
• 16:44
  Speaker 4: could you want to explain the impact that that has
• 16:47
  Speaker 4: and some examples of it.
• 16:48
  Speaker 2: Well, the derogatory section. Everyone has that on a credit report, right,
• 16:51
  Speaker 2: So what do you make a late payment? And by
• 16:53
  Speaker 2: the way, the way they report late payments these days
• 16:55
  Speaker 2: have changed because back then right after thirty days the
• 16:59
  Speaker 2: next day you were late. Now they give you a
• 17:00
  Speaker 2: thirty day grace period. But if the payment is not
• 17:02
  Speaker 2: made before five pm the twenty ninth of the next month,
• 17:06
  Speaker 2: then you get reported the first thirty days. That's a derogatory, right.
• 17:10
  Speaker 2: Collections charge off. Let's say you had a credit card
• 17:12
  Speaker 2: for five six years. You know you were paying for
• 17:14
  Speaker 2: three four years, you ran into a hardship, you missed,
• 17:17
  Speaker 2: you couldn't keep up with the payments anymore, and you
• 17:19
  Speaker 2: miss six months of payments. It gets charged off. That's
• 17:21
  Speaker 2: a derogatory. Public records lawsuits judgments there as well. Yes, absolutely,
• 17:28
  Speaker 2: because if one here's the thing about student know everyone
• 17:32
  Speaker 2: keeps deferring the student loans and that's actually you shouldn't
• 17:36
  Speaker 2: be doing that. You should at least try to make
• 17:38
  Speaker 2: some sort of payment plan with them because now one
• 17:40
  Speaker 2: it affects your credit, your DTI because let's see, you
• 17:42
  Speaker 2: took out six thousand, you deferred for five years, now
• 17:45
  Speaker 2: your loan is ten thousand. Now you're upside down with
• 17:48
  Speaker 2: the loan. One Two you lay payments. Also, their report
• 17:52
  Speaker 2: on the credit port is the derogatory if you miss
• 17:55
  Speaker 2: the laate payment. So I don't suggest anyone try to
• 17:58
  Speaker 2: put the payment in defirming for too long, but if
• 18:02
  Speaker 2: you have to make sure you don't have a gap
• 18:04
  Speaker 2: where it comes out of the ferment and you're supposed
• 18:06
  Speaker 2: to make a payment and go back into the ferment
• 18:08
  Speaker 2: heed to avoid that.
• 18:09
  Speaker 4: It's tough because I mean we covered it pretty extensively,
• 18:12
  Speaker 4: Like we have millions of Americans that are in trillion
• 18:17
  Speaker 4: dollar industry, and it's like, you know, the first thing
• 18:20
  Speaker 4: is like deferment, but it only lasts six to twelve months, right,
• 18:23
  Speaker 4: and that that can affect you long term, right when
• 18:25
  Speaker 4: it's time for you to now get the home, like
• 18:28
  Speaker 4: still a loan payment as affected you try to get
• 18:30
  Speaker 4: the car student, right, they're going to see that on
• 18:32
  Speaker 4: that derogatory.
• 18:33
  Speaker 2: Because they calculate the monthly payment into your income. Right,
• 18:35
  Speaker 2: So Let's say, you know, you only make I don't know,
• 18:38
  Speaker 2: two thousand dollars a month or bi weekly whatever, and
• 18:41
  Speaker 2: your monthly payments are all your expense, including rent, food
• 18:44
  Speaker 2: whatever not that foods are rent bills, credit cards, it
• 18:48
  Speaker 2: is fifteen hundred. Now you add your student loans in there.
• 18:51
  Speaker 2: Now you only have two hundred dollars left. How are
• 18:53
  Speaker 2: you going to get get more? Extra are gonna come in?
• 18:55
  Speaker 4: You know?
• 18:55
  Speaker 2: So it's a debt that you really don't want to
• 18:58
  Speaker 2: carry with you, but we have to if you want
• 19:00
  Speaker 2: to try at least make some kind of payment towards it.
• 19:02
  Speaker 3: So what do the derogatories?
• 19:05
  Speaker 1: Okay, so some of the common derogatory items are late payments.
• 19:09
  Speaker 2: Late payments, credit cards. Even I did a video about
• 19:12
  Speaker 2: when you move out of your apartment, how to exit
• 19:14
  Speaker 2: your apartment. Your Verizon bill, your contact is some bill,
• 19:18
  Speaker 2: all that goes on your credit repoard. There's a way
• 19:19
  Speaker 2: to shut everything off before you walk out of that
• 19:21
  Speaker 2: apartment so it doesn't travel. So what's the way that
• 19:24
  Speaker 2: you So basically, make a checklist of everything that you
• 19:26
  Speaker 2: had when you were living in an apartment cable, phone,
• 19:29
  Speaker 2: water or whatever.
• 19:30
  Speaker 3: A week before you move out.
• 19:31
  Speaker 2: You're supposed to call those companies and let them know
• 19:33
  Speaker 2: you're leaving, to disconnect the service on this date and
• 19:36
  Speaker 2: send you the bill.
• 19:37
  Speaker 3: Right.
• 19:38
  Speaker 2: A lot of people just walk out and leave everything
• 19:40
  Speaker 2: the Verizon bill, cable bill. You're supposed to return those boxes.
• 19:43
  Speaker 2: If you don't, you get targe. You're renting those boxes,
• 19:45
  Speaker 2: you don't own them. That's a stupid way of having
• 19:47
  Speaker 2: a debt on your credit board. Domest your credit bill. Right,
• 19:49
  Speaker 2: you can just return the boxes, play the final.
• 19:51
  Speaker 1: Bill, right, Yeah, for sure. So all right, so what
• 19:53
  Speaker 1: do support serving? Yeah, we get what about taxling?
• 19:58
  Speaker 2: So taxling shows up on your credit but it was
• 20:01
  Speaker 2: up to two years ago. They stopped reporting it, but
• 20:03
  Speaker 2: it stays in the public record. So let's say applying
• 20:05
  Speaker 2: for a mortgage, when they pull for your mortgage report,
• 20:08
  Speaker 2: they put a Lexus nexus. Your taxi show up there,
• 20:11
  Speaker 2: so you can affect it from getting the mortgage. But
• 20:13
  Speaker 2: it's not in your credit report anymore, but it stays
• 20:15
  Speaker 2: in public records. Successes lesus next is a company out
• 20:18
  Speaker 2: in Atlanta that carries all public record data for everyone.
• 20:21
  Speaker 4: Okay, okay, for.
• 20:23
  Speaker 2: All the court system, bankruptcies, everything.
• 20:25
  Speaker 3: So what about credit card judgments? A lot of people
• 20:27
  Speaker 3: have credit card judgments.
• 20:28
  Speaker 2: Oh man, listen, that's a good topic and how that happens.
• 20:32
  Speaker 2: You know, Let's say you have a credit card. I
• 20:35
  Speaker 2: go back to Chase because I did with them every day.
• 20:37
  Speaker 4: Right.
• 20:37
  Speaker 2: Let's say you have to Chase credit card for five years,
• 20:40
  Speaker 2: three years, you paid it. After that you went to
• 20:42
  Speaker 2: a harship. We can't paid no more and they went
• 20:45
  Speaker 2: to collections and you didn't even pay it then, right
• 20:48
  Speaker 2: before the statue limitation comes in, and every debt has
• 20:50
  Speaker 2: a statue mentation, every state has a statue limitation. Right
• 20:54
  Speaker 2: before the statue limentation ends, it goes to an attorney.
• 20:57
  Speaker 2: They pick it up and obtaining a defaul judgment against
• 20:59
  Speaker 2: you for ten years.
• 21:01
  Speaker 1: So ten years, ten years, but it can be it
• 21:04
  Speaker 1: can be wiped off all right, even if you so
• 21:06
  Speaker 1: if you have the ten year judgment, it can still
• 21:07
  Speaker 1: be like wiped off before that ten years.
• 21:10
  Speaker 2: Absolutely if it's resolved correct if you don't. If you
• 21:12
  Speaker 2: don't resolve it, then it can winue again. How do
• 21:14
  Speaker 2: you resolve it? So you got to make an agreement
• 21:16
  Speaker 2: with the judge, but not with the judgement attorney assume
• 21:18
  Speaker 2: you they could either go back at the court and
• 21:20
  Speaker 2: resolve it or resolve it over the phone. Make an
• 21:22
  Speaker 2: agreements that listen to that's five thousand. You know I
• 21:25
  Speaker 2: can give you two thousand call of the day, all right,
• 21:27
  Speaker 2: so the death has to be resolved. Resolved.
• 21:30
  Speaker 1: That that made me think about something because we let
• 21:32
  Speaker 1: me keep it on the show.
• 21:33
  Speaker 4: Right.
• 21:34
  Speaker 1: So usually in our community, what happens is that you
• 21:37
  Speaker 1: fall on the hard times, you don't pay your bills.
• 21:39
  Speaker 3: They call you, and you don't answer the phone call.
• 21:42
  Speaker 4: You try to ignore that number.
• 21:44
  Speaker 3: But that's what that's that's what we're gonna do. That's
• 21:46
  Speaker 3: what that's how it do a judgment. So start of it,
• 21:49
  Speaker 3: all right.
• 21:49
  Speaker 1: What's your advice for people that are doing that? Like
• 21:52
  Speaker 1: I always tell people, you can't avoid problems. You have
• 21:55
  Speaker 1: to face it right, So and then especially credit card companies,
• 21:58
  Speaker 1: they'll work with you if you conte people still mentally,
• 22:01
  Speaker 1: I guess it's just nobody really wants to be embarrassed
• 22:05
  Speaker 1: or they don't want to even kind of go through
• 22:07
  Speaker 1: that if they know that they don't have the money
• 22:08
  Speaker 1: to pay it. So you have all right, you got
• 22:11
  Speaker 1: yourself in a bad situation. You can't pay your bill,
• 22:13
  Speaker 1: you're laid on your bills. What do you do? Like,
• 22:16
  Speaker 1: what's the best?
• 22:16
  Speaker 2: Here's the thing that's funny we're talking about this. A
• 22:20
  Speaker 2: lot of people don't want to resolve to that because
• 22:22
  Speaker 2: they've been totally You don't have to pay it that back.
• 22:23
  Speaker 2: It's going to disappear a lot of people. That's what
• 22:26
  Speaker 2: a lot of people say. You know, oh, my friends,
• 22:27
  Speaker 2: I don't want to pay it back.
• 22:28
  Speaker 3: Is the truth.
• 22:29
  Speaker 2: Yes, you have to, right, but you have to answer
• 22:33
  Speaker 2: the phone man like you can't. They'll work with you.
• 22:35
  Speaker 2: They wanted to work at you.
• 22:36
  Speaker 4: This is I'm just the willing to work with your
• 22:39
  Speaker 4: part is one hundred percent valid. I have friends, and
• 22:42
  Speaker 4: I mean personally, I've done it myself, like I've had
• 22:45
  Speaker 4: I've seen my interest rate go up when I was
• 22:46
  Speaker 4: in college to a point I was like, wait, oh,
• 22:48
  Speaker 4: thirty thousand dollars. I'm twenty one, right, and I'm like,
• 22:51
  Speaker 4: I don't know what to do. So I'm like I
• 22:53
  Speaker 4: literally was listening to how I need to have it and
• 22:55
  Speaker 4: I promise you, and I heard Andree was talking about
• 22:58
  Speaker 4: dec consolidation and I called this and I was like,
• 23:01
  Speaker 4: all right, well we'll do it. And I did it,
• 23:03
  Speaker 4: and like rather than paying at thirty right, the bankers
• 23:07
  Speaker 4: looking like, hey, can we get some money? Right, So
• 23:09
  Speaker 4: I'm like, all right, we agreed to amount, and I'm like,
• 23:11
  Speaker 4: all right, I'll pay that off.
• 23:12
  Speaker 2: There's a difference between that consolidation debt settlement. I am
• 23:16
  Speaker 2: not a deck into deck consolid I don't think anyone
• 23:18
  Speaker 2: should do it. And I'll tell you why. Once the
• 23:20
  Speaker 2: debts charged off, you have to pay something, but not
• 23:23
  Speaker 2: the full thing. But consumers don't know that, so they
• 23:26
  Speaker 2: go to de consolidating way. They make you paid the
• 23:28
  Speaker 2: whole debt over three years. You kind of just paid
• 23:31
  Speaker 2: it debt twice, Yeah, because it went insurance paid it
• 23:34
  Speaker 2: or wherever the bank resolved it, and that you paid
• 23:36
  Speaker 2: the whole thing back again to the banks. It's once
• 23:40
  Speaker 2: the debts charged off, it's better to settle to then
• 23:43
  Speaker 2: move on. You're five grand, we get that down to
• 23:46
  Speaker 2: eighteen hundred. I would rather pay that and move on
• 23:49
  Speaker 2: because your credit is still shot and you're not going
• 23:51
  Speaker 2: to get the card back.
• 23:53
  Speaker 3: Right, So I haven't paid twice.
• 23:55
  Speaker 4: Yeah, I've seen people do it, like I've seen like
• 23:57
  Speaker 4: like you just said, like, hey I owe twenty listen,
• 24:00
  Speaker 4: I have ten, right, and the bank is like, you
• 24:02
  Speaker 4: know what, I'll take that ten rather than have nothing
• 24:04
  Speaker 4: from you for the next five years.
• 24:05
  Speaker 2: So here's a trick behind Rushot's talking about collection agencies
• 24:11
  Speaker 2: and attorneys do skip traits. Well, the skip trace is
• 24:14
  Speaker 2: where they pull your credit and they see that if
• 24:16
  Speaker 2: you're paying like, what's it called skip trace, skip trades,
• 24:19
  Speaker 2: skip t R a CE so skip trait, skip trace
• 24:23
  Speaker 2: worse like this, they want to find you when you
• 24:26
  Speaker 2: see where you are to serve your judgment, they pull
• 24:28
  Speaker 2: your credit, they see you have this address, that address,
• 24:30
  Speaker 2: that address. That's how the martials end up coming to
• 24:32
  Speaker 2: your house and dropping a note off, right, So they
• 24:34
  Speaker 2: see if you're paying any debts back. So now let's
• 24:37
  Speaker 2: say you're completely shot your scores five hundred. You have
• 24:41
  Speaker 2: every single debt out there. When they do that skip trace,
• 24:43
  Speaker 2: they know you're completely bro or you seem to be bro.
• 24:47
  Speaker 2: You have a better chance of getting a lower number
• 24:49
  Speaker 2: in that settlement because they'll take anything you want to
• 24:52
  Speaker 2: resolve it and keep it going. Right, if you apply
• 24:55
  Speaker 2: for Warrior this year, increy on there from a home
• 24:57
  Speaker 2: mortgage company, or you're trying to buy something, you have money,
• 25:00
  Speaker 2: everybody pops up. They want to settle, but they'll sell
• 25:02
  Speaker 2: at a high number, and collection agencies work on commission.
• 25:06
  Speaker 2: End of the month you get the best number. Beginner
• 25:08
  Speaker 2: of the month you don't.
• 25:11
  Speaker 1: That's so end of the month, Okay, I don't want
• 25:13
  Speaker 1: people to I'll let that go over your head explain that.
• 25:16
  Speaker 2: Oh yeah, collection agency is working commission. It's a fifty job.
• 25:21
  Speaker 2: But your job is to you have to hit certain numbers.
• 25:23
  Speaker 2: At the end of the month, you have to hit
• 25:25
  Speaker 2: let's say a budget is thirty thousand. After that you
• 25:27
  Speaker 2: get commissioned. So that's why in the beginning of the month,
• 25:29
  Speaker 2: let's see, had a death for five thousand, they'll say, oh,
• 25:31
  Speaker 2: we can only settle for forty five hundred four thousand.
• 25:34
  Speaker 2: Come that to the last five days of a month,
• 25:36
  Speaker 2: that same debth for eighteen hundred dollars. But you can't
• 25:40
  Speaker 2: get off your credit report because the loss states whether
• 25:44
  Speaker 2: you pay or don't pay something, it stays on your
• 25:46
  Speaker 2: credit port for seven years. That's where my company comes in.
• 25:49
  Speaker 2: I make your seven years ninety days, so I'm able
• 25:53
  Speaker 2: to make your credit jump right back to seven fifty
• 25:56
  Speaker 2: eight hundred Squeakly, nothing ever, comes back on your credit report.
• 26:02
  Speaker 3: Credit repair. Oh yes, that it's a lot off camp.
• 26:09
  Speaker 3: You said, there's no such thing. It's the credit credit.
• 26:12
  Speaker 2: Exist right, It's a skin, right, That's why every single
• 26:15
  Speaker 2: company can I call the companies out? You don't care, No,
• 26:18
  Speaker 2: I mean that's your mom and pop company, Lexington Lord
• 26:22
  Speaker 2: credit payer dot com credits saying I want to spe name,
• 26:26
  Speaker 2: I want two Okay.
• 26:28
  Speaker 5: This episode is brought to you by P and C Bank.
• 26:31
  Speaker 5: A lot of people think podcasts about work are boring,
• 26:34
  Speaker 5: and sure, they definitely can be, but understanding of professional's
• 26:38
  Speaker 5: routine shows us how they achieve their success little by little,
• 26:42
  Speaker 5: day after day. It's like banking with P and C Bank.
• 26:46
  Speaker 5: It might seem boring to save, plan and make calculated
• 26:48
  Speaker 5: decisions with your bank, but keeping your money boring is
• 26:52
  Speaker 5: what helps you live or more happily fulfilled life. P
• 26:55
  Speaker 5: and C Bank Brilliantly Boring since eighteen sixty five. Boring
• 27:00
  Speaker 5: since eighteen sixty five is a service mark of the
• 27:03
  Speaker 5: PNC Financial Service Group, Inc. P and C Bank National
• 27:07
  Speaker 5: Association Member FDIIC.
• 27:11
  Speaker 4: Earners.
• 27:12
  Speaker 3: What's up?
• 27:12
  Speaker 5: You ever walk into a small business and everything just
• 27:15
  Speaker 5: works like the checkout is fast, the receipts are digital,
• 27:19
  Speaker 5: tipping is a breeze and you're out the door before
• 27:22
  Speaker 5: the line even builds. Odds are they're using Square. We
• 27:26
  Speaker 5: love supporting businesses that run on Square because it just
• 27:29
  Speaker 5: feels seamless. Whether it's a local coffee shop, a vendor
• 27:32
  Speaker 5: at a pop up market, or even one of our
• 27:34
  Speaker 5: merch partners, Square makes it easy for them to take payments,
• 27:38
  Speaker 5: manage inventory, and run their business with confidence, all from
• 27:42
  Speaker 5: one simple system. If you're a business owner or even
• 27:45
  Speaker 5: just thinking about launching something soon, Square is hands down
• 27:49
  Speaker 5: one of the best tools out there to help you start, run,
• 27:52
  Speaker 5: and grow. It's not just about payments, it's about giving
• 27:55
  Speaker 5: you time back so you can focus on what matters
• 27:58
  Speaker 5: most ready. To see how Square can transform your business,
• 28:02
  Speaker 5: visit Square dot com backslash, go backslash eyl to learn
• 28:06
  Speaker 5: more that Square dot com backslash, go backslash eyl. Don't wait,
• 28:12
  Speaker 5: don't hesitate. Let's Square handle the back end so you
• 28:15
  Speaker 5: can keep pushing your vision forward.
• 28:19
  Speaker 6: You just realized your business needed to hire someone yesterday?
• 28:23
  Speaker 6: How can you find amazing candidates fast? Easy? Just use Indeed.
• 28:29
  Speaker 6: Stop struggling to get your job posts seen on other
• 28:31
  Speaker 6: job sites with Indeed sponsored jobs, your post jumps to
• 28:35
  Speaker 6: the top of the page for your relevant candidates, so
• 28:38
  Speaker 6: you can reach the people you want faster. According to
• 28:41
  Speaker 6: Indeed data, sponsored jobs posted directly on Indeed have forty
• 28:45
  Speaker 6: five percent more applications than non sponsored jobs. Don't wait
• 28:49
  Speaker 6: any longer. Speed up your hiring right now with Indeed,
• 28:53
  Speaker 6: and listeners of this show will get a seventy five
• 28:55
  Speaker 6: dollars sponsored job credit to get your jobs more visibility
• 28:58
  Speaker 6: at indeed dot com slash pod Katz thirteen. Just go
• 29:04
  Speaker 6: to Indeed dot com slash pod katz thirteen right now
• 29:09
  Speaker 6: and support our show by saying you heard about Indeed
• 29:12
  Speaker 6: on this podcast. Terms and conditions apply. Hiring Indeed is
• 29:16
  Speaker 6: all you need.
• 29:18
  Speaker 2: They all do the same thing. Send dispute letters with
• 29:23
  Speaker 2: no letterhead. So yeah, I think about that. If I'm
• 29:25
  Speaker 2: paying you ninety nine dollars, you said I'm gonna fix
• 29:27
  Speaker 2: your credit, Why is only the instructions on letterhead but
• 29:29
  Speaker 2: not the level you sent to the credit beer on letterhead?
• 29:32
  Speaker 2: Look like I'm sending the letter one two. If you
• 29:34
  Speaker 2: ever read those dispute letters, it's like your ten year
• 29:37
  Speaker 2: old kid wrote it.
• 29:39
  Speaker 3: Right.
• 29:40
  Speaker 2: So, for example, let's say Verizon, you have a Verizon bill,
• 29:45
  Speaker 2: you have Verizon home service, cable internet, whatever it is
• 29:47
  Speaker 2: that you have a Verizon right for over a year.
• 29:50
  Speaker 2: All of a sudden you moved out. You didn't pay
• 29:52
  Speaker 2: the bill because you didn't return the box on the
• 29:54
  Speaker 2: final bills, and you have this on your credit report.
• 29:57
  Speaker 2: Verizon have a collection for you. They're gonna write a letter,
• 29:59
  Speaker 2: please validate this debt. I never had this debt. Well
• 30:02
  Speaker 2: what do you have for the last twelve months? So
• 30:04
  Speaker 2: everything has a pay per trail behind it, right, So
• 30:08
  Speaker 2: that's what a level never works. Not a letter goes
• 30:09
  Speaker 2: to the credit virrs. The credit viewer sends it to
• 30:11
  Speaker 2: the Verizon rising sends back your whole statement in the
• 30:14
  Speaker 2: digital file, your checks that you made paymentswater. They even
• 30:18
  Speaker 2: keep phone communication if you spoke to them. You spoke
• 30:21
  Speaker 2: to us on this day, and that's all testifiable. I
• 30:23
  Speaker 2: have it in my office when you speak to these companies, Oh,
• 30:25
  Speaker 2: my client spoke to them on this day.
• 30:28
  Speaker 3: Right.
• 30:28
  Speaker 2: So anyway back to the whole credit periods. The letters
• 30:30
  Speaker 2: thing doesn't work because if he has a pay per
• 30:32
  Speaker 2: trail one, there's no such thing as fixing credit. Every
• 30:36
  Speaker 2: consumer has a right to dispute something on their credit
• 30:38
  Speaker 2: if they believe it was reported erroneously or inaccurately, that's
• 30:43
  Speaker 2: you're right.
• 30:43
  Speaker 1: So from my understanding, it's like correct me if I'm wrong,
• 30:47
  Speaker 1: they write a letter or you. Everybody has the ability
• 30:50
  Speaker 1: to write a letter to a company disputing something. If
• 30:52
  Speaker 1: they don't respond to that dispute, it has to come
• 30:54
  Speaker 1: up right. So that's kind of what they do because
• 30:57
  Speaker 1: they know most people are They don't want to do
• 30:59
  Speaker 1: it themselves, so they do it.
• 31:01
  Speaker 3: For them correct.
• 31:02
  Speaker 2: And the reason and the other thing is that in
• 31:03
  Speaker 2: the industry there's something called servicing a debt and owning
• 31:06
  Speaker 2: a debt. Let me explain that for you. I'll say
• 31:08
  Speaker 2: it again, servicing a debt and owning a debt, owning
• 31:11
  Speaker 2: a debt. There's only four companies in the industry that
• 31:13
  Speaker 2: buys debts Portfolio Recovery, Midland Funding, MCM, and Calvy Portfolio.
• 31:20
  Speaker 2: Those four companies buy debts and they give you thirty
• 31:22
  Speaker 2: days to resolve it. If you don't resolve it, they
• 31:24
  Speaker 2: get a default judgment against you, send it to an attorney.
• 31:27
  Speaker 2: The attorney serves you got to show up in court.
• 31:29
  Speaker 3: Blah blah blah. I shouldn't say blah blah.
• 31:32
  Speaker 2: But the second thing is servicing a debt. So let's
• 31:35
  Speaker 2: say Verizon come back to Verrison. RGM Acquisition is a
• 31:38
  Speaker 2: collection agency. They don't own the debt. Verizon sent the
• 31:41
  Speaker 2: debt to RGM to for them to call you ten
• 31:43
  Speaker 2: times a day. They don't have the man power to
• 31:45
  Speaker 2: do that. So now when you send these letters, the
• 31:47
  Speaker 2: collection agency is never supposed to be there. That's why
• 31:49
  Speaker 2: the collection acy will come off your credit that's all
• 31:51
  Speaker 2: the letter does. But the debt comes back around ninety
• 31:54
  Speaker 2: days later from to another agency, so the debt is
• 31:57
  Speaker 2: never really leaving you, so that everything has to be resolved.
• 32:01
  Speaker 3: So back to the.
• 32:01
  Speaker 2: Word of credit a peer, Yeah, it doesn't exist anyone.
• 32:04
  Speaker 2: Everyone has a right to contest something if it's not
• 32:07
  Speaker 2: accurate on your credit board, but not out of ten
• 32:10
  Speaker 2: times all these banks and they're so squeaky clean with
• 32:14
  Speaker 2: their data now, like it's very minimum room for errors.
• 32:18
  Speaker 4: That's important. Man. You gotta educate yourself, right, Like, rather
• 32:21
  Speaker 4: than paying ninety nine dollars, you can do it yourself,
• 32:24
  Speaker 4: reading for about two hours a day and figure it out. Man,
• 32:27
  Speaker 4: it's valuable. So like you're saving your time and your.
• 32:30
  Speaker 3: Money, not supporting.
• 32:31
  Speaker 1: All right, Okay, so now we're going to go into
• 32:34
  Speaker 1: our new topic, our new section.
• 32:37
  Speaker 4: We got a whole new segment that we're calling it
• 32:40
  Speaker 4: ten to ten. So we got ten questions. Hopefully you
• 32:43
  Speaker 4: can't give us ten answers. And it's courtesy of Instagram
• 32:46
  Speaker 4: pretty much our followers. We laid it out there that
• 32:49
  Speaker 4: we're going to have credit as an episode and we
• 32:52
  Speaker 4: got a crazy response.
• 32:55
  Speaker 2: Yeah, there's so much to learn about this credit industry,
• 32:57
  Speaker 2: how it works, like how credit is built, how you
• 33:00
  Speaker 2: get approved for credit card, Like there's a whole knowledge
• 33:04
  Speaker 2: based on that we're just touching like this.
• 33:07
  Speaker 4: Yeah, so we took we took ten and hopefully we
• 33:10
  Speaker 4: can get ten answers.
• 33:11
  Speaker 3: Question.
• 33:11
  Speaker 1: We're gonna we're gonna yeah, we're gonna jump right into it.
• 33:13
  Speaker 1: So yeah, let's do it, all right. So, yes, this
• 33:18
  Speaker 1: is a new segment that we're gonna do. Hopefully we'll
• 33:21
  Speaker 1: do what every show, maybe not every show, but depending
• 33:24
  Speaker 1: on if it's an educational show like it is right
• 33:25
  Speaker 1: now where we're actually bringing somebody in, every show's educational show.
• 33:28
  Speaker 1: But if this is a show where we're bringing an
• 33:30
  Speaker 1: expert in, we're gonna start a new segment called ten
• 33:33
  Speaker 1: for ten, right, because as I always say, it's not
• 33:35
  Speaker 1: our podcast, it's your podcast. It's the public's podcast, and
• 33:39
  Speaker 1: the platform is to educate. So we're taking ten questions
• 33:43
  Speaker 1: from our listeners and we're gonna answer those questions, right,
• 33:47
  Speaker 1: and it's all on Instagram. So we'll put a post
• 33:50
  Speaker 1: up a few days before and we'll ask you know
• 33:53
  Speaker 1: your your questions, and then you guys just comment in
• 33:56
  Speaker 1: the comments section and then we'll pick ten questions and
• 33:59
  Speaker 1: then we'll we'll do.
• 34:00
  Speaker 3: It, so asks the expert. Yeah for sure, for sure.
• 34:02
  Speaker 1: So we're going to start out with the first question
• 34:05
  Speaker 1: is from I Underscore am underscore Asia shout out to her.
• 34:11
  Speaker 1: She wants to know how do you establish business credit?
• 34:15
  Speaker 2: All right, that's a good question, and there's actually a
• 34:17
  Speaker 2: big that's a big topic actually. So everyone seems to
• 34:20
  Speaker 2: think that business credit that once you register a company
• 34:24
  Speaker 2: name and you have a website and a bank account,
• 34:27
  Speaker 2: you have business credit. Actually don't have business credit. You're
• 34:29
  Speaker 2: still PG and everything under your social. Business credit runs
• 34:32
  Speaker 2: separately from your social it's established on the tax id.
• 34:36
  Speaker 2: It has to standalone by itself, has to sit by itself.
• 34:39
  Speaker 2: When you PG something that goes on your personal credit
• 34:42
  Speaker 2: GG with personal guarantee.
• 34:43
  Speaker 3: Okay, excuse me. It's when you.
• 34:46
  Speaker 2: PG something, it sits on your credit, on your personal credit.
• 34:49
  Speaker 2: Want it affects your BTI because if it's a like
• 34:51
  Speaker 2: an American's Press charge card, you're swiping thirty thousand a month.
• 34:55
  Speaker 2: Remember little debt high score. That's affecting your your score.
• 34:59
  Speaker 2: And two it makes your credit score drop. Right, So
• 35:04
  Speaker 2: business credit has to stand alone by it's itself on
• 35:07
  Speaker 2: the tax sidy. How do you establish it for There's
• 35:10
  Speaker 2: a ten step process. One you have to be the
• 35:12
  Speaker 2: taxid the bank account. You have to be registered in
• 35:14
  Speaker 2: your newspaper. You count the newspaper on the two newspapers
• 35:17
  Speaker 2: showing that you have your legitimate, legitimate business. You can't
• 35:21
  Speaker 2: have your home address as the business address because you
• 35:25
  Speaker 2: need to re scores experience equal facts and done a
• 35:27
  Speaker 2: Bradstreet Experience Equal facts is not recognize your home addresses
• 35:31
  Speaker 2: your business address and your cell phone is a business number.
• 35:34
  Speaker 2: That's why I tell people get a virtual space one
• 35:36
  Speaker 2: ninety nine like reagius or.
• 35:38
  Speaker 3: What about po box?
• 35:39
  Speaker 1: No you can't, so all right, I didn't know that,
• 35:43
  Speaker 1: so you had Okay, So because you.
• 35:44
  Speaker 2: Need a receptance on the phone number where they can
• 35:46
  Speaker 2: call them verified and send mails to.
• 35:48
  Speaker 1: Okay, so you can't get business credit without the address.
• 35:52
  Speaker 1: You need to separate from your home address and you need.
• 35:56
  Speaker 3: An office address.
• 35:56
  Speaker 4: That's correct.
• 35:57
  Speaker 2: That's why I say you get a regious space. One
• 35:58
  Speaker 2: night and nine is the cheapest thing, right, because it
• 36:01
  Speaker 2: needs to be verifiable by experienting equal facts. Because it's
• 36:04
  Speaker 2: three scores nunn a Bradstreet explant equal facts. You need
• 36:08
  Speaker 2: to be scores and all three viewers and how you
• 36:10
  Speaker 2: build business credit?
• 36:11
  Speaker 4: So why why is trans Union left out of that?
• 36:13
  Speaker 2: Did you just don't using Okay, it's not heavy enough, right,
• 36:16
  Speaker 2: all right?
• 36:16
  Speaker 1: So okay, so let's stay on that for a little bit.
• 36:18
  Speaker 1: So you all right, start a business. You got your LLC,
• 36:21
  Speaker 1: you got you got your taxi.
• 36:24
  Speaker 3: Number, bank, you can open your bank account registered in
• 36:26
  Speaker 3: the courthouse. Yeah, all that newspaper did all that stuff.
• 36:29
  Speaker 1: Now you the first So now you have to get
• 36:32
  Speaker 1: an address.
• 36:32
  Speaker 3: Correct.
• 36:33
  Speaker 1: So now we're now we're trying to build credit for
• 36:35
  Speaker 1: the business. Right, So you get a did you get
• 36:38
  Speaker 1: a Google number? Yeah, you get a Google number. We
• 36:40
  Speaker 1: get a number separate from your cell phones and get
• 36:43
  Speaker 1: an address separate from your cell phone. Now can the
• 36:46
  Speaker 1: address be another word like say, can I can I
• 36:48
  Speaker 1: use my sister's address? My address just separate from the
• 36:52
  Speaker 1: one you live the exactly.
• 36:54
  Speaker 3: Okay, So now that so now, now how do you establish.
• 36:57
  Speaker 2: Now you have that, you need trade lines. So that's company.
• 37:01
  Speaker 2: There's companies like Quills. There's like ten other companies out there.
• 37:06
  Speaker 2: I can't think of it right off the top of
• 37:08
  Speaker 2: my head. But here's how it works. I have a
• 37:09
  Speaker 2: whole list in my office. You reach out to them
• 37:12
  Speaker 2: and they give you ten They give you trade lines.
• 37:14
  Speaker 2: Trade lines are like loans. They'll give you like a
• 37:16
  Speaker 2: thousand dollar credit limit. You have to use fifty dollars
• 37:19
  Speaker 2: for the next six months of pay on time fifty
• 37:22
  Speaker 2: or more you have. It's built just like you're building
• 37:24
  Speaker 2: personal credit. But it's two dear vendors once. So you
• 37:29
  Speaker 2: need three of them. Three vendors. If you want to
• 37:31
  Speaker 2: get cards on like Best Buy, Office Depot, Office Max,
• 37:36
  Speaker 2: those guys. If you want credit cards from the bank,
• 37:38
  Speaker 2: you need six vendors. Sixpenders are six trade lines, right,
• 37:43
  Speaker 2: and you're built from with that for six months. From there,
• 37:46
  Speaker 2: you apply for your own credit cards. Now if you
• 37:49
  Speaker 2: want loans out of the bank, you have to have
• 37:50
  Speaker 2: a p and L, a profit and loss, and you
• 37:53
  Speaker 2: have to have a tax return in order for the
• 37:56
  Speaker 2: bank to extend loan under the business because they have
• 37:58
  Speaker 2: to see money coming into the company and money going back.
• 38:00
  Speaker 2: Have a PNL to see that. You know you can
• 38:02
  Speaker 2: pay the loans back.
• 38:03
  Speaker 3: Okay, okay, okay, right.
• 38:06
  Speaker 4: So we got our next question from Bob Bob Lewis III,
• 38:10
  Speaker 4: and he asked, can you establish credit.
• 38:12
  Speaker 2: For your children actually at seventeen or eighteen years old? Yeah,
• 38:15
  Speaker 2: you could. How you do it is that you Adam
• 38:17
  Speaker 2: was an authorized using one of your credit cards. But
• 38:19
  Speaker 2: with that coming back to your story, it has to
• 38:22
  Speaker 2: be a clean credit. You can't have high balances, you
• 38:24
  Speaker 2: can't have derogatories. But whatever you do will affect that person.
• 38:27
  Speaker 4: Yeah, I got lucky. I'm being honest. This is like
• 38:28
  Speaker 4: a true story, and I think we I first noticed
• 38:31
  Speaker 4: it when with Out told my credit and I was
• 38:35
  Speaker 4: twenty six and he was like, wait, you have twenty
• 38:38
  Speaker 4: three years of credit history, and I'm like, I don't know.
• 38:41
  Speaker 4: And then I realized that my parents put me on
• 38:44
  Speaker 4: their card that they've had since nineteen eighty five or
• 38:48
  Speaker 4: something like that, and I was like history, oh wow,
• 38:50
  Speaker 4: and they've been responsible, So like, yeah.
• 38:51
  Speaker 3: That don't affect you, y, that's effect.
• 38:53
  Speaker 4: It affected me in a positive way, positive, right negative?
• 38:56
  Speaker 3: Yeah.
• 38:56
  Speaker 2: Yeah, So you can do it, but it has to
• 38:58
  Speaker 2: be clean history. Okay, right at seventeen?
• 39:00
  Speaker 1: Moving on, okay, okay, So this is from Nelly Gibbs.
• 39:05
  Speaker 1: She wants to know what the best way to repay
• 39:07
  Speaker 1: student loans and what's the best way to handle student
• 39:12
  Speaker 1: loan debts.
• 39:12
  Speaker 2: Oh so we were talking about this earlier. So depending
• 39:14
  Speaker 2: on the loan, if it's deferred or it's in collection.
• 39:17
  Speaker 2: I mean, we kind of gotta find out that. But anyway,
• 39:19
  Speaker 2: the point is, if you have a bunch of student loans,
• 39:22
  Speaker 2: everything is based off of an income. The payment plan
• 39:24
  Speaker 2: is based off on an income based right, So when
• 39:27
  Speaker 2: you call a student loans you want to I suggest
• 39:29
  Speaker 2: everyone create a payment plan, Like, don't keep the firm.
• 39:33
  Speaker 2: It's not a good thing to do because it affects
• 39:34
  Speaker 2: you from doing bigger purchases in the future. But on
• 39:37
  Speaker 2: what you do is you call a student long company,
• 39:39
  Speaker 2: tell me you want to go on the income based
• 39:40
  Speaker 2: repayment plan, and they send your form.
• 39:43
  Speaker 3: You fill out.
• 39:43
  Speaker 2: The trick to that is that make sure when you
• 39:45
  Speaker 2: fill out the forms, you put it you have a
• 39:47
  Speaker 2: lot of expenses. So the monthly payment is a low
• 39:50
  Speaker 2: payment and they keep you, they lock you into that
• 39:52
  Speaker 2: for a couple of years and then you recertify again.
• 39:55
  Speaker 2: But you want to put like you know, you have
• 39:57
  Speaker 2: you know, rent cards, to daycare, whatever it is to
• 40:00
  Speaker 2: show that you have a lot of expenses. If not,
• 40:02
  Speaker 2: they're going to hit you with a high monthly payment
• 40:04
  Speaker 2: of seven more.
• 40:05
  Speaker 4: Yeah, we've seen. I've seen yet, like I've seen.
• 40:07
  Speaker 2: That's how you trick it.
• 40:08
  Speaker 4: Yeah. So our next question is from.
• 40:11
  Speaker 2: Uh oh and also, next thing, if you have student
• 40:14
  Speaker 2: loans and like two different like Sally made none and all,
• 40:17
  Speaker 2: that you can actually have all of those loans refinancing
• 40:20
  Speaker 2: the one loan, and I suggest everyone do that so
• 40:24
  Speaker 2: it's easy for you to attract the payments.
• 40:25
  Speaker 3: And I'm making money payments to five different companies.
• 40:27
  Speaker 4: That is one hundred percent thro man, like I was again,
• 40:30
  Speaker 4: I have student loans, like the first thing we what
• 40:33
  Speaker 4: I did was like consolidate them all, so like Navy,
• 40:35
  Speaker 4: and is now my correct shout out to them. Uh So,
• 40:40
  Speaker 4: our next question is from at flow underscore Bella Underscore,
• 40:44
  Speaker 4: and her question is what are some ways I can
• 40:46
  Speaker 4: fix my credit herself? Like what can she do?
• 40:48
  Speaker 3: So?
• 40:48
  Speaker 2: First off, you got to pull the report and pull
• 40:50
  Speaker 2: a real time report. You know, credit carment that accurate,
• 40:53
  Speaker 2: is not detailed. If you have a mortgage lender, those
• 40:57
  Speaker 2: are the best reports that they try and merge, and
• 40:58
  Speaker 2: they give you your whole history for when you were
• 41:00
  Speaker 2: seventeen or when you got credit the current excuse me.
• 41:04
  Speaker 2: Once you pull that report, you're able to see all
• 41:06
  Speaker 2: the derogatories and the issues that are holding down your credit.
• 41:10
  Speaker 2: If it's stuff that you know that was paid off already,
• 41:14
  Speaker 2: you can dispute it with the beers that had like
• 41:16
  Speaker 2: third party collections that have that taken off. But you
• 41:19
  Speaker 2: got to see the negatives on there and what debts
• 41:22
  Speaker 2: they are, so you can put a plant to address them.
• 41:23
  Speaker 2: If there's some desks, you can do settlements that you
• 41:25
  Speaker 2: have to do settlements so you can call it back
• 41:27
  Speaker 2: the credits directly and negotiate with them to make a
• 41:30
  Speaker 2: payment plan. You could even do one account of month
• 41:32
  Speaker 2: until you get to your end results.
• 41:34
  Speaker 4: And some things is one hundred percent accurate. It'll show
• 41:37
  Speaker 4: you that you missed a card payment in twenty fourteen.
• 41:39
  Speaker 3: Very detailed, very detailed.
• 41:41
  Speaker 4: All right.
• 41:41
  Speaker 1: So this is a big one. This is a big one.
• 41:43
  Speaker 1: This is from who cares underscore?
• 41:46
  Speaker 3: No one? I like that.
• 41:50
  Speaker 1: So can child support be removed from your credit and
• 41:55
  Speaker 1: can we talk about the effects of child support on
• 41:58
  Speaker 1: your credit?
• 42:00
  Speaker 3: Support?
• 42:00
  Speaker 2: It reports is a collection debt, all right? Yes, it
• 42:03
  Speaker 2: can be removed. Actually, we're the only one could remove them.
• 42:06
  Speaker 2: A letter cannot remove them. The problem is if we
• 42:08
  Speaker 2: remove them, you cannot miss a payment again, because if
• 42:10
  Speaker 2: you miss a payment, it'll come back on. Same thing
• 42:13
  Speaker 2: for late payments on credit card. I want to talk
• 42:15
  Speaker 2: about that. Actually, we can remove all your late payments,
• 42:18
  Speaker 2: but you cannot miss any late payments moving forward. If not,
• 42:20
  Speaker 2: it will come back on your credit word or a
• 42:22
  Speaker 2: bank reports and a batch file. Right, So child sport
• 42:25
  Speaker 2: can report and it is a collection also, so if
• 42:28
  Speaker 2: you're trying to buy something and you know your detail
• 42:32
  Speaker 2: is off and your numbers are off, it can affect
• 42:34
  Speaker 2: the monthly payment that you're paying, and child support can
• 42:36
  Speaker 2: affect your approval of how much you can get approofer
• 42:39
  Speaker 2: if that makes sense.
• 42:40
  Speaker 4: All right, So our next one is from at Done
• 42:43
  Speaker 4: in three to one, and he asked when do agencies
• 42:46
  Speaker 4: report debt balances? Is there a specific time during the
• 42:49
  Speaker 4: month that they do.
• 42:50
  Speaker 2: It, or when his agencies will you.
• 42:52
  Speaker 4: Talk about I'm assuming that any means like when does
• 42:55
  Speaker 4: like TransUnion or experience or epifact, is there a specific one?
• 43:00
  Speaker 3: The burwers don't.
• 43:01
  Speaker 2: The buwers update on the first to the fifth of
• 43:03
  Speaker 2: every month, but the data comes from the bank or
• 43:06
  Speaker 2: the flesh or the credit does not come from the
• 43:08
  Speaker 2: from the bureau. They don't want to just house the data,
• 43:11
  Speaker 2: and on the first to the fifth of every month
• 43:12
  Speaker 2: they update new reports. Your bank reports different days. Some
• 43:16
  Speaker 2: days they report, you know, the ten to fifteenth, whatever
• 43:19
  Speaker 2: your billing cycle is.
• 43:20
  Speaker 4: But that's something you could find out.
• 43:22
  Speaker 2: And to make it easy for you, if you want
• 43:24
  Speaker 2: to make sure you never laid on your payment, you
• 43:26
  Speaker 2: can call all your credit card companies and ask them
• 43:28
  Speaker 2: to make your due They the same day every month,
• 43:32
  Speaker 2: So if you have five cards, you can make them
• 43:33
  Speaker 2: all of them the fifteenth of every month, so you know,
• 43:36
  Speaker 2: you know, you know, if you're a person that keeps
• 43:38
  Speaker 2: forgetting to make payments, you know on the fifteenth every
• 43:40
  Speaker 2: bill is due.
• 43:41
  Speaker 3: If you can afford to do it.
• 43:43
  Speaker 1: Okay, Rage against Ordinary has a question. She wants to
• 43:47
  Speaker 1: know after chapter seven bankruptcy, how long does that stay
• 43:51
  Speaker 1: on your report?
• 43:51
  Speaker 2: Bankruptcy stay for seven years. And here's the crazy thing
• 43:55
  Speaker 2: about bankruptcy now. One the creditors can contest the bankruptcy. Really,
• 44:01
  Speaker 2: they don't have to. Like let's say you have bank
• 44:02
  Speaker 2: markers on towards for this. They can contest it. They
• 44:05
  Speaker 2: don't have to accept the bankruptcy. They can say no,
• 44:08
  Speaker 2: I don't you know, it's we don't want to I know.
• 44:10
  Speaker 2: They can contest the bankruptcy. To the new bankruptcy laws,
• 44:14
  Speaker 2: depending on what chapter you're filing, you have to pay
• 44:16
  Speaker 2: a percentage of your debt back in court, right somethings.
• 44:22
  Speaker 2: You have to pay a percentage and that's determined by
• 44:24
  Speaker 2: the judge and magistrates. Where's doing your bankruptcy? What's your
• 44:27
  Speaker 2: percentage is? So if you're filing bankruptcy, you gotta really
• 44:31
  Speaker 2: think about it. If you don't have like fifty to
• 44:33
  Speaker 2: one hundred thousand dollars worth of debt, it's not really
• 44:34
  Speaker 2: finding bankruptcy. It's not really worth it in my eyes,
• 44:38
  Speaker 2: to find bankruptcy for seven years.
• 44:39
  Speaker 4: That was gonna be like. My next kind of question
• 44:41
  Speaker 4: off of that is like, when would it be I
• 44:43
  Speaker 4: guess appropriate to file for bankruptcy. Right, there's a certain
• 44:46
  Speaker 4: amount of debt that.
• 44:47
  Speaker 2: You should I mean, there's a couple of qualifying SCENARIOSM
• 44:51
  Speaker 2: If you're not working, you know, you can't do anything
• 44:53
  Speaker 2: about it. You can't pay anything, you know. But if
• 44:56
  Speaker 2: you are working, you have some savings. Because when you
• 44:57
  Speaker 2: find bankruptcy, they go through all you have to disclose assets, right,
• 45:02
  Speaker 2: so you know, if you have money in the bank,
• 45:03
  Speaker 2: you're like, well, why can't you pay this, knowing that
• 45:05
  Speaker 2: the banking contest it. Not all banks have to and
• 45:07
  Speaker 2: that happened to me actually because I did it many
• 45:09
  Speaker 2: years ago and they contested it. Then you can't have
• 45:12
  Speaker 2: been put You can't open an account for three years,
• 45:14
  Speaker 2: a bank account, but you can't show if you have
• 45:15
  Speaker 2: any kind of money, any bank account, any bank camp,
• 45:18
  Speaker 2: because they can go back, oh, well you have money.
• 45:20
  Speaker 3: You know. It becomes very messy.
• 45:22
  Speaker 2: But again with the bankruptcy, and it's not as easy
• 45:24
  Speaker 2: as like the way it was in twenty ten. You
• 45:26
  Speaker 2: follow and you walk away. You got to pay a
• 45:29
  Speaker 2: percentage back. So you know, I think everyone should really
• 45:31
  Speaker 2: consider depending on the scenario, because still filing bankruptcy, it's
• 45:35
  Speaker 2: not the best route. It is a route, but it's
• 45:38
  Speaker 2: not the best route depending on your situation. But it
• 45:40
  Speaker 2: stays there for seven years and then you can the
• 45:43
  Speaker 2: other thing about that.
• 45:45
  Speaker 3: You burn.
• 45:46
  Speaker 2: Let's say in the industry is prime and subprime banks.
• 45:49
  Speaker 2: So let's say you file bankruptcy, I where discover American Express,
• 45:52
  Speaker 2: Barclay Chase. Once you find bankrupcy, you can't get back
• 45:55
  Speaker 2: to do business with those guys. Again, They're not going
• 45:57
  Speaker 2: to extend any credit. So now you're kind of stuck
• 45:59
  Speaker 2: in a subprime and read supprime bank kind of rest
• 46:02
  Speaker 2: of your life where you've been high interest rates because
• 46:04
  Speaker 2: major banks are not going to extend any kind of
• 46:05
  Speaker 2: credit card to you.
• 46:07
  Speaker 4: That's what I will. Our next question is from at
• 46:11
  Speaker 4: young God. He said, if if I default on my
• 46:14
  Speaker 4: business credit cards, it doesn't show up on my personal credit.
• 46:16
  Speaker 2: If you PG it, yes, no. If you didn't PG it, no,
• 46:19
  Speaker 2: it does not. If you personally guarantee it when you
• 46:22
  Speaker 2: open it, which I be honest with you, nine percent
• 46:25
  Speaker 2: of nine and nine percent of the people that said
• 46:27
  Speaker 2: they have business credit their PG and everything okay, could
• 46:31
  Speaker 2: not go into the full steps of registering the company
• 46:33
  Speaker 2: correctly and building it correctly. They're you know, if you
• 46:37
  Speaker 2: if your socialist going on that application, your PG.
• 46:40
  Speaker 1: And the role, so you're personally guarante Some more people
• 46:42
  Speaker 1: think that they have business credits really just an extension
• 46:44
  Speaker 1: of their own personal credit for their business.
• 46:46
  Speaker 3: Correct.
• 46:47
  Speaker 1: But you can actually establish business credit, but you have
• 46:50
  Speaker 1: to go the steps of getting in office and having
• 46:53
  Speaker 1: as correct. That's okay, that's important to understand people, and
• 46:57
  Speaker 1: especially entrepreneurs because a lot of people don't know that.
• 47:00
  Speaker 3: I didn't realize that. So all right, all.
• 47:02
  Speaker 1: Right, man, So yeah, so that that was pretty extensive
• 47:05
  Speaker 1: as far as the ten questions. All right, So I
• 47:09
  Speaker 1: hope that you guys listen because one podcast episode is
• 47:14
  Speaker 1: not gonna be enough to fully grasp. But what we
• 47:18
  Speaker 1: try to do here, it's never enough for anything, but
• 47:20
  Speaker 1: we try to plan a seed, right, We try to
• 47:22
  Speaker 1: plan a seed and then hopefully you gain information. It's
• 47:26
  Speaker 1: like when we had Quenton on as far as talk
• 47:27
  Speaker 1: about stocks. Right, you can't learn about stocks in an hour,
• 47:30
  Speaker 1: but you can you can gain enough information to now
• 47:34
  Speaker 1: you can go on the journey of seeking information for yourself, right,
• 47:39
  Speaker 1: and then also you have to work with professionals. So
• 47:42
  Speaker 1: I always say, you can try to do things yourself
• 47:45
  Speaker 1: and it may not be a bad thing, but it's
• 47:48
  Speaker 1: always good to work with professionals if you can.
• 47:51
  Speaker 4: Right.
• 47:52
  Speaker 1: So that's why we brought Andy here, and Andy's gonna
• 47:54
  Speaker 1: give all of you guys his information. But before we
• 47:57
  Speaker 1: do that, I want to talk about La brieflee.
• 48:01
  Speaker 3: Yeah, So we went to LA.
• 48:03
  Speaker 1: As I said, this is our first episode back from LA,
• 48:05
  Speaker 1: and it was dope. We had some some some great interviews,
• 48:10
  Speaker 1: people mess some great people, and we had a networking
• 48:13
  Speaker 1: event and about fifty people came, maybe even more, and
• 48:18
  Speaker 1: we we fed the people, we gave them, we gave
• 48:20
  Speaker 1: them drinks. It was just dope, a dope vibe. We
• 48:23
  Speaker 1: want to come, Yes, we want to come to your city.
• 48:27
  Speaker 1: So if you have speaking engagements, if you have opportunities,
• 48:32
  Speaker 1: if you have anything for us, feel free to d
• 48:34
  Speaker 1: m us. We feel free to email us. Because we
• 48:37
  Speaker 1: have to spread the financial literacy word to the masses,
• 48:42
  Speaker 1: and the only way to do that is to travel.
• 48:44
  Speaker 1: We can do that via internet, but it's nothing like
• 48:46
  Speaker 1: touching the people. So we want to go to Chicago.
• 48:48
  Speaker 1: We want to go to Miami. We want to go
• 48:49
  Speaker 1: to Toronto, Canada. We want to go to Philly, we
• 48:52
  Speaker 1: want to go all of these different places. Atlanta, of course,
• 48:55
  Speaker 1: we got to go to Atlanta. So Houston, but we
• 48:58
  Speaker 1: need you guys help. So yeah, so we'll talk about
• 49:01
  Speaker 1: our Patreon later. But before we wrap it up, Andy,
• 49:05
  Speaker 1: can you and I just realized this too? Is that
• 49:07
  Speaker 1: a DC yeah, chases chases chaso.
• 49:11
  Speaker 3: Can you just give me like a thirty second extradition?
• 49:14
  Speaker 3: Realize that happened? How that happened? Was that?
• 49:18
  Speaker 2: So you guys want slow Bucks? See your slow you
• 49:21
  Speaker 2: guys don't miss the rugs in Atlanta.
• 49:23
  Speaker 4: Queens get the money.
• 49:23
  Speaker 2: Yeah, you know I did some stuff with rugs two
• 49:27
  Speaker 2: years ago, three years ago in Atlanta on his credit.
• 49:30
  Speaker 2: He was purchasing some cards and you know, whatever he
• 49:33
  Speaker 2: was purchasing.
• 49:34
  Speaker 3: I helped him out. He got introduced to me to.
• 49:38
  Speaker 2: Slow Bucks and then so anyway to him, I went
• 49:41
  Speaker 2: down to the Mister White Party one year, hung out
• 49:45
  Speaker 2: with him, Prime rest in peace, prime prime time.
• 49:49
  Speaker 3: Uh, Meek Mills.
• 49:50
  Speaker 2: I got induced to Meek and you know a bunch
• 49:52
  Speaker 2: of guys to chains and all of them, and then
• 49:54
  Speaker 2: you know we started talking at lunch on a Sunday
• 49:56
  Speaker 2: that this was with this guy. Okay, here, I am
• 49:57
  Speaker 2: a brown guy and these guy don't fit in. Who
• 50:00
  Speaker 2: this guy you know, and there's a credit guy whatever whatever, whatever.
• 50:03
  Speaker 2: I did some stuff for Meeks, you know, Meek the
• 50:06
  Speaker 2: good vibe. You know, he's like, yeah, I like this guy,
• 50:07
  Speaker 2: school door whatever. So you know HEO come up with
• 50:09
  Speaker 2: the DC. You know, I appreciate that actually, and you
• 50:13
  Speaker 2: know that's how it happened.
• 50:15
  Speaker 4: Okay out to me.
• 50:17
  Speaker 1: Yes, it's very rare to have a credit specialist to
• 50:20
  Speaker 1: have a Meek milk chain. So for that, for that alone,
• 50:24
  Speaker 1: you know, you gotta you gotta give him a shot.
• 50:26
  Speaker 1: So can you tell people how to contact you? Your
• 50:29
  Speaker 1: social media handles and all.
• 50:30
  Speaker 3: The definite definite.
• 50:32
  Speaker 2: So our website is ww dot y two K Credit
• 50:34
  Speaker 2: Solutions dot com. Our social media is ye two K
• 50:38
  Speaker 2: Underscore Credit Solutions dot com.
• 50:41
  Speaker 4: Uh.
• 50:41
  Speaker 2: The phone umber is five one six five six eight
• 50:43
  Speaker 2: four five four one. We have our main locations in
• 50:47
  Speaker 2: New York were satellite locations in h State two in Canada,
• 50:50
  Speaker 2: Toronto and Ottawa.
• 50:53
  Speaker 3: And you know that's it all right? Yeah google me.
• 50:55
  Speaker 2: You know, you know I'm all over yeah, yeah.
• 50:57
  Speaker 3: Yeah, check them out. Check them out. Sooy, can you
• 50:59
  Speaker 3: talk about our patre.
• 51:00
  Speaker 4: Yeah, man, it's pretty overwhelming. You know, we seek about
• 51:04
  Speaker 4: Patreon every episode, and we you know, LA was the
• 51:06
  Speaker 4: first time we got to actually reach out and go
• 51:09
  Speaker 4: to see people, and a lot of us do because
• 51:11
  Speaker 4: of the support that we get from Patreon and other avenues.
• 51:15
  Speaker 4: So Patreon is a way for you to financially support
• 51:18
  Speaker 4: the podcast. We can't do any of this without you,
• 51:21
  Speaker 4: but if you know, if you want us financial support
• 51:23
  Speaker 4: us so that we can go to other cities and
• 51:26
  Speaker 4: spread the word of financial literacy and other things. Like
• 51:28
  Speaker 4: we were in LA. We talked about multitude of topics. Man,
• 51:31
  Speaker 4: we met at some great people and to see the
• 51:33
  Speaker 4: message coming to fruition is just like amazing. I think
• 51:37
  Speaker 4: I called I text you off on the plane, Like
• 51:39
  Speaker 4: I'm completely overwhelmed with joy right now, just to see
• 51:43
  Speaker 4: people actually responding to it that we've never met before.
• 51:46
  Speaker 4: We had a great conversation the other day with some
• 51:49
  Speaker 4: of our Patreon members about how they're applying what we're
• 51:53
  Speaker 4: saying into real day like application. It was like amazing, right.
• 51:57
  Speaker 4: We spoke to somebody who has a quap lit so
• 52:00
  Speaker 4: ye had a quaplex right, and he was like, yo,
• 52:02
  Speaker 4: I listened to episode twelve and it inspired me shout
• 52:05
  Speaker 4: out right, and it was like, yo, this is crazy,
• 52:07
  Speaker 4: Like look at the impact that we're having. So if
• 52:11
  Speaker 4: you're not on Patreon, feel free to go with patreon
• 52:14
  Speaker 4: dot com backslash Ernalisia. We have five different tiers that
• 52:18
  Speaker 4: you can join at. There's a real basic tear and
• 52:20
  Speaker 4: then we have a more extensive tier where we talked
• 52:22
  Speaker 4: to people, you know, three times a month or you know,
• 52:25
  Speaker 4: we have a video chat about the episode because some
• 52:28
  Speaker 4: people have extended questions after that. We are, so feel
• 52:31
  Speaker 4: free to check out Patreon out continue to support our
• 52:33
  Speaker 4: merch Early Leisure dot com. I tell y'all, season two
• 52:35
  Speaker 4: is coming, it's on the way, it's on the way.
• 52:37
  Speaker 4: We're gonna be doing some dope stuff.
• 52:39
  Speaker 1: So yeah, man, yeah, and I shout out to Cody
• 52:42
  Speaker 1: and yeah, we spoke to him, and so we uh,
• 52:44
  Speaker 1: we have you know a lot of times people want
• 52:46
  Speaker 1: to pick our brain right for like business mentorship or
• 52:49
  Speaker 1: investment mentorship. So we've built relationships with a lot of
• 52:52
  Speaker 1: good people and.
• 52:52
  Speaker 4: Really good people.
• 52:53
  Speaker 1: We know a few things. So yeah, Patreon is a
• 52:56
  Speaker 1: way to extended dialogue. So and just you know, like
• 52:59
  Speaker 1: I said, just to travel. You were in LA and
• 53:00
  Speaker 1: we're talking to Al Harrington and he's given us game
• 53:02
  Speaker 1: and he's given y'all game just from being on the
• 53:04
  Speaker 1: podcast about I mean, this guy's going to be a
• 53:06
  Speaker 1: billionaire like it's happened, is what happened. So it's very
• 53:10
  Speaker 1: rare to have an opportunity to have an hour conversation
• 53:14
  Speaker 1: with a future billionaire and he's just given game free.
• 53:16
  Speaker 1: We wouldn't have been able to do that if we
• 53:18
  Speaker 1: didn't go to LA. So you know, we're going to
• 53:19
  Speaker 1: go to Atlanta, like I said, all these places and
• 53:21
  Speaker 1: shout out to Toronto, Canada. Can we just get a
• 53:25
  Speaker 1: minute to talk about Toronto because somebody had a question.
• 53:29
  Speaker 1: Two people had questions about credit and just like what
• 53:31
  Speaker 1: you told me earlier, can you just because we don't
• 53:33
  Speaker 1: want to just we're bigger than just America people. We
• 53:36
  Speaker 1: have listeners all over the world. We have listeners in Africa,
• 53:39
  Speaker 1: we have listeners in Europe, and we have listeners in Canada.
• 53:41
  Speaker 1: Canada is one of our strongest basis in Toronto specifically.
• 53:46
  Speaker 1: So yeah, just a brief because I know the credit
• 53:49
  Speaker 1: over there works and you work in Canada too.
• 53:51
  Speaker 2: Yeah, correct, correct, So you know Canada the only used
• 53:54
  Speaker 2: two beers equal facts and TransUnion. The thing is Canada
• 53:58
  Speaker 2: is a little more strict with the credit because they
• 54:00
  Speaker 2: don't have that much banks, they don't. They're very strict
• 54:02
  Speaker 2: how to extend credit, right, and it make sure that
• 54:04
  Speaker 2: you have collateral for everything. But what takes us three
• 54:07
  Speaker 2: months to fix in the US will take us six
• 54:08
  Speaker 2: months to fix in Canada. It is fixable. It's just
• 54:11
  Speaker 2: a longer process, but it is fixable. And Canada credit,
• 54:17
  Speaker 2: like the economy is much more tighter than the US,
• 54:19
  Speaker 2: you know, so it's fixable.
• 54:22
  Speaker 3: You need us.
• 54:23
  Speaker 2: We have an office, two officers out there actually, and
• 54:26
  Speaker 2: one in Toronto, Mississauga seven seven to one one one
• 54:29
  Speaker 2: sentext Boulevard and Ottawa.
• 54:31
  Speaker 3: Yeah.
• 54:32
  Speaker 1: So if you're in Canada, hit Andy, you worse to Canada.
• 54:35
  Speaker 1: And we are coming to Toronto soon very let me know.
• 54:38
  Speaker 2: I want to go to May twenty second, come out
• 54:40
  Speaker 2: there with or something, do a networking event. Actually for
• 54:43
  Speaker 2: sure we can have something up for sure. Yeah all right,
• 54:46
  Speaker 2: so Annie, thank you for joining us again. Before I leave,
• 54:49
  Speaker 2: I always have a book tips on my book tip
• 54:51
  Speaker 2: of this episode will be Multiple streams of Income. It's
• 54:54
  Speaker 2: a very very good book and we always talk about
• 54:57
  Speaker 2: you know, you need multiple streams of income. So the
• 55:00
  Speaker 2: it outlies multiple I think it outlies nine different streams
• 55:04
  Speaker 2: of income and it kind of like gives. Each chapter
• 55:06
  Speaker 2: is devoted to a different stream of income. So highly
• 55:10
  Speaker 2: recommend the book Multiple streams of Income for anybody that
• 55:13
  Speaker 2: is seeking multiple streams of income. And thank you for
• 55:16
  Speaker 2: rocking with us. We will see you next week.
• 55:17
  Speaker 3: Peace Please, you.
• 55:45
  Speaker 6: Just realized your business needed to hire someone yesterday? How
• 55:50
  Speaker 6: can you find amazing candidates fast? Easy? Just use Indeed.
• 55:55
  Speaker 6: Stop struggling to get your job post seen on other
• 55:57
  Speaker 6: job sites. With Indeed sponsored, your post jumps to the
• 56:01
  Speaker 6: top of the page for your relevant candidates, so you
• 56:04
  Speaker 6: can reach the people you want faster. According to Indeed data,
• 56:08
  Speaker 6: sponsored jobs posted directly on Indeed have forty five percent
• 56:11
  Speaker 6: more applications than non sponsored jobs. Don't wait any longer,
• 56:16
  Speaker 6: speed up your hiring right now with Indeed, and listeners
• 56:19
  Speaker 6: of this show will get a seventy five dollars sponsored
• 56:22
  Speaker 6: job credit to get your jobs more visibility at indeed
• 56:25
  Speaker 6: dot com. Slash pod Katz thirteen. Just go to indeed
• 56:31
  Speaker 6: dot com, slash pod Katz thirteen right now and support
• 56:36
  Speaker 6: our show by saying you heard about Indeed on this podcast.
• 56:39
  Speaker 6: Terms and conditions apply. Hiring Indeed is all you need