aeq@pucc-h (Jeff Sargent) (03/09/84)
I wonder where THESE jokers got my OFFICE address....
Today I received (at my office) an invitation to apply for a $10,000 unsecured
line of credit (i.e. my signature is all that's needed) from Security Pacific
Executive/Professional Financial Services. I am, in a way, complimented that
someone thinks I'm that good of a credit risk. (I actually think I am, but
this is the sort of thing that you don't expect to see until you make over
$50,000 a year, which I'm nowhere near.) But do I really need a preapproved
line of credit of that size, particularly when the finance charges on the
unpaid balance are 18% (and when their invitation letter says that the
application process can be greatly expedited by including a copy of a recent
pay voucher...or of my latest Form 1040 [!])?
Anyone have any ideas/suggestions/warnings (e.g. from prior experience)?
--
-- Jeff Sargent
{allegra|ihnp4|decvax|harpo|seismo|ucbvax}!pur-ee!pucc-h:aeq
...drifting along with the tumbling terminals....chuqui@nsc.UUCP (Chuq Von Rospach) (03/10/84)
Today I received an invitation to apply for a $10,000 unsecured
line of credit (i.e. my signature is all that's needed) from
Security Pacific Executive/Professional Financial Services. I am,
in a way, complimented that someone thinks I'm that good of a
credit risk.
Who says they think you are that good of a credit risk? What has happened
is that you showed up on some list that they think means the possibility of
money (it happened to me because of a subscription for Forbes, of all
things). If you send in their application, THEN they will qualify you.
Maybe. In my case, I was offered 5K at 16%, unsecured, which I figured
would do me a world of good paying off 20+% credit cards. After filling out
the application (which gives them the right to check my credit, something
they couldn't do before), they decided to NOT qualify me for the loan they
promised me in the first place, but to offer me a $2,500 loan secured
against my house at 18% interest. Now, I can't imagine why a SECURED loan
would run 2 points higher than an unsecured loan under any circumstances,
so I told them exactly what I thought of them and wrote off the original
offer as a loss leader style come on. Always remember, if it is too good
to be true, it probably is. It certainly was in this case.
chuq
--
From behind the bar at Callahan's: Chuq Von Rospach
{fortune,menlo70}!nsc!chuqui
You are false data; therefore I shall ignore you. False data can act only
as a distraction; therefore I shall refuse to perceive you. - Bomb #20ix21@sdccs6.UUCP (03/17/84)
ich is quite steep for any type of
loan. I have also received several offers for credit cards with
guarranteed no refusal. These cards have the most atrocious annual
fees. While I have not taken advantage of it I had a friend that
took advantage of the loan when he payed it back the line of credit
still appeared on his credit record after he payed off the loan.
Since after you pay off the loan you can always ask for an immediate
2nd loan with out approval, the line of credit remains on your
credit record as paid. Therefore a 2nd credit card company, one
with cheap rates won't give you a card because you can always use
the line of credit. In addition the original lendor does not have
to remove since they correctly list the line of credit as paid but
available for an immediate loan.
--
David Whiteman sdcsvax!sdccs6!whiteman
UCSD Medical School, La Jolla CA
{insert boring .signature file here}