intentional overextension

[patientrenter]

Well, my personal situation is a bit different, davelj, so maybe I should explain.

I value each few hundred thousand of savings because I am very conservative. For example, I like to limit my spending to less than 10% of my income. My cash reserves cover 10 years of spending, and that’s a low point for me. I have never borrowed, and I have never looked up my credit score, so I don’t know what it is. But I am aware that, since I don’t pay any attention to it, it might be low. (If FedEx screws up a billing, I politely let them know. If they screw it up twice, I just don’t pay. I don’t have time to waste.) When I last moved jobs, I actually required that the offer not be conditional on my credit score. I am well known in my little segment of my industry, so it was not a problem.

I can’t imagine a bad credit score becoming an issue for me, since I don’t have a high (general) public profile at the companies I work for. (They are well-known financial institutions.) I do have to file detailed background information about myself directly with dozens of regulatory bodies, but they don’t ask for my credit score. And the people who know me at my company use me for valuing acquisition targets, so I think they just don’t much care if FedEx disagrees with me on a bill. If I ever had to take on more public responsibilities, I’d just clean up the credit score.

I am curious, what forces you to have a good credit score? Is it reputational – the folks you deal as clients don’t know you that well? Or is it regulatory – bank regulators require it of directors? I may have to pay attention to my score one day, I suppose, so it probably wouldn’t hurt to become aware of what other folks have to do.

[jpinpb]

A little off topic, but I bet Bernie’s credit was good and he had a well-respected rep. Just sayin’

[jpinpb]

A little off topic, but I bet Bernie’s credit was good and he had a well-respected rep. Just sayin’

[jpinpb]

A little off topic, but I bet Bernie’s credit was good and he had a well-respected rep. Just sayin’

[jpinpb]

A little off topic, but I bet Bernie’s credit was good and he had a well-respected rep. Just sayin’

[jpinpb]

A little off topic, but I bet Bernie’s credit was good and he had a well-respected rep. Just sayin’

[mwtosd]

[quote=patientrenter]Well, my personal situation is a bit different, davelj, so maybe I should explain.

I have never borrowed, and I have never looked up my credit score, so I don’t know what it is. But I am aware that, since I don’t pay any attention to it, it might be low. (If FedEx screws up a billing, I politely let them know. If they screw it up twice, I just don’t pay. I don’t have time to waste.) [/quote]

Patientrenter, no I do not work for them, but you can get a free FICO score through https://www.myfico.com/Default.aspx. (Click on the start free trial button) Just remember to cancel it right after you get the score or or before the first 30 days. Otherwise they will charge $89 to monitor your credit report for 1 year. This is the real true credit score. There are 3 credit bureaus and they each have a score, but FICO is the real true credit score.

[mwtosd]

[quote=patientrenter]Well, my personal situation is a bit different, davelj, so maybe I should explain.

I have never borrowed, and I have never looked up my credit score, so I don’t know what it is. But I am aware that, since I don’t pay any attention to it, it might be low. (If FedEx screws up a billing, I politely let them know. If they screw it up twice, I just don’t pay. I don’t have time to waste.) [/quote]

Patientrenter, no I do not work for them, but you can get a free FICO score through https://www.myfico.com/Default.aspx. (Click on the start free trial button) Just remember to cancel it right after you get the score or or before the first 30 days. Otherwise they will charge $89 to monitor your credit report for 1 year. This is the real true credit score. There are 3 credit bureaus and they each have a score, but FICO is the real true credit score.

[mwtosd]

[quote=patientrenter]Well, my personal situation is a bit different, davelj, so maybe I should explain.

I have never borrowed, and I have never looked up my credit score, so I don’t know what it is. But I am aware that, since I don’t pay any attention to it, it might be low. (If FedEx screws up a billing, I politely let them know. If they screw it up twice, I just don’t pay. I don’t have time to waste.) [/quote]

Patientrenter, no I do not work for them, but you can get a free FICO score through https://www.myfico.com/Default.aspx. (Click on the start free trial button) Just remember to cancel it right after you get the score or or before the first 30 days. Otherwise they will charge $89 to monitor your credit report for 1 year. This is the real true credit score. There are 3 credit bureaus and they each have a score, but FICO is the real true credit score.

[mwtosd]

[quote=patientrenter]Well, my personal situation is a bit different, davelj, so maybe I should explain.

I have never borrowed, and I have never looked up my credit score, so I don’t know what it is. But I am aware that, since I don’t pay any attention to it, it might be low. (If FedEx screws up a billing, I politely let them know. If they screw it up twice, I just don’t pay. I don’t have time to waste.) [/quote]

Patientrenter, no I do not work for them, but you can get a free FICO score through https://www.myfico.com/Default.aspx. (Click on the start free trial button) Just remember to cancel it right after you get the score or or before the first 30 days. Otherwise they will charge $89 to monitor your credit report for 1 year. This is the real true credit score. There are 3 credit bureaus and they each have a score, but FICO is the real true credit score.

[mwtosd]

[quote=patientrenter]Well, my personal situation is a bit different, davelj, so maybe I should explain.

I have never borrowed, and I have never looked up my credit score, so I don’t know what it is. But I am aware that, since I don’t pay any attention to it, it might be low. (If FedEx screws up a billing, I politely let them know. If they screw it up twice, I just don’t pay. I don’t have time to waste.) [/quote]

Patientrenter, no I do not work for them, but you can get a free FICO score through https://www.myfico.com/Default.aspx. (Click on the start free trial button) Just remember to cancel it right after you get the score or or before the first 30 days. Otherwise they will charge $89 to monitor your credit report for 1 year. This is the real true credit score. There are 3 credit bureaus and they each have a score, but FICO is the real true credit score.

[davelj]

[quote=patientrenter]Well, my personal situation is a bit different, davelj, so maybe I should explain.

I value each few hundred thousand of savings because I am very conservative. For example, I like to limit my spending to less than 10% of my income. My cash reserves cover 10 years of spending, and that’s a low point for me. I have never borrowed, and I have never looked up my credit score, so I don’t know what it is. But I am aware that, since I don’t pay any attention to it, it might be low. (If FedEx screws up a billing, I politely let them know. If they screw it up twice, I just don’t pay. I don’t have time to waste.) When I last moved jobs, I actually required that the offer not be conditional on my credit score. I am well known in my little segment of my industry, so it was not a problem.

I can’t imagine a bad credit score becoming an issue for me, since I don’t have a high (general) public profile at the companies I work for. (They are well-known financial institutions.) I do have to file detailed background information about myself directly with dozens of regulatory bodies, but they don’t ask for my credit score. And the people who know me at my company use me for valuing acquisition targets, so I think they just don’t much care if FedEx disagrees with me on a bill. If I ever had to take on more public responsibilities, I’d just clean up the credit score.

I am curious, what forces you to have a good credit score? Is it reputational – the folks you deal as clients don’t know you that well? Or is it regulatory – bank regulators require it of directors? I may have to pay attention to my score one day, I suppose, so it probably wouldn’t hurt to become aware of what other folks have to do.[/quote]

I’ll go in reverse order.

My “need” isn’t so much for a good credit score, per se, but rather good credit (generically), with the credit score being a representation of such good credit (just to be clear). Part of it is reputational. I know that a certain number of folks will want to do a background check on me – regardless of how well they know me – because that’s just par for the course when you work with folks with a lot of money (institutional or otherwise), particularly in this day and age. It’s a box they have to check, period. Where bank regulators are concerned, they will do a thorough background check on you before you can join a board – which includes a credit report, among many other things. But before you even get to the regulators, the folks on the board of the bank you’re going to join are going to do a background check on you and a low credit score is often a problem. Bank regulators themselves don’t care so much about credit scores, per se, but they do care about bankruptcies. I don’t think you can serve on a bank board if you’ve been involved in a bankruptcy within the last 5 years (or so). But I’ll give you an example of why a bank board cares about the credit rating of its members. I sit on the loan committee of my bank boards and we have minimum FICO requirements (by policy) for loan guarantors. How would it look if I had a 600 FICO and was rejecting loans based on guarantors with 650 FICOs? Not good. Bottom line, maintaining excellent credit pays for itself in the long run for me in a lot of different ways.

Now, the first part of your post is rather confusing to me. You noted that you “have to file detailed background information about myself directly with dozens of regulatory bodies.” Dozens? You’ll have to educate me here. My personal information is filed with FINRA, the SEC, FDIC, Federal Reserve and two state DFIs. That’s six, which is a lot. Vikram Pandit and Ken Lewis maybe have ten, although their COMPANIES certainly file information with dozens of regulators because insurance is regulated at the state level (but they, personally, do not). So, my question is: what is the nature of your business that requires you to file background information with “dozens” of regulators? I’ve been around the block more than a few times and never come across an individual that had to directly file information with more than maybe 8-10 different regulatory bodies (at the max) – because there actually aren’t that many financial services regulatory agencies once you get around state-level issues, which generally apply to companies, as opposed to individuals. (Yes, Registered Reps have to get registered in any states they might do business in, but FINRA handles that through the brokerage firm holding your license – it’s not something the rep files personally). Anyhow, I’m prepared to be enlightened on this issue.

You mentioned that “the people who know me at my company use me for valuing acquisition targets.” I’m curious as to who pays folks $500K+ for merely valuing acquisition targets. The only folks that I know who make $500K+ in finance are either in the C-suite, managing money or they are directly involved in structuring and/or negotiating transactions (that is, investment bankers, brokers or in structured finance). Analysts and associates value acquisition targets. And they don’t get paid anything close to $500K. So I’m a little confused regarding your job description and the pay that’s being ascribed to it. Again, enlighten me.

You noted how conservative you are with your money and that you have 10 years worth of annual living expenses in the bank, which is great. So, we’re probably talking at least $500K+ in cash, just backing into the number based on the information you’ve provided. So, given that you’re “conservative” and have plenty of liquidity, why would you screw around with a hair-brained real estate scheme to default on a mortgage on the CHANCE that you MIGHT gain some benefit of a few hundred thousand dollars? Given your circumstances and “conservatism” it just doesn’t make sense. In fact, it’s the opposite of conservative. Something’s not computing here.

[davelj]

[quote=patientrenter]Well, my personal situation is a bit different, davelj, so maybe I should explain.

I value each few hundred thousand of savings because I am very conservative. For example, I like to limit my spending to less than 10% of my income. My cash reserves cover 10 years of spending, and that’s a low point for me. I have never borrowed, and I have never looked up my credit score, so I don’t know what it is. But I am aware that, since I don’t pay any attention to it, it might be low. (If FedEx screws up a billing, I politely let them know. If they screw it up twice, I just don’t pay. I don’t have time to waste.) When I last moved jobs, I actually required that the offer not be conditional on my credit score. I am well known in my little segment of my industry, so it was not a problem.

I can’t imagine a bad credit score becoming an issue for me, since I don’t have a high (general) public profile at the companies I work for. (They are well-known financial institutions.) I do have to file detailed background information about myself directly with dozens of regulatory bodies, but they don’t ask for my credit score. And the people who know me at my company use me for valuing acquisition targets, so I think they just don’t much care if FedEx disagrees with me on a bill. If I ever had to take on more public responsibilities, I’d just clean up the credit score.

I am curious, what forces you to have a good credit score? Is it reputational – the folks you deal as clients don’t know you that well? Or is it regulatory – bank regulators require it of directors? I may have to pay attention to my score one day, I suppose, so it probably wouldn’t hurt to become aware of what other folks have to do.[/quote]

I’ll go in reverse order.

My “need” isn’t so much for a good credit score, per se, but rather good credit (generically), with the credit score being a representation of such good credit (just to be clear). Part of it is reputational. I know that a certain number of folks will want to do a background check on me – regardless of how well they know me – because that’s just par for the course when you work with folks with a lot of money (institutional or otherwise), particularly in this day and age. It’s a box they have to check, period. Where bank regulators are concerned, they will do a thorough background check on you before you can join a board – which includes a credit report, among many other things. But before you even get to the regulators, the folks on the board of the bank you’re going to join are going to do a background check on you and a low credit score is often a problem. Bank regulators themselves don’t care so much about credit scores, per se, but they do care about bankruptcies. I don’t think you can serve on a bank board if you’ve been involved in a bankruptcy within the last 5 years (or so). But I’ll give you an example of why a bank board cares about the credit rating of its members. I sit on the loan committee of my bank boards and we have minimum FICO requirements (by policy) for loan guarantors. How would it look if I had a 600 FICO and was rejecting loans based on guarantors with 650 FICOs? Not good. Bottom line, maintaining excellent credit pays for itself in the long run for me in a lot of different ways.

Now, the first part of your post is rather confusing to me. You noted that you “have to file detailed background information about myself directly with dozens of regulatory bodies.” Dozens? You’ll have to educate me here. My personal information is filed with FINRA, the SEC, FDIC, Federal Reserve and two state DFIs. That’s six, which is a lot. Vikram Pandit and Ken Lewis maybe have ten, although their COMPANIES certainly file information with dozens of regulators because insurance is regulated at the state level (but they, personally, do not). So, my question is: what is the nature of your business that requires you to file background information with “dozens” of regulators? I’ve been around the block more than a few times and never come across an individual that had to directly file information with more than maybe 8-10 different regulatory bodies (at the max) – because there actually aren’t that many financial services regulatory agencies once you get around state-level issues, which generally apply to companies, as opposed to individuals. (Yes, Registered Reps have to get registered in any states they might do business in, but FINRA handles that through the brokerage firm holding your license – it’s not something the rep files personally). Anyhow, I’m prepared to be enlightened on this issue.

You mentioned that “the people who know me at my company use me for valuing acquisition targets.” I’m curious as to who pays folks $500K+ for merely valuing acquisition targets. The only folks that I know who make $500K+ in finance are either in the C-suite, managing money or they are directly involved in structuring and/or negotiating transactions (that is, investment bankers, brokers or in structured finance). Analysts and associates value acquisition targets. And they don’t get paid anything close to $500K. So I’m a little confused regarding your job description and the pay that’s being ascribed to it. Again, enlighten me.

You noted how conservative you are with your money and that you have 10 years worth of annual living expenses in the bank, which is great. So, we’re probably talking at least $500K+ in cash, just backing into the number based on the information you’ve provided. So, given that you’re “conservative” and have plenty of liquidity, why would you screw around with a hair-brained real estate scheme to default on a mortgage on the CHANCE that you MIGHT gain some benefit of a few hundred thousand dollars? Given your circumstances and “conservatism” it just doesn’t make sense. In fact, it’s the opposite of conservative. Something’s not computing here.

[davelj]

[quote=patientrenter]Well, my personal situation is a bit different, davelj, so maybe I should explain.

I value each few hundred thousand of savings because I am very conservative. For example, I like to limit my spending to less than 10% of my income. My cash reserves cover 10 years of spending, and that’s a low point for me. I have never borrowed, and I have never looked up my credit score, so I don’t know what it is. But I am aware that, since I don’t pay any attention to it, it might be low. (If FedEx screws up a billing, I politely let them know. If they screw it up twice, I just don’t pay. I don’t have time to waste.) When I last moved jobs, I actually required that the offer not be conditional on my credit score. I am well known in my little segment of my industry, so it was not a problem.

I can’t imagine a bad credit score becoming an issue for me, since I don’t have a high (general) public profile at the companies I work for. (They are well-known financial institutions.) I do have to file detailed background information about myself directly with dozens of regulatory bodies, but they don’t ask for my credit score. And the people who know me at my company use me for valuing acquisition targets, so I think they just don’t much care if FedEx disagrees with me on a bill. If I ever had to take on more public responsibilities, I’d just clean up the credit score.

I am curious, what forces you to have a good credit score? Is it reputational – the folks you deal as clients don’t know you that well? Or is it regulatory – bank regulators require it of directors? I may have to pay attention to my score one day, I suppose, so it probably wouldn’t hurt to become aware of what other folks have to do.[/quote]

I’ll go in reverse order.

My “need” isn’t so much for a good credit score, per se, but rather good credit (generically), with the credit score being a representation of such good credit (just to be clear). Part of it is reputational. I know that a certain number of folks will want to do a background check on me – regardless of how well they know me – because that’s just par for the course when you work with folks with a lot of money (institutional or otherwise), particularly in this day and age. It’s a box they have to check, period. Where bank regulators are concerned, they will do a thorough background check on you before you can join a board – which includes a credit report, among many other things. But before you even get to the regulators, the folks on the board of the bank you’re going to join are going to do a background check on you and a low credit score is often a problem. Bank regulators themselves don’t care so much about credit scores, per se, but they do care about bankruptcies. I don’t think you can serve on a bank board if you’ve been involved in a bankruptcy within the last 5 years (or so). But I’ll give you an example of why a bank board cares about the credit rating of its members. I sit on the loan committee of my bank boards and we have minimum FICO requirements (by policy) for loan guarantors. How would it look if I had a 600 FICO and was rejecting loans based on guarantors with 650 FICOs? Not good. Bottom line, maintaining excellent credit pays for itself in the long run for me in a lot of different ways.

Now, the first part of your post is rather confusing to me. You noted that you “have to file detailed background information about myself directly with dozens of regulatory bodies.” Dozens? You’ll have to educate me here. My personal information is filed with FINRA, the SEC, FDIC, Federal Reserve and two state DFIs. That’s six, which is a lot. Vikram Pandit and Ken Lewis maybe have ten, although their COMPANIES certainly file information with dozens of regulators because insurance is regulated at the state level (but they, personally, do not). So, my question is: what is the nature of your business that requires you to file background information with “dozens” of regulators? I’ve been around the block more than a few times and never come across an individual that had to directly file information with more than maybe 8-10 different regulatory bodies (at the max) – because there actually aren’t that many financial services regulatory agencies once you get around state-level issues, which generally apply to companies, as opposed to individuals. (Yes, Registered Reps have to get registered in any states they might do business in, but FINRA handles that through the brokerage firm holding your license – it’s not something the rep files personally). Anyhow, I’m prepared to be enlightened on this issue.

You mentioned that “the people who know me at my company use me for valuing acquisition targets.” I’m curious as to who pays folks $500K+ for merely valuing acquisition targets. The only folks that I know who make $500K+ in finance are either in the C-suite, managing money or they are directly involved in structuring and/or negotiating transactions (that is, investment bankers, brokers or in structured finance). Analysts and associates value acquisition targets. And they don’t get paid anything close to $500K. So I’m a little confused regarding your job description and the pay that’s being ascribed to it. Again, enlighten me.

You noted how conservative you are with your money and that you have 10 years worth of annual living expenses in the bank, which is great. So, we’re probably talking at least $500K+ in cash, just backing into the number based on the information you’ve provided. So, given that you’re “conservative” and have plenty of liquidity, why would you screw around with a hair-brained real estate scheme to default on a mortgage on the CHANCE that you MIGHT gain some benefit of a few hundred thousand dollars? Given your circumstances and “conservatism” it just doesn’t make sense. In fact, it’s the opposite of conservative. Something’s not computing here.

[davelj]

[quote=patientrenter]Well, my personal situation is a bit different, davelj, so maybe I should explain.

I value each few hundred thousand of savings because I am very conservative. For example, I like to limit my spending to less than 10% of my income. My cash reserves cover 10 years of spending, and that’s a low point for me. I have never borrowed, and I have never looked up my credit score, so I don’t know what it is. But I am aware that, since I don’t pay any attention to it, it might be low. (If FedEx screws up a billing, I politely let them know. If they screw it up twice, I just don’t pay. I don’t have time to waste.) When I last moved jobs, I actually required that the offer not be conditional on my credit score. I am well known in my little segment of my industry, so it was not a problem.

I can’t imagine a bad credit score becoming an issue for me, since I don’t have a high (general) public profile at the companies I work for. (They are well-known financial institutions.) I do have to file detailed background information about myself directly with dozens of regulatory bodies, but they don’t ask for my credit score. And the people who know me at my company use me for valuing acquisition targets, so I think they just don’t much care if FedEx disagrees with me on a bill. If I ever had to take on more public responsibilities, I’d just clean up the credit score.

I am curious, what forces you to have a good credit score? Is it reputational – the folks you deal as clients don’t know you that well? Or is it regulatory – bank regulators require it of directors? I may have to pay attention to my score one day, I suppose, so it probably wouldn’t hurt to become aware of what other folks have to do.[/quote]

I’ll go in reverse order.

My “need” isn’t so much for a good credit score, per se, but rather good credit (generically), with the credit score being a representation of such good credit (just to be clear). Part of it is reputational. I know that a certain number of folks will want to do a background check on me – regardless of how well they know me – because that’s just par for the course when you work with folks with a lot of money (institutional or otherwise), particularly in this day and age. It’s a box they have to check, period. Where bank regulators are concerned, they will do a thorough background check on you before you can join a board – which includes a credit report, among many other things. But before you even get to the regulators, the folks on the board of the bank you’re going to join are going to do a background check on you and a low credit score is often a problem. Bank regulators themselves don’t care so much about credit scores, per se, but they do care about bankruptcies. I don’t think you can serve on a bank board if you’ve been involved in a bankruptcy within the last 5 years (or so). But I’ll give you an example of why a bank board cares about the credit rating of its members. I sit on the loan committee of my bank boards and we have minimum FICO requirements (by policy) for loan guarantors. How would it look if I had a 600 FICO and was rejecting loans based on guarantors with 650 FICOs? Not good. Bottom line, maintaining excellent credit pays for itself in the long run for me in a lot of different ways.

Now, the first part of your post is rather confusing to me. You noted that you “have to file detailed background information about myself directly with dozens of regulatory bodies.” Dozens? You’ll have to educate me here. My personal information is filed with FINRA, the SEC, FDIC, Federal Reserve and two state DFIs. That’s six, which is a lot. Vikram Pandit and Ken Lewis maybe have ten, although their COMPANIES certainly file information with dozens of regulators because insurance is regulated at the state level (but they, personally, do not). So, my question is: what is the nature of your business that requires you to file background information with “dozens” of regulators? I’ve been around the block more than a few times and never come across an individual that had to directly file information with more than maybe 8-10 different regulatory bodies (at the max) – because there actually aren’t that many financial services regulatory agencies once you get around state-level issues, which generally apply to companies, as opposed to individuals. (Yes, Registered Reps have to get registered in any states they might do business in, but FINRA handles that through the brokerage firm holding your license – it’s not something the rep files personally). Anyhow, I’m prepared to be enlightened on this issue.

You mentioned that “the people who know me at my company use me for valuing acquisition targets.” I’m curious as to who pays folks $500K+ for merely valuing acquisition targets. The only folks that I know who make $500K+ in finance are either in the C-suite, managing money or they are directly involved in structuring and/or negotiating transactions (that is, investment bankers, brokers or in structured finance). Analysts and associates value acquisition targets. And they don’t get paid anything close to $500K. So I’m a little confused regarding your job description and the pay that’s being ascribed to it. Again, enlighten me.

You noted how conservative you are with your money and that you have 10 years worth of annual living expenses in the bank, which is great. So, we’re probably talking at least $500K+ in cash, just backing into the number based on the information you’ve provided. So, given that you’re “conservative” and have plenty of liquidity, why would you screw around with a hair-brained real estate scheme to default on a mortgage on the CHANCE that you MIGHT gain some benefit of a few hundred thousand dollars? Given your circumstances and “conservatism” it just doesn’t make sense. In fact, it’s the opposite of conservative. Something’s not computing here.

[Author]

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