[ucodegen]

I think the practice of using a credit check on job applicants is questionable. It is justifiable if the position that the applicant is going for requires bonding, certain types of licenses (series 3, series 7), or requires a security clearance. I haven’t seen any proof where there is a correlation between good credit and good job performance. In many ways, the correlation may actually be a ‘reverse’ correlation. A person with a high debt load may actually be a ‘better’ employee because they are living paycheck to paycheck and really need that next paycheck, versus an employee that has over 1 years worth of income saved up.

There is a secondary problem with using a credit report on job applications, where it really is not warranted. It creates a scenario where one financial mis-step can make a persons financial life unrecoverable. After one mis-step, they are placed at the ‘back of the line’ for job applications irregardless of their actual job qualifications.

Finally there is another problem. Current credit reports are not really a measure of credit-worthiness. It is really the measure of the use of credit. A person who buys with cash, or has ‘surplus cash’ will show up poorly on credit reports. This is the same hole that many banks fell into when writing mortgages. They just used the FICO score and did not check if the person could really pay off the mortgage. It is a problem that I have also run into several years ago when applying for an apartment. A credit report on me basically showed up nothing, because I largely buy with cash (if I don’t have the money, I don’t buy it). I ended up showing the apartment management company representatives one of my bank statements.. which had her looking at it for a while. She didn’t understand why, with that type of balance, I didn’t show up on the credit report. I had to explain to her what a credit report really is, and how it works. If you don’t have any debt, particularly if you never had any debt, you will not show up on credit reports.

[ucodegen]

I think the practice of using a credit check on job applicants is questionable. It is justifiable if the position that the applicant is going for requires bonding, certain types of licenses (series 3, series 7), or requires a security clearance. I haven’t seen any proof where there is a correlation between good credit and good job performance. In many ways, the correlation may actually be a ‘reverse’ correlation. A person with a high debt load may actually be a ‘better’ employee because they are living paycheck to paycheck and really need that next paycheck, versus an employee that has over 1 years worth of income saved up.

There is a secondary problem with using a credit report on job applications, where it really is not warranted. It creates a scenario where one financial mis-step can make a persons financial life unrecoverable. After one mis-step, they are placed at the ‘back of the line’ for job applications irregardless of their actual job qualifications.

Finally there is another problem. Current credit reports are not really a measure of credit-worthiness. It is really the measure of the use of credit. A person who buys with cash, or has ‘surplus cash’ will show up poorly on credit reports. This is the same hole that many banks fell into when writing mortgages. They just used the FICO score and did not check if the person could really pay off the mortgage. It is a problem that I have also run into several years ago when applying for an apartment. A credit report on me basically showed up nothing, because I largely buy with cash (if I don’t have the money, I don’t buy it). I ended up showing the apartment management company representatives one of my bank statements.. which had her looking at it for a while. She didn’t understand why, with that type of balance, I didn’t show up on the credit report. I had to explain to her what a credit report really is, and how it works. If you don’t have any debt, particularly if you never had any debt, you will not show up on credit reports.

[ucodegen]

I think the practice of using a credit check on job applicants is questionable. It is justifiable if the position that the applicant is going for requires bonding, certain types of licenses (series 3, series 7), or requires a security clearance. I haven’t seen any proof where there is a correlation between good credit and good job performance. In many ways, the correlation may actually be a ‘reverse’ correlation. A person with a high debt load may actually be a ‘better’ employee because they are living paycheck to paycheck and really need that next paycheck, versus an employee that has over 1 years worth of income saved up.

There is a secondary problem with using a credit report on job applications, where it really is not warranted. It creates a scenario where one financial mis-step can make a persons financial life unrecoverable. After one mis-step, they are placed at the ‘back of the line’ for job applications irregardless of their actual job qualifications.

Finally there is another problem. Current credit reports are not really a measure of credit-worthiness. It is really the measure of the use of credit. A person who buys with cash, or has ‘surplus cash’ will show up poorly on credit reports. This is the same hole that many banks fell into when writing mortgages. They just used the FICO score and did not check if the person could really pay off the mortgage. It is a problem that I have also run into several years ago when applying for an apartment. A credit report on me basically showed up nothing, because I largely buy with cash (if I don’t have the money, I don’t buy it). I ended up showing the apartment management company representatives one of my bank statements.. which had her looking at it for a while. She didn’t understand why, with that type of balance, I didn’t show up on the credit report. I had to explain to her what a credit report really is, and how it works. If you don’t have any debt, particularly if you never had any debt, you will not show up on credit reports.

[ucodegen]

What gets me, is that this used oil could legitimately be recycled for bio-diesel. Asian countries have a lot more diesel vehicles than the US, as a percentage of all vehicles.

[ucodegen]

What gets me, is that this used oil could legitimately be recycled for bio-diesel. Asian countries have a lot more diesel vehicles than the US, as a percentage of all vehicles.

[ucodegen]

What gets me, is that this used oil could legitimately be recycled for bio-diesel. Asian countries have a lot more diesel vehicles than the US, as a percentage of all vehicles.

[ucodegen]

What gets me, is that this used oil could legitimately be recycled for bio-diesel. Asian countries have a lot more diesel vehicles than the US, as a percentage of all vehicles.

[ucodegen]

What gets me, is that this used oil could legitimately be recycled for bio-diesel. Asian countries have a lot more diesel vehicles than the US, as a percentage of all vehicles.

[ucodegen]

[quote Rich Toscano]
Anyone know of a chart that could confirm/deny my suspicion?
[/quote]
How about this link..

http://research.stlouisfed.org/fred2/series/UMCSENT/

You can extract the data.. and try to time series match it with S&P 500.. The correlation might be a first or second derivative on the index vs consumer sentiment.

[ucodegen]

[quote Rich Toscano]
Anyone know of a chart that could confirm/deny my suspicion?
[/quote]
How about this link..

http://research.stlouisfed.org/fred2/series/UMCSENT/

You can extract the data.. and try to time series match it with S&P 500.. The correlation might be a first or second derivative on the index vs consumer sentiment.

[ucodegen]

[quote Rich Toscano]
Anyone know of a chart that could confirm/deny my suspicion?
[/quote]
How about this link..

http://research.stlouisfed.org/fred2/series/UMCSENT/

You can extract the data.. and try to time series match it with S&P 500.. The correlation might be a first or second derivative on the index vs consumer sentiment.

[ucodegen]

[quote Rich Toscano]
Anyone know of a chart that could confirm/deny my suspicion?
[/quote]
How about this link..

http://research.stlouisfed.org/fred2/series/UMCSENT/

You can extract the data.. and try to time series match it with S&P 500.. The correlation might be a first or second derivative on the index vs consumer sentiment.

[ucodegen]

[quote Rich Toscano]
Anyone know of a chart that could confirm/deny my suspicion?
[/quote]
How about this link..

http://research.stlouisfed.org/fred2/series/UMCSENT/

You can extract the data.. and try to time series match it with S&P 500.. The correlation might be a first or second derivative on the index vs consumer sentiment.

[ucodegen]

This should help:
http://www.finaid.org/savings/ugma.phtml

The Uniform Transfer to Minors Act (UTMA) is similar, but also allows minors to own other types of property, such as real estate, fine art, patents and royalties, and for the transfers to occur through inheritance.

[quote flu]
If someone decides to sue me for something, the UTMA/UGMA isn’t really considered my estate, right?
[/quote]
Correct. They are both irrevocable trusts.

It is not possible to transfer money back to the parent from a child’s custodial account because the original transfer was an irrevocable gift. Once the money has been given to the child, it is owned by the child. The child does not have the capacity to gift the money back to the parent, and the custodian would be violating his or her fiduciary responsibility if he or she transferred the money back into his or her own name or used it for his or her own personal benefit.

Hope that helps..

NOTE: 529s are slightly different. See last paragraph of the link I referenced above.

[ucodegen]

This should help:
http://www.finaid.org/savings/ugma.phtml

The Uniform Transfer to Minors Act (UTMA) is similar, but also allows minors to own other types of property, such as real estate, fine art, patents and royalties, and for the transfers to occur through inheritance.

[quote flu]
If someone decides to sue me for something, the UTMA/UGMA isn’t really considered my estate, right?
[/quote]
Correct. They are both irrevocable trusts.

It is not possible to transfer money back to the parent from a child’s custodial account because the original transfer was an irrevocable gift. Once the money has been given to the child, it is owned by the child. The child does not have the capacity to gift the money back to the parent, and the custodian would be violating his or her fiduciary responsibility if he or she transferred the money back into his or her own name or used it for his or her own personal benefit.

Hope that helps..

NOTE: 529s are slightly different. See last paragraph of the link I referenced above.

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