Wednesday, April 2, 2008

Opt-In to Opt-Out

Judy's recommendation is echoed by me. Not only does identity theft result from the way credit reporting agencies share information, these agencies also create big headaches for people looking to obtain credit.

As an example, a client comes to me and wants to apply for a mortgage. I pull her credit. When I do, Experian, TransUnion, and Equifax (the 3 credit reporting agencies) turn around and sells my client's personal contact info to other creditors who want to solicit to my client.

Let me repeat for emphasis: when a client decides to do business with me she needs to expect dozens of cold-calls from other lenders the moment I pull her credit.

I have no idea how this is legal, but the credit reporting agencies appear to be in bed with a lobbyist who pitches this scheme as capitalism at its finest. The only way a client can avoid this annoyance is to complete the http://www.optoutprescreen.com/ request PRIOR to me pulling her credit report.

Get out there and do it. It will protect your identity, and your sanity.

1 comment:

Anonymous said...

Wow, a great unintended and before now, unknown reason to opt-out. great info Matt.