Honestly, child support is an unfair thing when it comes to child support. Non custodial parent it hits your DTI ratio, the custodial NEVER has to disclose it unless they want to and generally they only do this for lenders and such because it shows an almost guarnteed amount of money every pay day. In my case, my ex was messing around with another guy, I find out about and split up. Suddenly she's pregnant and I told her I would demand a DNA. She skips town and didn't hear from her for a little over a year. Get a notice for child support, take the "DNA" test and it says that my daughter is 96% a match for the men tested to have similar characteristics (I was the only one tested that should be a bit closer in my opinion). BAM, state goes back and tacks on child support since the child was born and didn't care that I didn't know even who or where the child was. Instant $8,000 arrears! Since I live in TN they are supposed to factor in both parent's income. Mom works off the books and doesn't claim any income and as the custodial parent she can't be forced to get a job, non-custodial parent on the other hand is threatened if you don't have a job for any reason and get more than 180 days late you go to jail. Non-custodial parent is required to provide medical coverage whether you have a job or not. Custodial parent can qualify the child for food stamps and other state aid because again, they aren't required to disclose the child support even though the same state organization does all of it. Non custodial parent gets married and has kids but has to keep paying the amount of support for the first child and with no consideration for any other kids ( I know before you say, well you did it now deal with it). Custodial parent can get married and add a second income to the equation but the custodial parent is not required to report the income of the new spouse and are permitted to keep the child on any and all state aid.
My daughter I accept as my own and have no problems paying the child support or anything else she needs. But I think the system should be more equitible. If they report on my credit report, then they should report on the other parent's as well. They should also be required to report the child support as well. 25% of your income is big hit in your pay check since it is before taxes then Uncle Sam taking another almost 25%.
With the DTI and roughly only having half your pay, makes it kinda hard to find loans sometimes no matter what.
Officer737 you're wrong about the child support reporting for non-custodial parent. Child support doesn't have to be reported as income for issues of applying for credit if you choose not to disclose it but when applying for state aid it HAS to be reported. When applying for aid you report family size and full income so if a woman remarries and applies for state aid she would have to disclose the husband and all children or members in the household and income for all household members.
Child support showing up on the credit report is entirely legal and I doubt you have any recourse. OP, have you tried with a smaller company like a used car lot or a local credit union? Some of these agencies may be willing to accept a statement and proof of payments. It's worth a shot.
@gypsymama wrote:Officer737 you're wrong about the child support reporting for non-custodial parent. Child support doesn't have to be reported as income for issues of applying for credit if you choose not to disclose it but when applying for state aid it HAS to be reported. When applying for aid you report family size and full income so if a woman remarries and applies for state aid she would have to disclose the husband and all children or members in the household and income for all household members.
Child support showing up on the credit report is entirely legal and I doubt you have any recourse. OP, have you tried with a smaller company like a used car lot or a local credit union? Some of these agencies may be willing to accept a statement and proof of payments. It's worth a shot.
Which part of the non-custodial parent was I wrong on? The reason I ask is because everything listed above is what has happened to me over the years. Any just because someone is supposed to report their current living situation, marriage status and everything doesn't mean everyone does.
I won't get involved in the moral issue of children and support. What I don't understand, and naver have, is regarding the taking of your income tax refunds. I don't dispute that the government can (and SHOULD) take them. What I don't understand is why people don't change their exemptions so there isn't a refund coming. I've never understodd the refund anyhow. If you're not claiming your exemptions correctly, you're giving the government interest-free money over the course of a year just so you can get a refund. An odd savings plan.
Starting Score 12/2013: 547 EQ; 529 EX; 540 TU