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Lunch with a banker regarding Credit cards.

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Anonymous
Not applicable

Re: Lunch with a banker regarding Credit cards.

umm guys,

 

The Credit Card industry would not overall benefit from non reporting. How could they be sure they are getting current up to date pictures from the CBs?

 

The Credit Bureaus want reporting to remain the status quo or better bacause they charge people for the information they compile and need to have good, current, reliable data to sell.

 

the CCC supplies data that the CB sells and they the original CCC or another, or a different lender then buys back.

 

The System only works if there is a critical mass of participation.

 

I am sure the "cost" to report data from a CCC to a CB is in the pennies per account. Its just electrons.


The CCCs were probably given software/forced to aquire software/forced to compile data in a special database format to make the bulk uploads and updates to a standardized manner that the CBs could use and merge seemlessly.

 

if the cost to upload is too great there is no incentive to do it.

 

I think major banks who pull a lot of credit pay near nothing to update. (which is why small buy here pay here car dealerships cannot afford to report)


And if they started to hold out on updates, they would be penalized in some way by the bureaus, who need reliable data to sell.

Message Edited by usmc58555 on 09-26-2009 09:15 AM
Message 31 of 92
smallfry
Senior Contributor

Re: Lunch with a banker regarding Credit cards.

Exactly they're just electrons. Borrowing to gamble with money most assuredly will lose is a far sight from people using their cards to pay insurance or phone bills. As I said this has no chance of invading the CC industry.
Message 32 of 92
haulingthescoreup
Moderator Emerita

Re: Lunch with a banker regarding Credit cards.


rbbyrbsn wrote:


@haulingthescoreup wrote:


@Anonymous wrote:

We just have to realize there will be changes coming. I am sure that many people will "over dramatize" them, BUT, my theory is if you pay your bills, are not late, don't exceed your credit limits nor keep looking for credit you have no practical use for, you will be fine.

But let's extend this not-reporting-$0-balance-cards idea: what if all the banks start doing this? and the credit unions? Many people have an occasional balance reporting on a card, which they then pay off. The less-neurotic members here let all their cards report and then PIF, not worrying about what happens to their scores, as they aren't shopping for credit.

If $0 balance cards aren't reported, we'll always be getting dinged for "too many accounts with balances."

The point is, the FICO scoring system takes into account current credit reporting practices. If these practices are changed, the FICO fomulas will be using insufficient and/or incorrect data to assign risk scores, AKA our FICO's.

I've had lots of CSR's review soft inq reports while on the phone with me, and I like having them say, "Wow, you don't have any debt at all! You really know how to handle your credit cards." By golly, I want that string of $0's to continue to report. Smiley Mad

How 'bout they find a way to cut costs that doesn't negatively impact good consumers...

I think your being to  literal , they will report when the there a payment to an account , I mean if the choose at all to report , must givr the payment, I've on my reports when I had a 0 balance many months ,but the last update was current, this what they stoppng, this shouldn't cause an anccount to appear inactive, the last reported payment, which without use there is no payment to report



Well, my hope/ assumption was that when DickC's contact mentioned $0 balance cards, he meant to say cards that have no balance and no activity, that haven't been used in 6 months or something. If so, that's fine. I'm well aware that CCC's include info on whether there has been activity on the card within the last month, $0 balance or no. I just got an alert from EQ Credit Watch Gold I had activity on an inactive account. (Best Buy, paid off before statement date, $0 reported.)

The original indirect quote on DickC's first post was, "They are looking at their credit reporting practices and ways to save money. Perhaps not reporting cards with zero balances or only reporting every 2 months." (emphasis mine)

I just hope that they understand the distinction between active cards with $0 balances vs cards that have been stuck under the front passenger seat, encased in a goo of dried-up Diet Coke and ancient french fries. If they want to stop updating those, I'm fine with that.

And it's nice to say that everyone is required to update cards with activity monthly, but just read some of the threads from furious Orchard/ HSBC customers who paid off their accounts to $0, and the bank won't update. There's regulations, and then there's what banks actually do.
* Credit is a wonderful servant, but a terrible master. * Who's the boss --you or your credit?
FICO's: EQ 781 - TU 793 - EX 779 (from PSECU) - Done credit hunting; having fun with credit gardening. - EQ 590 on 5/14/2007
Message 33 of 92
Anonymous
Not applicable

Re: Lunch with a banker regarding Credit cards.


@Uborrow-Upay wrote:

@Anonymous wrote:

@Anonymous wrote:

@creditwherecreditisdue wrote:

DickC -

 

What is the name of the CRA the casinos pool their information through?


 

CENTRAL CREDIT CORPORATION,

 

http://www.centralcreditcorp.com/


 

I would add, if you wish to get a overview of the service, on the HOME PAGE, click on CASINO CHECK LINK---Then when you get there scroll down and at the bottom is a link:  "See what our well linked Real Time systems and programs have to offer".   If you click on this it gets into some detail about what they offer and how it works

DickC, is it safe to assume that asking for casino credit from a member property results in a hard inquiry on TU?  Just curious.

 


 

Message Edited by Uborrow-Upay on 09-26-2009 09:43 AM

 

If you are applying for "Marker Privleges" (A Marker being a promise to pay within 30 days) then yes, they usually will pull a FULL CREDIT HISTORY, including Credit report, player history, etc) . MOST PEOPLE seek "check cashing privleges" which are granted based on info received from Central Credit.

 

What helps the most is that by using one Central clearing house that reports 24/7 in real time, a casino has the ability to see if a person cashes a large check at one place, goes next door and tries to cash another.

 

That is the main advantage over Credit Bureaus as sometimes the updating takes a while. In the casino industry, it is known by all subscribers instantly when a person opens a line of credit, cashes a check etc , thus making it easier to control the amount of credit extended.

 

Also, having "real time" info makes it possible for a casino to cash a customers check at 3:00AM on a Sunday Morning. Many people do not know BUT it is against the law to release certain info regarding bank accounts so they have a "coded response" that they give you that helps you make the determination as to if you cash the check or not.

 

Hope this helps and if you have any other questions, please ask.Smiley Happy

Message 34 of 92
Uborrow-Upay
Valued Contributor

Re: Lunch with a banker regarding Credit cards.


@Anonymous wrote:
 

If you are applying for "Marker Privleges" (A Marker being a promise to pay within 30 days) then yes, they usually will pull a FULL CREDIT HISTORY, including Credit report, player history, etc) . MOST PEOPLE seek "check cashing privleges" which are granted based on info received from Central Credit.

 

What helps the most is that by using one Central clearing house that reports 24/7 in real time, a casino has the ability to see if a person cashes a large check at one place, goes next door and tries to cash another.

 

That is the main advantage over Credit Bureaus as sometimes the updating takes a while. In the casino industry, it is known by all subscribers instantly when a person opens a line of credit, cashes a check etc , thus making it easier to control the amount of credit extended.

 

Also, having "real time" info makes it possible for a casino to cash a customers check at 3:00AM on a Sunday Morning. Many people do not know BUT it is against the law to release certain info regarding bank accounts so they have a "coded response" that they give you that helps you make the determination as to if you cash the check or not.

 

Hope this helps and if you have any other questions, please ask.Smiley Happy


Thanks, DickC!  Extremely informative, as usual!

 

In your experience, is a player with marker privileges comped at a higher level than one without marker privileges?

 

I ask this because of an experience with a Downtown Vegas property, where I was comped at a higher level after receiving marker privileges than I had been prior to receiving marker privileges, for much the same level of play.  I'm pretty accurate at estimating the comps I'll receive at a casino (assuming I've played there before) based upon the theoretical loss by game played, and the % normally kicked back by that property in comps.

 

Just wondering if the casino adjusts the level of comps with the hopes that a player with marker privileges will increase his play, rather than just basing the comps on his actual play.

 

 

 

 

Message 35 of 92
Anonymous
Not applicable

Re: Lunch with a banker regarding Credit cards.


@Uborrow-Upay wrote:

@Anonymous wrote:

If you are applying for "Marker Privleges" (A Marker being a promise to pay within 30 days) then yes, they usually will pull a FULL CREDIT HISTORY, including Credit report, player history, etc) . MOST PEOPLE seek "check cashing privleges" which are granted based on info received from Central Credit.

 

What helps the most is that by using one Central clearing house that reports 24/7 in real time, a casino has the ability to see if a person cashes a large check at one place, goes next door and tries to cash another.

 

That is the main advantage over Credit Bureaus as sometimes the updating takes a while. In the casino industry, it is known by all subscribers instantly when a person opens a line of credit, cashes a check etc , thus making it easier to control the amount of credit extended.

 

Also, having "real time" info makes it possible for a casino to cash a customers check at 3:00AM on a Sunday Morning. Many people do not know BUT it is against the law to release certain info regarding bank accounts so they have a "coded response" that they give you that helps you make the determination as to if you cash the check or not.

 

Hope this helps and if you have any other questions, please ask.Smiley Happy


Thanks, DickC!  Extremely informative, as usual!

 

In your experience, is a player with marker privileges comped at a higher level than one without marker privileges?

 

I ask this because of an experience with a Downtown Vegas property, where I was comped at a higher level after receiving marker privileges than I had been prior to receiving marker privileges, for much the same level of play.  I'm pretty accurate at estimating the comps I'll receive at a casino (assuming I've played there before) based upon the theoretical loss by game played, and the % normally kicked back by that property in comps.

 

Just wondering if the casino adjusts the level of comps with the hopes that a player with marker privileges will increase his play, rather than just basing the comps on his actual play.

 

 

 

 


 

As a rule, a player with "marker privleges' is considered a 'step up" then just a player with Check cashing privleges, as with a marker you are basically extending credit to the player.

 

At this point, the casino has a bit more of a vested interest in you as most  fail to know this ( A LITTLE DARK CASINO SECRET) but gambling debts are NOT LEGALLY COLLECTABLE. PLEASE NOTE. I said gambling debts, as opposed to collecting a NSF CHECK which is a crime. I have talked with several people who said they had heard gambling debts were not collectable and were surprised when the casino used every method to collect a NSF check. This is why casinos are much easier in granting check cashing privleges then marker privleges.

 

People then say, 'if a gambling debt is not collectable" then there is no downside to a player walking away from them. WRONG. As I said the greatest incentive a player has to making their marker good is the ABILITY TO PLAY. If you think you can not cover markers in one casino and just go to another and play you are sadly mistaken. AGAIN, this is the advantage the casinos have in sharing real time info. You stiff a casino and EVERY CASINO in the casino WORLDWIDE instantly knows and YES, even for the best of customers, they ALWAYS CHECK every time a new marker is requested or a check issued to be cashed.

 

Also,players with "marker privleges" tend to gamble a bit more and at higher levels, so like anything, they will get more 'comps" . Comps are figured on a percentage basis of how much "money you put into action', meaning if a player goes to a casino and lets say bets $250 a day in a Sports Book (where I worked most of my years) and a player bets $5,000 a day, it is not hard to see who will get the most comps.

 

Then again, as a casino floor supervisor advances in their career and their floor limit increases, they have a lot of latitude in comps they can offer. Using the above scenario If I was working I would have no problems giving the $250 a day player a buffet comp, BUT as far as a fine dining comp, it would go quicker to the $5,000 player. Nothing personal, JUST BUSINESS.

 

I still am asked to work about a month a year at various times, filling in during vacations, etc, as there is never enough of "High Floor Limit Supervisors" and I usually do it as it iis a fascinating business. Casinos have always been on the cutting edge of the technical aspects of business, things like Security, Credit, Customer Service . It was a great career.

 

Glad they treated you well and hope that your trip to Vegas was a successful one.

Message 36 of 92
creditwherecreditisdue
Senior Contributor

Re: Lunch with a banker regarding Credit cards.

Are gambling debts unenforceable everywhere in the US? I know the State of Florida does not allow its courts to be used to pursue out of state gambling debts. (I have no clue as to whether tribal lands are considered out of state or not.)
Message 37 of 92
Anonymous
Not applicable

Re: Lunch with a banker regarding Credit cards.


@creditwherecreditisdue wrote:
Are gambling debts unenforceable everywhere in the US? I know the State of Florida does not allow its courts to be used to pursue out of state gambling debts. (I have no clue as to whether tribal lands are considered out of state or not.)

Of course laws are changing all the time, but as far as I know right now is that only 1 STATE allows its court system to be used in the collecting of gambling debts.That was as of Jan, 2009. ( The State is Louisiana)

 

 NOW PLEASE REMEMBER, that is CASINO CREDIT EXTENDED, NOT CHECKS WRITTEN TO A CASINO.  A casino has every legal option available to it to collect and prosecute someone for writing a bad check that any business does.

 

 

 

 

Message 38 of 92
Uborrow-Upay
Valued Contributor

Re: Lunch with a banker regarding Credit cards.

Thank you again, DickC!

 

I don't know which property or casino group you're associated with, but the chances are better than even I'm already one of your patrons!

 

For the heck of it, I just measured my personal stack of player's club cards, including all geographical casino locations.  With no dupes, it stands at just a hair under 4 1/2 inches tall. 

 

Every trip to Vegas (or any casino, for that matter) is a successful one for me because I play for entertainment and enjoyment.  I want to win, of course...but I'm only risking an amount I would've willingly paid for the fun of just playing the game.  Therefore, I never lose.   But I've come home broke on more than a few occasions, and it was worth every penny of it! 

:smileyhappy:

 

 

 

 (Edit to add:  I always get great service, too!  Just call me "George" !)  Smiley Happy

 

 

Message Edited by Uborrow-Upay on 09-28-2009 08:27 AM
Message 39 of 92
Anonymous
Not applicable

Re: Lunch with a banker regarding Credit cards.


@Uborrow-Upay wrote:

Thank you again, DickC!

 

I don't know which property or casino group you're associated with, but the chances are better than even I'm already one of your patrons!

 

For the heck of it, I just measured my personal stack of player's club cards, including all geographical casino locations.  With no dupes, it stands at just a hair under 4 1/2 inches tall. 

 

Every trip to Vegas (or any casino, for that matter) is a successful one for me because I play for entertainment and enjoyment.  I want to win, of course...but I'm only risking an amount I would've willingly paid for the fun of just playing the game.  Therefore, I never lose.   But I've come home broke on more than a few occasions, and it was worth every penny of it! 

:smileyhappy:

 

 

 

 (Edit to add:  I always get great service, too!  Just call me "George" !)  Smiley Happy

 

 

Message Edited by Uborrow-Upay on 09-28-2009 08:27 AM

 

You attitude has proven that indeed you are a WINNER, regardless of the monetary outcome.

 

As for my employment history, after graduating from college I worked 2 years at TURF PARADISE RACE TRACK in Phoenix, AZ. While there I was approached to come to work in Las Vegas,where I worked at the DESERT INN. After almost 3 years there, I was offered a great oppertunity by a "rising player in the gaming business,  so I took a job with BOYD GAMING.

 

Most all of my time was spent in the Race and Sports Book, in various positions.

 

I retired in 2000 after 22 years with Boyd Gaming.

 

As I said, I still go back and do a couple of 'stints" of work every year. Many of the "high floor limit supervisors" are either getting grabbed by all the new casinos being built or are like me, OLD and RETIRED, so when they ask me to work a couple of weeks, I do. (LUCKILY, they compensate me fairly well for it, including all expenses so my wife and I usually look at it as a vacation)

 

I also do some consulting with groups but by in large enjoy my retirement and time on the golf course.

 

In many ways I feel bad being here on this forum, as I really am the last person to ask for advice. As I have said, I habe not applied for Credit in over 8 years and have not seen my credit reports in YEARS. I just find this forum very informative and this it provides a valuable service. I wish I had more to contribute.

 

 

Message 40 of 92
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