New credit law proposal

[coldnmn]

https://www.washingtonpost.com/news/business/wp/2014/09/09/rep-maxine-waters-proposes-sweeping-chang...

[RonM21]

There certainly is good and bad that can result from this on both sides.

[sjt]

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@coldnmn wrote:
https://www.washingtonpost.com/news/business/wp/2014/09/09/rep-maxine-waters-proposes-sweeping-chang...

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This was from 9/2014 and died before it could get to committee.

[gdale6]

New bill on this   https://consumerist.com/2016/05/19/bill-would-overhaul-credit-reporting-system-remove-debt-after-fou...

[EW800]

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@gdale6 wrote:

New bill on this   https://consumerist.com/2016/05/19/bill-would-overhaul-credit-reporting-system-remove-debt-after-fou...

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Not sure what the odds are of this making it through all the hurdles, but I would kill for the four year removal aspect!!  

[sjt]

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@gdale6 wrote:

New bill on this   https://consumerist.com/2016/05/19/bill-would-overhaul-credit-reporting-system-remove-debt-after-fou...

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To bad our Congress is so disfunctional because it would be interesting to see how this would play out.

There are some elements of the proposal that do not make sense and is counter intuitive, such as removing tradelines after the debt has been settled for less then owed.

[coldnmn]

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@sjt wrote:

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@coldnmn wrote:
https://www.washingtonpost.com/news/business/wp/2014/09/09/rep-maxine-waters-proposes-sweeping-chang...

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This was from 9/2014 and died before it could get to committee.

 Oops! Saw it on news and googled and posted the wrong story! Results should be known in coming months. Probably September when my last baddie falls off! 

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[pipeguy]

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@gdale6 wrote:

New bill on this   https://consumerist.com/2016/05/19/bill-would-overhaul-credit-reporting-system-remove-debt-after-fou...

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I'm not going to be very specific due to political considerations on MyFico, I'll just say that in election years there is a lot of "messaging" that goes on. As far as I can see this is "draft legislation" meaning they are floating a trial balloon - I'll follow up after I check a few things, but I'd be very surprised is this issue got any traction this late in the 114th Congress

Edit - Add:  After checking filing records, the original draft legislation talked about in 2014 was never filed (aka trail balloon), the NEW reported measure, H. R. 5282 was filed on May 19, 2016 in the House with no co-sponsors and no matching Senate version. The text of the bill is not available (published) yet but should be up in a couple of days.

If you'd like to check on this bill, you can use the public site Congress.gov and search on H.R. 5282. Keep in mind that if it does not move out of committee by the end of the year, it's dead unless it's reintroduced in the 115th Congress after the beginning of next year (and) its a short year since Congress is out of session from mid-July through the beginning of September and all of October.   

[EW800]

I believe PipeGuy is correct. I'm not real optimistic about this making it, however I will share that I personally hope that the seven year rule for most baddies is looked at some day. In my opinion, that is a loooong time. I've always felt that five years was a more realistic period of time.

I am guessing the lending institutions would fight this? I assume they figure longer the better.

[pipeguy]

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@EW800 wrote:
I believe PipeGuy is correct. I'm not real optimistic about this making it, however I will share that I personally hope that the seven year rule for most baddies is looked at some day. In my opinion, that is a loooong time. I've always felt that five years was a more realistic period of time.

I am guessing the lending institutions would fight this? I assume they figure longer the better.

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Again, I'm not going to touch on the politics so this is pretty generic, but I doubt this measure will even move in committee due to late introduction, no cosponsors, no Senate verson, minority party (Majority decides what moves). 

I don't think the anti or pro interest are going to weigh in on it because its a catch all effort that touches on too many hot buttons including bad liar loans during the housing melt down and student loans which Congress already addressed in the 113th