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Random Thoughts

Credit bureaus

They hold an important distinction in our society. Our creditworthiness depends on them after all. In all seriousness, if it hadn’t been for credit bureaus the banking institutions would’ve been doomed long back! And our lives would’ve been very difficult — think about multiple verification calls, background checks and a ton of paperwork.

I don’t even want to think about it.

But there’s one thing I absolutely hate about these bureaus — their scores. It makes sense for the most part but where it lacks rationale is when people who haven’t taken a single penny off of banks or credit cards are pegged together with defaulters! Yup! You aren’t “creditworthy” if you haven’t borrowed money in your life or if you haven’t paid back what you owed!

Welcome to utopia!

I’m not a finance guy, so I don’t have a recommendation but I sure do believe that we have to be reasonable when it comes to credit scores. Someone who’s financially well off doesn’t have any reason to borrow money.

Remember the old days when hard work and living in earnest was the means to a good life? Well, some people still practice that! But if credit bureaus can’t see the value in frugality or living earnestly, I think the system is flawed. More so, it’s promoting a lifestyle where credit cards and borrowing money aren’t just normal but a necessity to be deemed “creditworthy.”

Someone will have to step out of their spreadsheets and study things as they are in reality. But would they?