I can finally apply for a loan to buy a house!
The little detail the nazis always never tell you is that social credit is for businesses, not individuals. Also that how they frame “donations to the communist party” as a way to increase your score as being an evil trick when really just their way of saying “we like when you pay your taxes”
Even if social credit was as bad as it’s misrepresented as, it still wouldn’t be anywhere near as fundamentally racist and exploitative as the capitalist credit system is, where your score is based purely on how much a few oligarchs feel they can get away with fucking you over.
How does that credit score work at all?
Not an american and we don’t have a credit points system like them so interested.
Basically there’s some opaque formula companies use to figure out your score based on how often you use your credit cars/take out loans, how regularly you repay them, etc. This in turn affects your ability to get loans. Like if you want to buy a house or a car, they’ll check your credit score, and if it’s not high enough then they won’t float you, etc.
Yogthos answer is great, To add more context, and be a bit more negative… the credit score effectively incentivises spending a lot of money and taking out a lot of loans, and by taking out a lot of money and by paying them off, you get better credit, which means only the people who can take on big loans and pay them off get better credit. Basically only rich people have good credit, which means basically only rich people can buy houses and cars and things like that. It perpetuates a cycle for the rich getting richer and the poor staying poor.
Remember, in America, houses are an investment. You can use them to collect rent and, in general, line should go up, so your investment will gain in value over time on average.
This isn’t entirely true. A large part of a credit score is the age of revolving credit accounts. So you can get a very high score but just having a credit card with a $200 a month limit and paying it off each month on time. By year 2 your score should be very strong.
Or take out a higher limit card and just pay all your bills with it.
You don’t need massive loans or multiple accounts.
Ehhhhh, kinda.
Some credit card companies make their information more public.
Almost all across the board take on-time payment history as their largest contributing factor of the credit score, 35% according to my report. This means that any missed payments on anything will dramatically reduce your credit score. These hits on your score last, I believe, five years.
Next, at 30%, is only utilizing a small amount of your total credit. Now in such a case, you can get a very low amount of credit and use very little of it. This is fine. But if you’re going to use your credit card for actual things, which takes advantage of getting points and bonuses and yada yada, then you need a lot of credit. As someone with a $15,000 limit on one credit card, I am able to keep my credit usage by percentage very low.
Next, add only 15% of your credit score, which is still big, but not as big as the others, is credit age. 0-2 years is only the starting place. Your credit age is average between three and seven years and it only becomes good when it’s over seven years. You can only achieve an excellent in this category with 25 or more years of continuous credit usage. This is by far the absolute hardest part of your credit score to increase. The best way to have a good credit score at a young age like in your 20s is if your parents opened one with you and put you on their good credit score when you were in your teens. This can be very dangerous for people who don’t have enough money to pay off their card every month and can spiral you into debt really fast.
Having $50,000 or more in credit limit is optimal for the highest credit scores. Considering they do income checks when you apply for a credit card, you absolutely will not have a high credit limit on any one card unless you make a lot of money.
Next and the smallest amount of effect on your credit score is new accounts and recent inquieries. This means you can’t go get a bunch of new credit cards all at once, or else your credit score will tank. And if you buy two cars and a house in one year, you should wait a good three years before applying for anything else, less you hit your credit score.
Sorry for the brain dump. I had experience with this as a liberal and learned a lot about it. Just the high credit limit, old credit age, and low utilization requirements, means that basically anybody who is poor is going to have a hard time getting high credit.
Mistakes at least do go off your credit history. I actually had defaulted on a loan when I was younger and really fucked things up and my credit score was garbage. But now it is routinely over 800 when I check it, and it’s been over 850 when companies have checked it. I got my morgage at 2.4%… Good credit is cheap to maintain once you have some money… But not impossible if you have less. Just really hard.
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We have the credit score system in the UK too, so I’m interested how it works in places that don’t have it. How do banks asses your financial “suitably” when taking out large loans such as mortgages? Do they do their own checks when you apply?
They check do you have a job. That’s all.
I remember seeing an infographic and one of the worst offenses under China’s social credit system was cheating in a video game. CHEATING IN A VIDEO GAME. LMAO!
The CIA agent who came up with the idea clearly knew what would upset their audience the most.
It’s actually very different.
Yeah, one exists nationwide (credit score) and the other was some proposed municipality plan that didn’t go anywhere
The existing social credit blacklists use these numbers, as do almost all activities in China. But these codes are not scores or rankings
Instead, individuals or companies are blacklisted for specific, relatively serious offenses like fraud and excessive pollution that would generally be offenses anywhere. To be sure, China does regulate speech, association, and other civil rights in ways that many disagree with, and the use of the social credit system to further curtail such rights deserves monitoring.
Same difference.
It doesn’t matter – the Chinese “social credit score” as it is it understood in the West simply does not exist.
At least Americans get to own their land. In China you don’t own the land. Just the building sitting on top. Also you start paying for the mortgage before the building is finished… IF it finishes.
Yes yes, all buildings in China are made of cardboard and entire cities collapse overnight! It’s true! I work with the CI- I mean a trusted source, like RFA!
On a side note, I’m pretty sure not even RFA would say something as obviously false as this, but I guess their propaganda knows no bounds.
Their favourite part of the job is probably knowing that they can make up some stupid shit, then libs will run with it, making up even stupider shit themselves, and then believing the things they just made up.
Nobody said it was made of cardboard.
As a Chinese person myself and have invested my own money in China, they can take away your investment without repercussions and pay you a tiny fraction of the value they take from you.
Plus, the amount of bribes needed to get transactions made is just relentless. Everyone from the fucking guy inspecting the factory to the guy stamping my deed. Everyone needed to get their beaks wet.
All my investments are in America and Taiwan. Never need to pay a single bribe.
It’s funny watching them pull this shit in the one place it wouldn’t fly. I reckon a lot of these guys forget that only American libs are gullible enough to fall for their egg monopoly sob stories, the rest of us think of them as the spoilt failsons that they are, mad they didn’t get to coast through life on daddy’s factory money.
Americans own their own land? I thought that a lot of them are in spiralling home loan debts( among other debts) for most of their lives, and the majority of the rest are renting, and can’t even dream of even owning property. Not the rich, of course.
That’s not even taking into account the massive homeless population that the US criminalises and leaves to fend for themselves and just die.
So…how is that better than being provided the security of housing that China is doing?
If americans own their land, what are taxes for?
Ahhh americans, can’t get through their thick skulls.
Taxes are for the local community that pays for fire, police and schools. It also helps subsidize utilities for the community.
Now if I invested money in a plot of land that has no such things. Then my taxes are minimal, only paying for the federal government and maybe some small local government such as wildlife conservation.
My thick skull has invested into China in the past and the government took back the land they leased to me. Not even refunded me close to what I paid for it. Don’t let me get started with how much money I had to bribe these fuckers to get the transactions done.
I am a totally real person who actually has bought land in China and knows that the government is extremely authoritarian.
And it’s against the rules to lie in the internet and you can trust everyone for what they say… Certainly there isn’t any evidence of people lying on the internet…
Thick skulls indeed…
Go spread your fake conspiracy theory somewhere else, you fucking fascist. People here aren’t gonna buy your bullshit lies.
You don’t own the land underneath your feet in America, But in China, at least the land is owned collectively.
Oh, that’s right. In actuality, the government doesn’t own the land in China. The people do. The government just manages it for the people. So, in essence, every single person in China actually owns a part of the land they stand on. How interesting. Socialism is a very interesting system, isn’t it? And considering 94% of people own a home in China, I think their reputation for land ownership is significantly outpacing the United States reputation for land ownership.
But as a totally real person who actually bought land in China, you already know these facts, don’t you?
Yes, I own the land I buy. The building that sits on it.
I was fortunate enough to have government support for my initial home purchase and since then my investment portfolio has increased ever since. Can’t say for others, but I also invested money early on in life in opposed to spending on stupid shit.
The two countries have different government dynamics. One is freedom to prosper and also freedom to fail. While the other is no freedom but there is the golden contract.
As for the “housing security” that you’re talking about. Are you talking about the housing collapse that is currently happening or the shoddy government homes defunded by bribes that the locals are calling tofu homes?
This is a misconception bordering on a fucking lie. For all intents and purposes, in China you do own the land you purchase. The 70 year lease is mostly a formality. The government owns all the land legally speaking, much the same as literally any other country on Earth. Regardless of what a piece of paper says, the land is yours. The 70 year lease is just so the government can keep tabs on all the land in the country for different purposes, such as organization, urban planning, taxation, regulating land use and waste, and the state will compensate you for more than your home is worth, if the land is required for development, ala imminent domain.
Ironic that despite officially being a lease, in China you own your land more than you do in the U.S., which is a blanket nightmarish patchwork of banks and home owners associations.
Pssshhh. Keep drinking the Kool aid.
My family had a factory in Chengdu with a 50 year lease + a 50 year option.
A few years in they decided they wanted to expand the road and cut my family’s factory in half. The warehouse was literally butt up against the highway. Then a few years after they completed the road they decided to expand it again and took the entire land it was sitting on.
They gave us a tiny fraction on justthe land we “owned”. Not even accounting for the upgrades and improvements made to the facilities. We also lost all the bribe money we had to pay to buy this factory in the first place.
They completely ruined my family and our investment. It’s been 20 years and we still haven’t fully recovered.
We also lost all the bribe money we had to pay to buy this factory in the first place.
How can you type this with a straight face holy shit
Boohoo China has a 90% home ownership rate. Their system is literally working properly because you failed at becoming a landlord and have to get a real job.
Nobody in America has ever had their home taken by the government to build a highway /s
The continued concentration camps, forced eviction from your property without compensation, planned starvation, and planned chemical attacks against Native Americans to create “natural” park wo[u]ld like a word with you.
So let me get this straight, your family bribed your way into owning a factory and you want sympathy because you had to give it up? Meanwhile, in the US, the supreme court is going to be ruling on whether states can fine people for sleeping outdoors, while homelessness gets worse. It might be the case that had your family done the same in the US, you’d still have that factory and be wealthy too. That’s not a good thing. The dictatorship of capital in the US comes at the cost of everyone else.
In the US, cities have been known to bulldoze homeless encampments: https://www.vice.com/en/article/5db7qb/dc-bulldozed-a-homeless-persons-tent-while-they-were-still-inside
And you’re saying “China bad, US good” because you lost control of a factory.
Sounds like you got what you deserved.
