Three weeks ago I was bombarded by emails telling me congratulations, my credit rating had improved dramatically and the senders wanted to keep me informed of my new status for a fee.  This week I get emails saying my credit rating had dropped because of adverse information and offering to help me restore my good credit.

And just who are these mysterious credit rating agencies?  Ok, ok, not so mysterious since we all know them but we are usually in the dark as to how they operate.  I personally don’t pay attention to these ratings since I can usally get what I want in spite of my credit rating that is littered with false information, bad debts, disputes, and more.  In fact I was once asked by a home seller for my credit report in order to purchase a property.  I got a printed copy of my report and handed it to the vendor saying, “you read it, I won’t waste my time.”  The report was 53 pages long!  Talk about sleep inducing reads.

When selling real estate to foreign buyers during the boom I used to test  mortgage brokers by asking them how they would get credit ratings for my foreign buyers.  If they said they could get credit reports on them, I told them thanks and go elsewhere.  Why?  Well the credit reports we are all famliar with are only available for residents of two counrtries, the USA and Canada.  The broker who said he could get one on my foreign clients obviously had no idea how to deal with a foreign buyer.

So how did I get mortgages for my foreign buyers who did not have credit ratings?   Believe it or not we used “no doc” loans which meant no documentation of stated income, assets, liabilities and so on.  Add subprime rates, adjustable interest, and low down payment and we had the most tenuous of loans going.  But my clients were richer than the average person so they did pay.

So while most of you sweat bullets to maintain a good credit rating I will continue to pay no attention to the rating agencies that at first congratulate you for improving your FICA score and then scare the hell out of you when the rating slips.