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View Diary: Sen. Warren and 6 others introduce bill barring employers from rejecting job seekers for bad credit (224 comments)

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  •  This is a really important piece of legislation... (16+ / 0-)

    ...for a LOT more reasons than just the extremely critical, obvious realities.

    Credit "pulls" in this country are legally allowed for a wide variety of unacceptable reasons. (Many people would be shocked at how easily accessible their credit reports are to others.) Lawyers, private investigators and just general citizens access the credit reports (not all of them under legal conditions, btw) of others, more often than not, because they CAN (due to special interest clauses in state and federal laws across the country); and, generally lax supervision that enables rampant abuse allowing access to the personal-private-information ("PPI") of citizens.

    Addressing the credit data industry's problems, effectively, is a truly important aspect of ANY successful economic recovery.

    Another obscure fact, one's FICO score is just one of many thousands of credit scores that may be created for any single citizen in the U.S. marketplace. And, regulatory supervision/enforcement of the legality (and legal implelementation thereof) of those "scoring protocols" is next-to-non-existent (absurdly limited resources are available to adequately regulate/enforce laws) at the federal level in this country (and in many states, as well).

    Virtually every bank and every retailer and every credit vertical (mortgage, auto, revolving credit, retail, healthcare, etc.) has hundreds of scorecards associated with it, including the CUSTOM scorecards of the businesses for which they're created. The creation of those custom scorecards, as they relate to--at least--99% of all businesses that use them, from banks to student loan providers to payday lenders, etc., go unchallenged throughout 99% of the marketplace as you're reading this, even though there are massive amounts of regulations that are supposed to be in place and enforced throughout the land. (In other words, as is the case with so many other matters in this country, we can pass all the laws we wish; but the effort/will/resources to enforce regulations has to be there, as well, or it's all just a free-for-all for the one percent to run roughshod on the rest of the population. Rinse. Repeat.)

    This is a an important "start!" Now, if only it could get passed into law?!?!? (Well, one can hope...)

    "I always thought if you worked hard enough and tried hard enough, things would work out. I was wrong." --Katharine Graham

    by bobswern on Tue Dec 17, 2013 at 12:15:28 PM PST

    •  It is wonderful legislation (3+ / 0-)
      Recommended by:
      greenbastard, bobswern, CJB2012

      IF... it has strong enforcement measures with real teeth.

      If it ends up like so many other bills that are simply for show, it will be an insult to workers.

      "In times of universal deceit, telling the truth will be a revolutionary act." -George Orwell

      by ZhenRen on Tue Dec 17, 2013 at 12:19:26 PM PST

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      •  Give it teeth by allowing legal action by the (1+ / 0-)
        Recommended by:

        person harmed.  Allow large private damage claims and punitive damages.  The legal profession will provide the rest on a contingent fee basis just like other personal injury claims.

        •  It's very difficult to prove ill-intent... (1+ / 0-)
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          ...on the part of a lender, credit-provider, or even when it relates to many folks that illegally pull consumer credit throughout this country, these days. In the first two instances, proving ill-intent is usually very technical in nature, or the defendant (business user of the illegal credit scorecards) will do whatever they can to confuse the matter before the courts, as far as litigation's concerned. (I know this to be true having witnessed MANY instances of these realities.)

          In the latter matter, where folks are illegally pulling credit, the truth is, if you pay a lawyer or a private investigator to do an unauthorized background check on someone, they can usually circumvent the law in most states, at least to the point of making it a lose-lose for the state/local government to go after them for their behavior.

          "I always thought if you worked hard enough and tried hard enough, things would work out. I was wrong." --Katharine Graham

          by bobswern on Tue Dec 17, 2013 at 12:46:08 PM PST

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      •  Strong enforcement is a problem because (1+ / 0-)
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        laws that have strong enforcement measures, like a lot of wage theft acts, make the decision to eradicate a serious, pervasive problem even though a lot of good people will get caught up in the law's provisions.  Here, you can't throw somebody who slings pizza for a living out of business because they ran prospective employees' credit because his accountant told him to do so.  That being said, Zhenren I've been very pleased to see what you are writing here.  I am member of a co-op and at our first orientation, a guy from Goldman Sachs actually gave the presentation.  He discussed how this co-op had an enormously successful business model which everybody wrongly thought was marxist.  It was capitalist, completely free market but the business structure had been rearranged to empower employees and members rather than managers or owners.  It was brilliant and it applies to all manner of things, like housing for instance.  Tenants used to own buildings they lived in and if that movement were resurrected, it would go a long way to settling the crisis of affordable housing.  And it makes sense.  If an investor buys a multi family building, he is not buying the building, he is buying the rent the tenants pay minus expenses.  So why shouldn't tenants take that same rent and buy the building. Much help would be needed to manage such a building, but man I'm with you it is a conversation I'd really like to see started.

    •  Does it have any chance in the Senate? (1+ / 0-)
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      Looks like the GOP isn't going to allow passage of any bills like this for the balance of this congressional session?

      "let's talk about that"

      by VClib on Tue Dec 17, 2013 at 01:41:14 PM PST

      [ Parent ]

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