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SteveDonovan
18-04-2003, 13:59
Many people have commented on other sites what a challenge it is in obtaining credit facilities when you first arrive in the U.S. It seems that however good your U.K record it doesnt stand for much when you get to the U.S. Does anyone have any tips for someone new to U.S credit system.

esprit
18-04-2003, 14:12
It is difficult. Even if you have been paying a US mortgage and utility bills for years as some of us have, it is not much help. I heard that if you have a UK Amex card, it is of some help but really you are starting at square one. I know of someone who moved put six months ago who said he was only just starting to get somewhere with this and he was a villa owner before he re-located. What are you going to be doing over there??

SteveDonovan
18-04-2003, 14:45
Hi Julie,

My wife is in Business Travel and I am going to do the Realtor Exam with a view to having an initial role working with someone in that industry. I have been a financial adviser with my own business for the past 20 years here in London, advising people on things like Tax & Death etc, so the idea of helping people on something happy and exciting like living/buying property in the sunshine is much more interesting.

esprit
18-04-2003, 14:55
Did you get your visa yet. If not which one are you going for? I am going through the process at the moment, so know quite a bit about this if you want to pick my brains.

neilandkay
18-04-2003, 19:14
Some tips from when we moved stateside.

If you can, open up a US bank account at least 6 months to a year in advance. Try to keep adding funds to the account to show activity. Citibank is a good one because you can get a UK citibank account based in London

Order an Amex in the UK if you don't already have one. Hopefully plenty of time in advance and use it responsibly. When you get to the USA you can call up Amex in the USA and tell them you have moved and they transfer everything.

MBNA Credit Cards over in the USA were the most helpful to us with setting up a credit card from scratch. You will need to show a few months of back credit statements to prove that you are credit worthy.

You will need a social security number to do almost anything over in the USA including taking your driving test.

Car Insurance was another problem area as generally your no-claims from the UK doesn't exist here. We found that Allstate were willing to accept our no-claims from the UK. This was very useful as car insurance is so expensive.

Good luck

--Kay

SteveDonovan
20-04-2003, 00:15
I have filed U.S embassy here in London for a spousal Visa. If you have been through the same I am sure you will be familiar. I am awaiting an interview date at the London Embassy. Subject to us being able to to show that we can financially support ourselves and that I have no contagious diseases we hope to have an interview date for sometime next month.

esprit
20-04-2003, 03:42
E2 in my case, Steve and as far as I am aware, we dont get examined for contagion (!!!) at the embassy. How do they do that, one wonders???? I am not familiar with spousal visas but I presume that means you married an American??

neilandkay
20-04-2003, 08:27
We were over in the US on an L1/L2 visa combination. At Christmas time we went back to the US Embassy in London for a green card interview. As part of that they do a medical, including a chest xray.

If you are potentially moving out to the states full time on a spousal visa, they may be doing the medical as part of that visa process. It is not as bad as you think, but if you have a record of your immunizations it will save you some jabs (and some money too!)

Good luck with everything

--Kay

SteveDonovan
20-04-2003, 13:43
Yes, my wife was born in New York and although she came back to England when she was a few weeks old other than normal holidays and a years spell as a holiday rep in Miami in the eightys has never used her citizenship. She holds duel citizenship although the US do not recognise this and see her as a U.S citizen. Because of her status I go through something called a I-130 process that takes about two months at the end of which, all being well, am given a green card. Once in U.S for three years I am entitled to apply for citizenship. As I said in an earlier posting the process requires my wife to petition U.S consulate in London, me to make application also and after providing various paperwork, such as a police certificate, showing I have no convictions, I am then requested to attend an interview at the Embassy at which I have a medical, including a chest X Ray, at which if they are all happy I am given my Green Card. Subsequent entry to U.S , must be within six months of this process. From this point on I then have a U.S Social Security number which entitles me to work etc.

esprit
20-04-2003, 15:28
Lucky thing, Steve. I dont think E2 people have an XRay. Have a friend who just did the interview and she said they asked her two questions and stamped her passport after a four hour wait!! However E2 is a non immigrant visa. Perhaps they are fussier if they think you are staying for good!! Where are you settling? Did you buy a house??

SteveDonovan
20-04-2003, 18:52
Yes in our case we are moving to Florida for good. We have friends in Florida in the property business so it is my intention to do the Realtor exam during this summer on one of my visits ahead of our move in the autumn. We are going to be living somewhere in the suburbs of Orlando but are still considering the exact location. We will be buying a house but have no great rush to do so, we may rent for six months to a year until we decide the exact spot that we want to live at.

SteveDonovan
20-04-2003, 21:11
By the way I meant to ask what is an E2 and L1 and L2 visa? and are these employment related?

esprit
20-04-2003, 22:58
E2 means you bought a business to run. L1 means you transferred over to run a US branch of a UK business. If you want non rental areas of Orlando, I believe Hunters Creek, Bay Hill, Windermere and Dr Phillips are good areas to look. You dont mention kids, but both Dr Phillips and Celebration have good schools. Good luck with the realtor exam. PM me if you want any info or to meet up when you eventually get out there.

esprit
21-04-2003, 03:17
You forgot to mention that as well as the batchelors degree, you also need a job and an employer willing to sponsor you. That is the hard part ( the batchelors degree, we both have!!) It is easier in some professions than others. And there is a cap on the number of these visas which can be issued per year ( and the big firms take up quite a number.) My husband spent years trying to get a job out there and then we tried to go the L1 route. Neither were possible. For some people, E2 for all its faults is the only option.

SteveDonovan
21-04-2003, 12:47
Thanks for the imfo, it seems that I have an easy path to my green card compared to some of the other Visa options. What type of business did you and your husband end up running, Julie?

esprit
21-04-2003, 15:04
I dont have my visa through yet so am keeping that one under wraps at the moment for fear of tempting providence, Steve. All will be revealed in due course! All I will say is it is nothing to do with the vacation industry!!!

imported_n/a
21-04-2003, 15:25
I really do not know why the Americans like to make it so difficult for the british to come and work here in the USA. There are stacks of Americans working in the UK.

I think that the american / british government have got a little agreement between themselves to make it so hard, so that it puts the brits off from trying, because once they sample the standerd of life over here, and the cost of living over here, No-one would want to go back to rip off britain, and Tony Blair would have no-one to pay the 4.00 per gallon for his fuel.

Just be persistant with trying for visas. It really is worth it in the end.:D

SteveDonovan
21-04-2003, 15:38
So how long have you been Stateside? I notice from your profile that you work in the property business, your obviously enjoy your life in the U.S, what do you find to be the main difference to living back in the U.K?

steph_goodrum
21-04-2003, 16:09
If you look at the figures the US can't make it that difficult for the UK really, because the reason we are ineligible for the Green card lottery and have been for so many years is that more than 50,000 people in each preceding 5 years have already transferred to the US under other Visas so they are taking a large proportion but it just seems they make everyone jump through so many hoops to get there.

SteveDonovan
21-04-2003, 16:58
No problem Julie, I wouldnt want to tempt fate either.

imported_n/a
21-04-2003, 20:39
Hi Steve

I have only been stateside since October last year.... and yes, I love it out here.

Your money certainly goes so much further out here.

The people are friendly, and there are loads of brits working out here.... some of them are even doing it legally! lol

I work in the property sales area, and now really is a fantastic time to buy and rent.
I personally am buying another 2 homes for the rental market. But as with everything else in this country, people will try to wripp you off when they hear the british accent... so be careful with any investments out here. Shop around for everything. You can always get a deal if you work hard enough for one!!!!

chrizzy100
11-07-2003, 02:48
quote:Originally posted by neilandkay


Some tips from when we moved stateside.

If you can, open up a US bank account at least 6 months to a year in advance. Try to keep adding funds to the account to show activity. Citibank is a good one because you can get a UK citibank account based in London

Order an Amex in the UK if you don't already have one. Hopefully plenty of time in advance and use it responsibly. When you get to the USA you can call up Amex in the USA and tell them you have moved and they transfer everything.

MBNA Credit Cards over in the USA were the most helpful to us with setting up a credit card from scratch. You will need to show a few months of back credit statements to prove that you are credit worthy.

You will need a social security number to do almost anything over in the USA including taking your driving test.

Car Insurance was another problem area as generally your no-claims from the UK doesn't exist here. We found that Allstate were willing to accept our no-claims from the UK. This was very useful as car insurance is so expensive.

Good luck

--Kay





Just a quickie but I never needed a social security number to take my driving test....that maybe just for Mass......I only got a social security number with my greencard last year....
We got our house within days of living here....plus credit cards....I agree Citibank is the best one to start off with....

They'll not even make a phone call about your credit in the UK.....so have a years worth of every bill.....but it the end money talks....if you bring over enough money....there's nothing you can't get in the USA......:D

esprit
11-07-2003, 03:23
Credit cards are difficult on arrival we hear. Even with a SS number, most banks will only give you a secured credit card with a low credit limit. We have been with Bank of America seven years with two mortgages and a savings and a checking account and they said they would give us a credit card with - wait for it- a $500 credit limit on arrival. Wow!! The easist way to get a credit rating, we have been told, is back reporting. Someone who has paid a mortgage there does have a credit rating but it isnt attached to a SS number and that is what people search against. We have been told that as soon as we get SS numbers, we should contact our mortgage providers and ask them to back report the years of mortgage payments to the SS numbers and that should sort us out credit wise.
Deposits!! Yeh, just had to pay $250 on a cell phone. Its a hard haul.

chrizzy100
11-07-2003, 07:06
quote:Originally posted by esprit

Credit cards are difficult on arrival we hear. Even with a SS number, most banks will only give you a secured credit card with a low credit limit. We have been with Bank of America seven years with two mortgages and a savings and a checking account and they said they would give us a credit card with - wait for it- a $500 credit limit on arrival. Wow!! The easist way to get a credit rating, we have been told, is back reporting. Someone who has paid a mortgage there does have a credit rating but it isnt attached to a SS number and that is what people search against. We have been told that as soon as we get SS numbers, we should contact our mortgage providers and ask them to back report the years of mortgage payments to the SS numbers and that should sort us out credit wise.
Deposits!! Yeh, just had to pay $250 on a cell phone. Its a hard haul.


My hubby had a ss number......but not me or the kids....
MBNA....give us a few thousand limit....citibanks still our lowest limit.......but after doing your first tax return....they can't throw cards at you quick enough....

SteveDonovan
11-07-2003, 13:28
This was a very good posting that I found on another site. The guy who wroth this worked for Experian, the worldwidwide credit agency, so I think it is an informed resonse.


Some useful advice there from Ben, just wanted to add a few pointers.

Ben, secured credit cards do you no favors ( I worked with Experian for 4 years) it only shows the card issuer that you can pay on time so they may then offer you and unsecured card. Most credit decisions made by lenders disregard secured cards.
As far as lenders are concerned they see you have a vested interest in paying on time since the financial institution concerned hold $x of your money. Unsecured lending is at no "risk" to the consumer.
Again information provided to you from my experience at Experian.

I would suggest the following Kitten:

Open a store credit card, unless you have derogatory information on your credit file IN THE US you will be accepted by Macys/Sears etc (John Lewis/House of Fraser equivalents) as long as you have a check card (debit card) with your bank or a credit card with another US institution (which you wont have yet so use your bank card). They give you "Instant Credit" based on you showing them a card bearing the VISA/Mastercard logo. You will also need a drivers license (US). Myself and 9 of my Brit, no credit, Visa holding, co-workers did this and all of us got a card with $1000 limit.!

Unlike the UK, the US arent too concerned about your salary, marital status, length of time with bank etc (you wont often find these questions on credit apps).

Some other pointers: Dont apply for lots of credit, it looks like your financially desperate and lenders are wary of this, from my experience it seems lenders want people who dont "need" credit.

Your UK credit history will be disregarded by almost every single lender you go to - note I said almost NOT all. It is infuriating that global organizations like Experian and Equifax cannot share information in some universally recognised format. For every one that considers it 99 will not look at it.

Credit granters base lending on a combination of things - your ability to pay back on time, the amount of lending you have right now, in relation to you salary, and your outgoing vs income.
If you are paying out 90% of your salary in outgoings lenders look less favorably on you, if you have a US credit account that is maxed out - again they look less favorably on you because it looks like you need the money.

My advice in short:
1) Department store card, spend upto 60% of the limit and make minimum payments or more for 12 months.
2) Apply for a US credit card with Capital One or Providian Bank they are "sub-prime"lenders ie for no credit/bad credit consumers. Use this card in the same way NEVER MAX IT OUT.
3) If you need car finance go with a company that will "guarantee" finance (many non-franchise dealers do this on new or nearly new cars - look through the Auto Mart (its a freebie publication available at most supermarkets). The interest rates are higher but after a year or 18 months refinance the vehicle.
I bought a BMW 323 for $24k at 14% with 20% down and after 18 months I have now traded it in on a $37k one and got a 6% rate with 10% down. More reasonable again in a year or so I may qualify for a 0% or low APR. (I hope my example helps).
The combination of 2 credit cards with low credit limits and low balance to credit available ratios, and 1 major purchase (your car) will make you look ideal for anything else you want. In fact this is the type of consumer most lenders want (according to studies).
Finally dont worry about high APRs you will not qualify for the 0% or low APR loans, car loans, mortgages or credit cards yet, however a year or so with the higher ones and you will.

Good luck

chrizzy100
11-07-2003, 19:29
quote:Originally posted by SteveDonovan

This was a very good posting that I found on another site. The guy who wroth this worked for Experian, the worldwidwide credit agency, so I think it is an informed resonse.


Some useful advice there from Ben, just wanted to add a few pointers.

Ben, secured credit cards do you no favors ( I worked with Experian for 4 years) it only shows the card issuer that you can pay on time so they may then offer you and unsecured card. Most credit decisions made by lenders disregard secured cards.
As far as lenders are concerned they see you have a vested interest in paying on time since the financial institution concerned hold $x of your money. Unsecured lending is at no "risk" to the consumer.
Again information provided to you from my experience at Experian.

I would suggest the following Kitten:

Open a store credit card, unless you have derogatory information on your credit file IN THE US you will be accepted by Macys/Sears etc (John Lewis/House of Fraser equivalents) as long as you have a check card (debit card) with your bank or a credit card with another US institution (which you wont have yet so use your bank card). They give you "Instant Credit" based on you showing them a card bearing the VISA/Mastercard logo. You will also need a drivers license (US). Myself and 9 of my Brit, no credit, Visa holding, co-workers did this and all of us got a card with $1000 limit.!

Unlike the UK, the US arent too concerned about your salary, marital status, length of time with bank etc (you wont often find these questions on credit apps).

Some other pointers: Dont apply for lots of credit, it looks like your financially desperate and lenders are wary of this, from my experience it seems lenders want people who dont "need" credit.

Your UK credit history will be disregarded by almost every single lender you go to - note I said almost NOT all. It is infuriating that global organizations like Experian and Equifax cannot share information in some universally recognised format. For every one that considers it 99 will not look at it.

Credit granters base lending on a combination of things - your ability to pay back on time, the amount of lending you have right now, in relation to you salary, and your outgoing vs income.
If you are paying out 90% of your salary in outgoings lenders look less favorably on you, if you have a US credit account that is maxed out - again they look less favorably on you because it looks like you need the money.

My advice in short:
1) Department store card, spend upto 60% of the limit and make minimum payments or more for 12 months.
2) Apply for a US credit card with Capital One or Providian Bank they are "sub-prime"lenders ie for no credit/bad credit consumers. Use this card in the same way NEVER MAX IT OUT.
3) If you need car finance go with a company that will "guarantee" finance (many non-franchise dealers do this on new or nearly new cars - look through the Auto Mart (its a freebie publication available at most supermarkets). The interest rates are higher but after a year or 18 months refinance the vehicle.
I bought a BMW 323 for $24k at 14% with 20% down and after 18 months I have now traded it in on a $37k one and got a 6% rate with 10% down. More reasonable again in a year or so I may qualify for a 0% or low APR. (I hope my example helps).
The combination of 2 credit cards with low credit limits and low balance to credit available ratios, and 1 major purchase (your car) will make you look ideal for anything else you want. In fact this is the type of consumer most lenders want (according to studies).
Finally dont worry about high APRs you will not qualify for the 0% or low APR loans, car loans, mortgages or credit cards yet, however a year or so with the higher ones and you will.

Good luck




We have a lot of credit cards and pla