The California Collection/TheCaliforniaCollection.cdr/his081/credit.lzh/CREDIT.TXT

Text File | 1991-06-30 | 36KB | 801 lines

WAR:Your complete guide to gaining credit  by Mark J. Allen

INTRODUCTION
------------
Credit is something everyone needs, but, sadly, it is a topic
about which very few people know very much.  Credit can be a
useful tool in your life, but, if you don't know how to use it
to your advantage, you are like a carpenter without tools who
has in mind the most beautiful building in the world, but isn't
able to build it because of not having the proper tools.

This booklet was originally designed as a supplement to a tape I
have produced on credit.  However, this booklet can stand alone
on its own merit and greatly benefit the reader.
ì
In the pages that follow, the mysteries of credit are explored.
It is a sad commentary on modern life that the majority of
people are ignorant about how the credit system works, and so
the system is able to do them great harm.

Whatever your purpose -- whether you are simply seeking a way to
get that first credit card, trying to re-establish your credit
following a bankruptcy, or whether you simply want to discover
the mysteries of credit, then this booklet is for you.

By the time you are finished applying this information, you will
have thousands of dollars at your fingertips to use as you see
fit.  But you must use borrowed money wisely, or it can lead to
financial disaster.

THE RIGHT USE OF CREDIT
-----------------------
While credit can be a blessing, it can also be a curse if used
wrongly.  Depending upon your purpose, your use of credit will
be different.

For example, if you want to establish credit for future consumer
purchases, you must bear in mind the price you are paying in
interest.  However, if you make sure to keep your monthly
payments at an affordable level, you should do fine.

I feel, though, that the best uses for credit are not for
consumer purchases, but for business and investment uses, which
is the major area of discussion in this booklet--establishing
massive credit lines to make investment easier.  Of course, the
methods described here will word for personal purchase credit,
but, if that is all you want to use your credid for, I suggest
you do not attain as many credit lines as suggested here for the
investor, because the temptation may be too great to spend more
than you can handle and you could end up destroying the credit
that took you so much time, effort, and care to build.

BUILD YOUR FOUNDATION
---------------------
First of all, you should have a steady source of income, which
for most of us means having a good job.  You CAN get credit
cards even without a job, as I will discuss later, but you
should have a good payiny job to get the most credit possible.

If you have had your job for over two years, own your own home,
etc., you can easily build your credit by first applying at
several department stores for their credit cards.  When you get
your cards (try for at least three), then buy something at the
stores that you would buy anyway, and then pay it off in full--
but pay an extra dollar.  What happens when you do this is that,
when someone calls to verify that credit reference, they will
not only report that your account is in good standing, they will
also report that you have a positive balance on your account, ì
which is a big plus in your favor.

When they report a positive balance, it doesn't matter whether
it is $1.00 positive or $1,000.00 positive because they can only
state the fact of the positive balance and not the amount.

Once you have had your department store credit cards for at
least six months, and you have made several purchases and paid
back with a positive balance (vary your repayment schedule a
little bit; sometimes you should NOT pay the entire balance off
but spread the payments out over a couple of months so that you
get a payment record established), you will now be ready to
apply for reserve checking at your local bank or savings and ì
loan.

Rules for these accounts vary, so pick the THREE banks with the
most lenient terms and screening procedures.  You may not be
able to tell how liberal they are on credit for sure, but, if
the bank or S.& L. has been doing a lot of advertising for loans
lately, that is one clue--remember, banks have specials just
like stores do!  Also, when I refer to banks from now on that
includes S.& L.'s and credit unions.

When you have your reserve checking accounts approved, write
yourselg a check for $500.00 from account A to account B (these
accounts must be at totally different banks, not just separate
branches of the same bank).  This will create a $500.00
overdraft at bank A and create a $500.00 balance at bank B.  ì
Now, go to bank C (after waiting the proper time for check
clearance) and write out a check for $1,000.00.  This creates a
$500.00 overdraft at bank B and a $1,000.00 balance at bank C.

After the check has cleared at bank C, go back to bank A and
deposit a check drawn on bank C for $1,500.00, paying off their
$500.00 loan to you and leaving you with a positive balance of
$1,000.00.

Keep on following this procedure once or twice monthly, but vary ì
the rotation a bit by not always writing a check to one bank ì
drawn on the same different bank.  This will establish a good
loan repayment record for you at three separate banks, and won't
cost you anything except service charges and a little interest.

NEVER USE A DOLLAR ONCE
-----------------------
The above example is based on using none of your own money in ì
your banking transactions.  However, you should run your entire
paycheck through one of your reserve accounts, or more, if time ì
permits, before it is needed to pay bills.  This will increase
your bank balances, the frequency of your pay backs, and will ì
make you look like a good, solid customer who can be trusted ì
with more of the bank's money.

Let's take an example of how this might work.  If each paycheck
$500.00, and you get paid twice a month, you can increase your ì
transaction amount from $1500.00 to $2500.00 per month, thus
giving you an average account balance higher by $1000.00.  The ì
simple act of using your entire paycheck in your bank deposit
go-round raises the impression the bank gets of you by almost
double.  Eventually, you will get MUCH more credit than you ì
otherwise would have.

So remember, always deposit your FULL paycheck in your cash
reserve account where you are making your other deposit for the
week, and then pay your bills from there on time as they become
due.  Your bank will love you for it, plus, you are actually
using each dollar more than once.

LOANS YOU NEVER HAVE TO PAY BACK
--------------------------------
What about those service charges you are stackingá up for your
transactions?  Well, the truth of the matter is, that, with
reserve check-ing you MAY NEVER HAVE TO PAY OFF THE LOAN OR THE ì
SERVICE CHARGES -- EVER!  Remember, the service charges are
charged to your credit line, so it doesn't really come out of
your pockek right now, and, since you are paying the bank the
entire loan in FULL at least once a month, you don't have to ì
worry about minimum monthly payments.

After you have had your account for six months to a year, you
should receive an invitation from the bank to raise your credit
limit, or, you can request a raise if they don't send you an ì
invitation.

Remember, thσ bank will do this because THEY ARE MAKING LOTS OF ì
MONEY OFF OF YOU, and because your account is unusually active.
You are, by now, a preferred customer at THREE DIFFERENT BANKS!

As your credit limits rise, continue to follow the formula ì
above.  Eventually, you should be able to take out loans of ì
around $20,000.00 on your signature alone.  If you want that day ì
to come sooner, just pay off all of your accounts (or the ones ì
that you can) and apply for cash reserve accounts at several
more banks.  Depending on the application, you don't have to ì
acknowledge unused portions of credid lines, and, even if you
do, it is still in your favor because you have three excellent ì
bank credit references (not to mention your department stores), ì
so approval of your new lines should be almost automatic as long ì
as you are careful.

WHAT TO USE THE MONEY FOR
-------------------------
When you finally acquire all of this credit, you can use it for
the downpayment of a good business investment or for investing
in real estate.  The rule you should use is that the money you
invest should makeσ you more money than you have to pay on the
interest on the loan.  Real estate is probably the simplest,
best investment for the beginner, unless you know a particular ì
business especially well.

HOW TO GET VISA OR MASTERCARD-GUARANTEED!
-----------------------------------------
This is a credit card crazy society.  It seems that, without a
credit card, you are considered some kind of social outcast.
Without a Visa or Mastercard, it is always a hassle to cash ì
checks.  Also, you often have to carry large sums of case around ì
with you just to get by.

The man with the plastic just whips out his card, hands it to ì
the store clerk, and pays for his purchase one to two months ì
later (thus enjoying the use of his money longer), or, if he ì
wants to pay interest, he can pay it off over several months.

People on Social Security, or disability want to have the same ì
convenience as everyone else,  So do young people new on their
jobs, or those who have learned from the situation that caused
them to go bankrupt, and are just begging for someone to give
them the chance to prove themselves worthy of credit again.

I was in the same predicament.  I was on Social Security.
Nobody would give me a credit card because I didn't have a job ì
and my income was too low.  I had no credit, and so could only ì
buy things with cash.

It was then that I read about banks that would issue credit ì
cards guaranteed by savings accounts.  This was just the thing
to let me prove myself, I thought.

But, alas, every bank I called except one said that they had
never heard of such a thing.  The one that had done it said that
they would only do it with a $1,000.00 deposit, and that, even
then, my credit would still have to be good.

It isn't hard to figure out that legally blind people on Social ì
Security don't usually have that kind of money just laying ì
around.  And besides, if they were going to check my credit ì
anyway, I had none, so that would not help me, I thought.

About a year after I had given up my search in despair, I came ì
across the Timesaves program, sponsored by Key Federal Savings
and Loan in Maryland.  I called the reference desk at the ì
library, got their phone number, and gave them a call.

I eventually got my Visa--even while still on Social Security --
with the minimum credit limit of $300.00.  I knew that this ì
would help establish credit for me once I found employment and
got off of Social Security.  In the meantime, I would have the
convenience of a credit card.

In the last year, Key Federal has changed their program
somewhat.  Their minimum deposit requirement is now $500.00
instead of $300.00, but theirs still seems to be one of the best
deals around for those who want a credit card, but can't get one
for whatever reason.  It may sound unfair for a bank to make you
deposit your own money to borrow against, but, for those who
want to get a Visa or Mastercard without waiting a long time to ì
build up to one, this is the way to go.

Following is a list of banks that can help you get your first
card.

LIST OF COLLATERALIZED VISA AND MASTERCARD BANKS!
-------------------------------------------------
(Note:  Banks are always changing their loan programs and
lending policies.  While the information below was believed accurate at ì
the time of publication, some banks may have discontinued their
programs.  If any of the banks below have discontinued their ì
program, please writeσ to Protege and let us know so that we can
delete that bank from the list.  The address is: Mark J. Allen,
1653 Amberwood Dr., #23, S. Pasadena, CA. 91030.  Thank you for ì
your help.)

Home Trust Savings Bank.  [phone].

Bank of Fresno, $1000 dep., 100% line of credit, 1180 E. Shaw  ì
Ct., #125, Fresno, CA  91370.

Provident Central Credit Union, $1000 dep., 100 - 150% line,
1825 Magnolia Ave., Burlingame, CA  94010.

Home Trust Savings and Loan, $250 dep., 100%, 20 E. Main St., ì
Vermillion, SD   57069.

Key Federal Savings and Loan, $500 dep., 100%, P.O. Box 7868, ì
Newark, DE  19714.

PROCEDURE: Contact the bank of your choice, and ask them for an ì
application for their SECURE VISA OR MASTERCARD.  They will send
you an application by return mail, along with directions of
their application procedure.  Yor are usually instructed to send ì
a check for the savings account with your application.  Upon ì
approval (almost guaranteed at most of the above), you will be
issued the credid card of your choice.

In the preparation of this information page, I have selected
those banks that give you 100% credit for your deposit.  There
are other banks that give you as low as 50%, but it is the
opinion of the author that banks should give you 100%.

If you have any problems with any of these banks, or know of ì
banks that have such programs not on the list, help us keep our ì
files updated by writing to us at the address indicated at the ì
top of this page.

As your first step in the establishment of credit, having one of
these major credit cards will put you six months to a year ahead
of the game credit wise of where you would be using any other
method.

HOW TO USE YOUR CREDIT CARD TO BUILD CREDIT
-------------------------------------------
The same basic principle applies to these collateralized credit
cards as does with a regular one.  What you are establishing is
a good payment history.

I would suggest that you try to pay the card off in full on at
least the first two month's bills.  You should, though alternate
with making a good, steady, monthly payment record.  You should
run as close to your credid limit as possible each month (even
in months you pay the balance off in full), even if you have to
take a cash advance and the pay it right back.  This shows that
your existing credit limit could use some expansion.

Once you have had your card for about six months, apply for
three department store credid cards.  When you get them, you
should immediately start using them.

*** NOTE ***
------------
Be selective with the department stores you decide to make an
application with. Pre-screen them carefully.  While most stores
will have the decency and good sense to honor our credit, one in
particular has proved itself to be a paid in the rear end.  When
I wad firsy buildinh my credit, they turned me down when I only
had my card from Key Federal, despite their advertising to the
contrary that said they would give you one of their cards just
by showing your Visa or Mastercard.  They had the audacity and
arrogance to go against their own advertising, and this author
has considered complaining to the regulatory authorities about
this false advertising.  There is, though, another store that
advertises the same thing and lived up to its part of the
bargain -- so, be careful.

Going on, even after I had obtained two Mastercards and one Visa
from other local banks (non-collateralized), I called them back
and was still turned down.
***  END OF NOTE  ***

After you have had your department store and collateralized
credit cards for a while, you can apply for reserve checking and
regular credit card -- but without the long, protracted building
process that is normally required.

PASSBOOK LOANS
--------------
Let's say that you feel a little bit cautious about your credit.
You have had no credit in the past, or you are just recovering
from bankruptcy, and you don't think your collateralized credit
cards will do you as much good as you would like.

Or, perhaps you want to hurry things up and start with higher
limits.  Well, the thing to do here is to take out a passbook
loan at each bank where you hope to apply for credit
(unfortunately, this method is not as popular as it used to be;
some banks don't do it anymore, while others no longer accept it
as a way to build credit -- remember, if in doubt, ASK YOUR
BANKER).

For illustration purposes on how this could be used, let's say
that you have $500.00 to work with.  Take the first $500., and
open a savings account at bank A.  A few days later, come back
and take out a passbook loan against the account (we are
assuming that you can borrow 100% of your money for this
illustration, actual banks vary as to the percentage loan they
will allow).

The good thing about these loans is that there usually is no set
monthly payment, only a lump sum payment at the end of the loan
term.  This gives you full flexibility.

Take the $500. you borrowed from bank A and go to bank B and
repeat the process.  Repeat with as many separate banks as you
feel necessary.

If you borrowed from three banks, the total loans outstanding
would then be $1500.00.  This has greatly magnified the
power of your original money.

After this, I would suggest that you make large payments either
weekly or twice a month for at least $100.00 or more.  When one
loan is completely paid, that frees the account for payment of
the others.

Usually, though, the bank will let you withdraw the paid off
portion, allowing you to pay back all loans at the same time.

If you kept up with the $100. per week payments to each account,
this would show that you can make payments of $300. per week!
Thus, you can appear, at first glance, to be a very high income
individual even if you are not.

MISCELLANEOUS LOAN SOURCES
--------------------------
Debt Consolidation Service: Credit Care, Inc., 800-621-2382.

Small Business Administration
1405 L St., NW
Washington, D.C.  20417
1-800-368-5855

Farm Credit Administration
490 L. Enfant Plaza, NW
Washington, D.C. 20578

Data Business Center
1468 W. Ninth St.
Cleveland, HO   44113

Columbia National Leasing
P. O. Box 129
Pentfield, NY   14526

Supreme Financial Services
P. O. Box 161
Dorchester Center, MA  02124

All State Marine and Investment Services,Inc.
132 Loise St.
Houma, LA  70360

The loan company listed below makes loans of up to $10,000.00 by
mail.  Please only write them if you live in one of the
following states:  AK, AZ, CO, CT, DE, GA, HI, ID, IL, IO, KT,
LA, MN, MS, MI, MT, NE, NV, NH, NJ, ND, PA, RI, TN, UT, VT, VA,
WV, WY.

FOR APPLICATION WRITE:
Barclays American
P. O. Box 5425
Alexandria, LA  71301

BUSINESS LOANS $25,000. AND UP.  HOME LOANS, LEASING FOR MOST
PRODUCTS, FARM LAND LOANS, 1ST AND 2ND MORTGAGES:

Diversified Development
N. 3310 Park Rd.
Spokane, WA   99206

PERSONAL AND EDUCATION LOANS, VENTURE CAPITAL, BUSINESS LOANS:

Arthur W. Colbert Associates
P. O. Box 15547
Ft. Worth, TX   76119

SIGNATURE LOANS, AND MOST OTHER TYPES OF LOANS:

Pace and Associates
P. O. Box 781
New Ulm, MN  56073

SIGNATURE LOANS, HOME LOANS, BUSINESS LOANS, EQUIPMENT LEASING,
ETC.:

Grayco Financial Associates
405 Sunset Dr.
Johnson City, TN   37601

PERSONAL LOANS, FIRST & SECOND MORTGAGE LOANS, REAL ESTATE
LOANS:

Casa Agency
914 Silver Spring Ave., #205
Silver Spring, MD  20910

BUSINESS LOANS, MORTGAGE LOANS, DOCTOR AND DENTIST FINANCING,
LARGE APARTMENT BUILDING LOANS, SHOPPING CENTERS, ETC.:

James D. Troyer
Financial Brokerage Services
RR #1, S.R. 15
Continental, OH   45831

EQUIPMENT LEASING, COMMERCIAL LOANS, RESIDENTIAL LOANS IN
CALIFORNIA ONLY:

Diversified Financial of California
661 E. Lambert Rd., #179
La Habra, CA   90631

BILL CONSOLIDATION SERVICE:

Town and Country Acceptance Corp.
P. O. Box 26397
Birmingham, AL   35226

PART II:  WHAT YOU NEED TO KNOW ABOUT BANKS AND YOURSELF
--------------------------------------------------------
Should you pick a large bank?  Should you pick a small bank?  ì
These are the questions that you will ask yourself after you
have studied the above material.

Of course, the answer to these questions depends on you and your
needs.  Small banks can give you personal service,  They can be
flexible with your requests.  You will have access to top
management.  If these things are important to you, then perhaps
a small bank is right for you.

On the other hand, a large bank can provide a wider range of
services.  It will have available to you more of the kinds of
financing you will need as your investment career grows.  If
you are persistent, you will eventually find someone in the
larger bank with whom you can deal.  But the road TO that person
may be a long, frustrating one.

But, above all of this, you need to establish a PERSONAL
relationship with your bankers.  At each bank that you use, you
should have a contact person to whom you can go with your
problems, and know that they will be given prompt attention.

In fact, your personal bankers should be your financial
consultant from the beginning.  They should not, of course, tell
you how to run your business, but you should discuss your
financial life with them and take their suggestions when they
are well placed.

I spent a lot of time in the previous part discussing strategies
for building your credit from zero on up to whatever you wanted.
But, in all of this, how will your banker evaluate you?

Traditionally, bankers will view one year of continuous
employment at the same job as satisfactory.  Some few banks will
accept you at six months.  But, it is necessary to know that you
should have already done some of the groundwork described above
if you have no previous credid history before you apply for your
first loan or bank credid card or reserve checking account.

Number one on the banker's agenda will be the question of
WHETHER YOU CAN PAY YOUR LOAN BACK.  After he has established
this fact from the financial data you have supplied, he will
then make a determination as to whether you WANT TO PAY THE LOAN
BACK.  This is a much harder think for him to decide, as it ì
deals with your character.  This is where he relies on credit
history.  So, if you don't have a credit history, GET ONE as
described in part one.

Other factors will be your debt to income ratio, or, the amount
of money you owe compared with how much you earn.  If your ì
expenses are already strapping you to the wall financially, the
bank most likely will not loan you any more money.

Next, your stability will be analyzed.  How long have you lived
in the same place?  How long have you been on the same job?  Do ì
you own your house?  Are you married or single?  All of these
factors will either help you or hurt you.  But, none of these
will secure you a loan without the steady income or the credit
history to back it up in most cases.  That is why it is so tough
for those just starting out, and that is why there are such
collateralized credit card programs as described earlier.  It is
also fortunate that some department stores and oil companies are
not as particular as some banks about previous credit history.

Your financial statement is very important in applying for
loans.  Generally, the more money you want, the more information
they will request.  You should get one from your local bank,
credit union, or your accountant.  If you don't understand how a
certain item is used, it would be a good idea to sit down and
have someone explain it to you.  And, even IF YOU DO have an
accountant, it would STILL be a good idea for you to understand
this very important form yourself.

It would also be a good idea to obtain the current standard
Fannie Mae real estate application from your bank, so that, when
you need to actually fill it out, you will understand and be
able to prepare for the lengthy form you must fill out.

*********

One can often tell from looking at the application how lenient
the bank's policies are.  Usually, the shorter the form the
better off you are if you have a good credit report, becausσ
that is almost the sole thing their decision is based on. A long
form usually means the bank is more picky, and they are just ì
looking for any excuse to turn you down.

What should you do when you are turned down?  It depends on the
turndown, but, usually, you should never let it rest there.  At
least call the bank or department store to find out how you can
qualify in the future.

Sometimes, though, even if you can be accepted easily by other
institutions, it might be to your advantage to put up collateral
with a stricter institution if they promise to release the
account later.  Lenders get reputations just like people, so, if
you have credit with an institution that has a reputation for
being stricter, it will look better on your report than having
all of your credit from those banks that are known as a "soft
touch" (though this may be the only kind of bank that will give
you credit for the first year or so).

Many institutions in Southern California are a pain when it
comes to credit -- especially most of the major ones.  Many
banks in the East seem to be easier to establish credit with.  ì
Even in this tough environment, though, there are still a few
banks that are lenient.  It is just a simple matter of screening
many banks during the application phase of your plan.

Even with a more conservative bank, though, some well placed
negotiation can win you the prize of credit that you desire.
Once you have your foot in the door at enough banks, it will be
a while again before you have to approach a new bank.  That is ì
why the initial phase of establishing relationships is so
important, and you should intelligently decide with whom you are
going to deal.

If you feel that a bank's turn down is totally unreasonable,
don't hesitate to write to the president of the bank to get it
settled.  I had one such incident, and the letter was referred
down to a vice president who very nicely told me how and when I
could qualify.  I took him up on his offer of credid at the time
he had instructed me to (all they had wanted to see was six
months of steady employment).  I sent a letter, when the proper
time had passed, directly back to him asking for re-
consideration as per his previous letter.

True to his word, within two weeks I received word of the
acceptance, and the award of the second biggest credit line I
had received up until that time.  Persistence and courage pay.
If I had simply taken the initial turn down at face value
without question, I would still be without this valuable credit ì
line today.

If you, then, feel a decision is unjust, or you simply want a
better explanation than is provided by a form letter with little
check marks, simply write to the man at the top.  It usually
brings satisfaction.

In this booklet, I have discussed how you can obtain a superior
credit rating in a relatively short time starting from zero or
less.  I have also expressed the opinion that the best use for
credit is to invest in your financial future.

You now have the tools to make a success out of your life.  What
you do with those tools is up to you.  Good luck in your future
plans!

APPENDIX: A RESOURCE TREASURY
-----------------------------
There will be those times, as you go through your program, that
you should not simply accept a credit decision sent out via a
form letter.  While sometimes this letter gives a justifiable,
valid, explanation, many times the decision is not justified
becauss the people in the credit card department are junior loal
officers with very little authority to make decisions, and an
extremely rigid set of criteria to follow.  If you do not
exactly meet their criteria, you will be turned down.

This is exactly what happened to me.  I had good credit, yet,
despite my credit worthiness (I already had about seven credit
cards) and my pre-screening before making the application, I was
still turned down due to insufficient income.  This happened
despite the fact that I had been told previously by a bank
employee that my income level was no problem.

Understandably, I was upset, so, instead of just accepting
my fate, I called my local public library and got the name and
address of the bank president and sent him a letter.

My letter did not get answered by him directly, because he
referred it down the line to someone who DID have the authority
to help me.  Due to my good credit and persistence, I got the
bank to make an exception to their income requirement.  But this
only happened for three reasons:

1)  I wrote a letter of complaint:
2)  A bank employee had given me incorrect information; and
3)  I had already established an excellent credit rating.

So, if all three of these conditions are present, you might want
to send a letter like this to the bank (these are the actual
words I used):

     Dear_____________:

           I am a new customer of your savings and loan
     with established credit that is very good at other
     banks.
           I was recently looking for a bank that could
     better service my needs, and I came across yours
     and it seemed as though you could best meet my needs.
           I called your _________ branch, inquiring
     about your credit requirements, as I was interested
     in a reserve checking account.  I asked if there
     was any minimum income or length of employment
     requirement, and was told there was not.
           Since the terms of your reserve checking meet
     my needs better than my present bank, I decided to
     submit a credit application and open a checking
     account, hoping to change over fully to your bank
     upon approval.
           While I was opening the account, I inquired
     again about your requirements, and was assured that
     things were fine.  In fact, I was encouraged to
     apply for more than I had originally intended on.
           Thus, I was very surprised to receive in
     today's mail a denial of my application based on
     insufficient income.  I would not have opened the
     account, nor would I have even wasted both mine and
     the bank's time filling out an application if I had
     not been assured that my income level was fine.
           I took half a day off from work to do this.
           I have a secure job with the Federal Govern-
     ment, and my income will only go up in the near
     future.  I will probably get a raise as soon as
     October or November.  Based on these facts, plus my
     excellent credit rating, I would like to ask for a
     reconsideration of my application -- but only for
     reserve checking.
           I feel that this would be the only fair thing
     for you to do, considering the fact that I would
     never have applied in the first place, taking time
     off from work and having a useless inquiry appear
     on my credit report.
           My checking account number is _________.
     Thank-you for your time and attention.

                                 Sincerely,


                                 Mark J. Allen

There will also come a time when you will want a release of the
collateralized savings account you might have started your
program with, or at least a raise in the credit limit (I still
have my original card because they raised my limit in response
to my letter below.  If they don't either release it, or give me
a higher limit in another year, I will probably drop it because
I will then have had my other cards long enough.  Send a letter
like the one below to you bank after you have had your card for
at least a year, and now have other credit established:

     Dear ________:

           I have been a Visa customer of yours for a
     little over a year and a half.  Your program has
     helped me achieve the credit results I desired, as
     I now have several other credit cards and a good
     credit rating.
           Doing business with you has allowed me to
     meet my objectives.  However, now, since my credit
     rating has become so good, I would like to ask you
     to consider doing one of the following, or both.
           I would like you to consider dropping the
     savings account requirement, and refunding the
     money in my collateral account, and or raising my
     credit limit without any further deposit require-
     ment.
           Thank-you for your time and consideration in
     this matter, and I look forward to hearing from you
     soon.  My Visa account number is: ___________.

                                 Sincerely,

                                 Mark J. Allen

I trust that the information provided in this booklet will help
you towards your credit goals.  By keeping in mind the reason
you are doing all of this -- namely, to gain financial
independence through purchasing real estate or a business with
this borrowed money as a downpayment, you can free yourself of
the position you are currently in of not having the money re-
quired to break free of the rat race.  My best wishes for your
success go with you.

                       *************

IF YOU WANT TO KNOW MORE:

I have compiled information on a wide range of topics, and
explored the answers to trade secrets of many professions.  If
you have a specific question on some topic, please feel free to
write me at the address listed on the title page of this
booklet.  I will be glad to tell you if I can be of help.

In addition, I plan to upload to this database soon a completely
new article on the field of direct response marketing.  In
approximately one year of study, I uncovered some amazing facts
about how you can advertise products even on television at
virtually no cost to you.

Finally, there is an audio tape available for purchase on the
subject of credit; and an entire tape course, The Passport to
Success, which gives information on leveraged buyouts of
businesses, government forced sales, marketing and promotion,
creative financing of real estate, and success motivation.  This
four cassette treasure trove can be yours at a discount price
simply by mentioning that you saw it in this article (please
give me the name of the database where you saw this article
posted).  For further information on prices, please contact
me via EasyPlex.  My User I.D.# is at the beginning of this
booklet.

WHY I POSTED THIS ARTICLE (AND OTHERS, UPCOMING, AS SOON AS I
HAVE TIME TO EDIT THEM) FOR FREE AND AM ASKING SO LITTLE FOR THE
ABOVE MATERIAL:

The reason I am doing this is that I feel it is about time that
people receive good information at a reasonable cost.  Also, I
have felt now for several years that the sharing of these
secrets with the public is the best way to get rid of the
television rip off con artists who give unsound or illegal
advice while charging you upwards of $300.00 for the privilege.  ì
Computer bulletin boards can provide the richest resource for
useful information at the lowest cost possible, and that is the
way things should be.

Copyright c 1986, by Mark J. Allen, all rights reserved.  This
publication may be downloaded for personal use only, and may not
be reproduced or sold in any way without the expressed written
permission of the author.  Further information may be obtained
by writing:  Mark J.  Allen, 1653 Amberwood Dr., #23, S.
Pasadena, CA 91030, or by leaving Compuserve E-mail to
#76327,23.