When will this new credit system in America start?

Which one?

Joe Biden's team intends to reform the U.S. credit system. The credit score has a great importance in the lives of Americans, and from 2022 it will be calculated differently. A credit score shows Americans' good moral character, financial strength, ability to pay, financial literacy, and ability to pay their bills on time. It can determine whether an American can afford a home, take out a mortgage, or get a car loan. In addition, some employers also check the credit score of job applicants. According to the Biden Administration's idea, the three existing lending institutions Experian, TransUnion and Equifax would become subordinate to the Consumer Financial Protection Bureau (CFPB). Today, the three institutions are monopolists in the lending industry, but the government agency will increase its control over them. Credit rating procedures are expected to begin changing as early as the first quarter of next year.

After the changes, low-income people and low-income Americans who have always made their payments on time and as a result have a high rating will also qualify for low interest rates https://money-au.com.au. Such people will be prioritized over Americans with higher incomes (over $75,000 a year or $150,000 per family). Banks will prioritize financial integrity over large earnings. In addition, reforming the credit system should solve a number of other weighty problems that Democrats say are discriminatory. Today, for example, a poor person in the United States gets a credit card with a $500 limit and an interest rate of 29.99% per annum (APR) from a bank. But a wealthy local resident can get a card at the same financial institution with a $25,000 limit and a 0.00% to 6.99% interest rate.

The US Federal Reserve announced its decision to reduce bond purchases to $30bn a month in order to complete its stimulus tapering programme in March rather than June, as previously planned. The agency also plans to raise its key rate three times in 2022, although back in September it planned to raise the rate only once. The U.S. central bank also raised its inflation estimate for this year (from 4.2% to 5.3%) and next year (from 2.2% to 2.6%). In its statement describing inflation, the Fed acknowledged that it is no longer the "temporary phenomenon" that the central bank had previously called inflation. The key short-term interest rate remained unchanged at 0-0.25%. The federal funds rate is expected to rise to 0.9% by the end of 2022. By the end of 2023 it will rise to 1.6% and by the end of 2024 to 2.1%.

SWIFT allows for fast and secure data exchange on money transfers, payments, and securities exchange via a special SWIFTNet network operating on the same principle as the Internet. Unlike payment systems, it only transports messages about transfers and is used at the interbank level. International transfers cаn be made using remote banking systems or telex, supplemented by fax or mail messages. Hоwever, such transfers are not protected. They take longer than SWIFT messages. I recently consulted with Mortgage Broker Leeds https://leedsmoneyman.com , and he is not sure about this system...

There isn't actually a complete overhaul of the credit system planned in the US. There have been some recent changes, though, that went into effect in July 2024. If you're interested in learning more about these specific changes, I can provide some additional information. https://wealthbuilders365.com/