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|Topic Review (Newest First)|
|09-29-2012 08:10 PM|
my score stays around 780
with 2 cards and house
cards paid in full every month.
|09-29-2012 06:36 PM|
Although nobody truly knows how FICO algorithms work (with the exception of the FICO folks), we can speculate pretty accurately based on what information they do release and what information tends to be common among high credit score achievers. There are many people in the 800 club with more than 10 revolving (credit card) accounts, then again there are many that do this with only 2 revolvers.
A diverse mix of credit types, average age of accounts, and utilization ratios tend to matter more than sheer numbers of credit cards. This is speaking generally, of course. Try to make sure none of your individual utilization ratios on any of your cards is above 10%. Ideally, you want each to be reporting about 2% of your overall credit line at the end of each cycle.
If you haven't done so, make sure to grab your free annual credit report from all three bureaus and make sure those dings have been removed. Also check out your average age of accounts. If it's too low, you can always apply for another AMEX, as they're the only company that backdates that product. For example, if I have an AMEX account for 5 years and get another one that's a different product, that new account is opened as if it were 5 years old and they report it as such, helping with your AAoA.
I wouldn't bother with the credit monitoring. Follow some of the basic credit farming techniques and you can be in the 700 club next year.
|09-29-2012 05:09 PM|
Sorry, that's pretty much all wrong.
|09-29-2012 02:48 PM|
Low credit score = bad.
To correct and expound, having too many credit accounts will actually lower your credit score. Having too much available credit spread out over too many revolving credit card accounts (credit accounts, store cards, online store credit, anything you have to pay back monthly).
Pick and choose carefully how many accounts you have open and only keep what is necessary. Keep the oldest accounts and keep them low. Don't have too much of a credit limit also as all that buying power looks negative to the bureaus because the assumption is that you could use all of that buying power. You can call the customer service numbers on most credit accounts and request your credit limit lowered (e.g. you have a balance of $200 but a limit of $12,000).
|09-29-2012 01:21 PM|
|09-27-2012 10:21 PM|
if anything lock your credit to keep bad things from happening ,only 2 of the 3 allow your credit to be locked.
second have zero debt only keep 2 cards, if the balance is zero on them charge a few things a month and pay it off each month.
having to many cards will mess with your score.
|09-26-2012 07:03 PM|
|09-26-2012 06:05 AM|
Credit monitoring question
I am preparing to buy my first house in about a year and I've already started talking with mortgage companies on my options. I don't have 20% down, so I qualify for FHA and a Conventional 30yr fixed w/ 5% down. Long story short, my preference is the conventional since I won't be hit with mortgage insurance. In order to qualify, the lowest credit score between my wife & I has to be 720 or higher.
Last year when I ran my credit score, I noticed some dings on there that I eventually disputed and made good on. At the time, my credit was in the mid-600's. I know that my wife's credit score is higher than mine, so I need to do everything possible to make sure I can qualify for our mortgage in a year.
Does anyone have any advice/recommendations on companies that do credit monitoring? I've read some people say it's a waste of money, but for me, $150 for a year is well worth it if I can make sure my credit reaches 720. I don't want to apply for the mortgage and then find out it's not that high. The credit monitoring will take some stress off of me so I'm not always wondering "what's my score?" or "do I need to dispute something?".
I have American Express and I noticed they have CreditSecure. Has anyone tried them? What about some of the others like Identity Guard, TrustID, Privacy Guard, etc?
If this is in the wrong forum, I apologize & please move.
Thanks in advance