Credit score

[beanerhawk]

840 for me. I also buy everything on a credit card and pay off in full, some months that can be $5,000 of monthly purchases and $5,000 paid off the same month. Also have two car loans, two mortgages (home and business property), have two LOCs open with no balances. Zero credit pulls in the past 3 years. Zero late or missed payments. Meanwhile I chunk away around $20,000 every January to fund my wife’s and mine Roth’s and HSAs for the year. After that I fill up savings and brokerage account as much as I can.

This guy gets it, open up a few credit cards, use ones that give you benefits. (Marriott rewards, airline miles, etc...) use the cards as much as you can and pay them off at the end of the month with no interest. You're credit score will go through the roof. Mine is over 820 always. Some times as high as 840.

 

[bdcolt45er]

Is taking out more credit truly necessary for him? Going from 754 to 815 prob isn't going to benefit him more than he's already getting in this stage in life. The bump certainly doesn't seem worth taking out more lines of credit just for a somewhat arbitrary number that may effect him only a handful more times in his lifetime.

Maybe that's just me. If his number was in the 600s I'd agree, but 754 is still pretty good. Fussing about a credit score just to get one or two more decimal benefits doesn't particularly seem worth it to me

I don't think it would make a difference. I did an experiment with refinancing my car loan with a 800 + credit score and I'm getting low 5%. Now that is a used car but it looks like my car is worth more than I owe at the moment. Wouldn't surprise me if the dealer could get the rate down a point in order to get the sale. But I agree rate wouldn't change much between 750-815.

 

[millah_22]

I don't think it would make a difference. I did an experiment with refinancing my car loan with a 800 + credit score and I'm getting low 5%. Now that is a used car but it looks like my car is worth more than I owe at the moment. Wouldn't surprise me if the dealer could get the rate down a point in order to get the sale. But I agree rate wouldn't change much between 750-815.

Not sure what the dealer's point of dangling that 1.9% was. I'd love to see how many people and their scores actually qualified for it.

 

[TennNole17]

Current credit system is a scam.

Also, it is not a score of how financially stable, how buttoned down your household finances are, or how prudent you are. Its a score of how you have used and repaid debt. The two things conflict.

 

[OrlandNole]

You need a credit score of 69 for entry into OP's mom's house.

 

[Whiskeydeltadeltatango]

A what am I doing wrong post. My credit score, pulled by a dealer for a potential auto loan, is 754. That’s the first pull in four years. My only loans are a 20k house loan and a paid off student loan from just after the forgiveness was overturned. Well, sort of. I have a credit card we use for monthly expenses that is paid off every month. It is never above 20% utilization. We have never been late on any payment in our 28 years of marriage. Plenty of documented income. Why isn’t my score higher? Not enough credit utilization? It doesn’t really matter but apparently I don’t qualify for the absolute best interest rates. Pisses me off. It seems arbitrary.

I'm in a pretty similar situation and have been told the "credit utilization" line. Basically I've had the same wells CC since I was old enough to start building credit and I've paid off my truck and a motorcycle I bought when I was younger, and my mortgage, but I was told in order to grow my credit I actually need to.show I can pay multiple lines of credit at once. I'm not going to borrow money to get a better rate on borrowing money, my 740 qualifies me.for everything I want.

 

[theiacowtipper]

Length of longest credit line?

Your credit card might give you access to TransUnion or your fico score and you can see what's hurting you.

Many banks and credit cards provide this now.

Do you own or rent? Does your second home have a mortgage? I imagine that may impact things.

13 years or so? I’ve had this chase card that long. We own. No second home.

 

[ICHawk-I]

The best FICO is a 0. No activity aka no debt.

👆 This. Credit score is not a sign of financial success. It just means you're really good at acquiring debt and paying it back on time.