Re: Credit Card question: Is it better for your Cr... - Page 5

flickerbulb · ‎03-09-2010

Credit rules have changed and unless you are watching your credit, most people probably don't even pay attention.

I started monitoring my credit weekly as I got closer to paying off my house, I even paid it off several months early.

Imagine my surprise when I saw how it took a nose dive because I lost that "credit line" when I paid it off.

They factor in how many CC you have, available credit, length of credit, and number of late or missed payments.

Credit Karma has a lot of information available to read up on. It is free to join and they don't send out junk e mails!

SilleeMee · ‎05-22-2016

I love Credit Karma! In all actuality, I don't care about my score(s) because I am not in the market for loans of any kind. Why I keep track of my scores is simply a game for me. I love to see how high I can ge it to go.

momtochloe · ‎11-03-2013

@flickerbulb wrote:
@momtochloe

Credit rules have changed and unless you are watching your credit, most people probably don't even pay attention.

I started monitoring my credit weekly as I got closer to paying off my house, I even paid it off several months early.

Imagine my surprise when I saw how it took a nose dive because I lost that "credit line" when I paid it off.

They factor in how many CC you have, available credit, length of credit, and number of late or missed payments.

Credit Karma has a lot of information available to read up on. It is free to join and they don't send out junk e mails!

Thank you again for all your help @flickerbulb as I never thought I had to think/worry about this. I have seen the commercials for Credit Karma but I never thought they applied to me . . . yikes, talk about think again mtc!

Tinkrbl44 · ‎08-23-2010

@Nuttmeg wrote:
Do not cancel a credit card. You can just not use it.
http://www.thesimpledollar.com/to-close-or-to-not-close-a-paid-off-credit-card/

http://www.mybanktracker.com/credit-cards/faq/what-happens-when-you-dont-use-credit-card-24701

@Nuttmeg

That's right .... Better to just not use it, but leave it open.

flickerbulb · ‎03-09-2010

@momtochloe

I am delighted that I could help!

On some of the comments on the CK questions, some people have commented that their CK score shows up lower than your actual FICO score.

I have not compared the two, so I don't know if that is correct.

In any event, you will get a snapshot of your credit and it gets updated every seven days.

They also provide tips on how to improve your score.

forest4thetrees · ‎07-11-2010

The most widely used credit score is the FICO score. FICO says the components that go into that credit score are:

Payment history: 35% — simply whether you’ve paid your bills on time.

Level of debt: 30% — how much debt you have, how much you’ve borrowed relative to your limits, and a few other factors.

Length of credit history: 15% — how long your accounts have been established.

Types of credit: 10% — the mix of credit you have, including revolving accounts, installment loans, mortgage loans, etc.

Recent inquiries: 10% — opening several accounts, which require inquiries, within a short period of time can lower your score.

Your credit score is based on your credit history, so anytime something changes in your history, your score can change as well. You’re entitled to one free credit report annually from each of the big three credit reporting agencies by visiting AnnualCreditReport.com. So if you check your score every 4 months, rotating from each of the three reporting agencies, you can continuously keep-to-date on what's in your report for free.

Kalli · ‎03-11-2010

@SilleeMee wrote:
I love Credit Karma! In all actuality, I don't care about my score(s) because I am not in the market for loans of any kind. Why I keep track of my scores is simply a game for me. I love to see how high I can ge it to go.

@SilleeMeeI thought I was the only one who did this!

My score is high but right now I'm 15 points lower than the highest score I've ever had. According to my cc, the high rating comes from a history of no missed payments and an established credit history in addition to not recently opening any new accounts.

Listed as counting against me: There is no recent activity and/or unsufficient history of installment loans. Having a loan that I pay off on time shows I can manage money.

So, should I take out an installment loan to see how high I can get my score? Seems silly since my cc history should already indicate I pay things off on time.

SilleeMee · ‎05-22-2016

@Kalli wrote:
@SilleeMee wrote:
I love Credit Karma! In all actuality, I don't care about my score(s) because I am not in the market for loans of any kind. Why I keep track of my scores is simply a game for me. I love to see how high I can ge it to go.
@SilleeMeeI thought I was the only one who did this!

My score is high but right now I'm 15 points lower than the highest score I've ever had. According to my cc, the high rating comes from a history of no missed payments and an established credit history in addition to not recently opening any new accounts.

Listed as counting against me: There is no recent activity and/or unsufficient history of installment loans. Having a loan that I pay off on time shows I can manage money.

So, should I take out an installment loan to see how high I can get my score? Seems silly since my cc history should already indicate I pay things off on time.

@Kalli,

I don't know about that...an installment loan? I've never took one out to boost my score. But I have bought high-priced items on a 0%-payment plan and paid it off within the given time frame. It's like an installment loan because you make a payment each and every month but better because there is no interest like you would have to pay with a traditional loan.

Sometimes paying off loans in full will have a negative impact on your score. Not sure why that is. It might have something to do with the type of loan it is.

Kalli · ‎03-11-2010

@SilleeMee wrote:
@Kalli wrote:
@SilleeMee wrote:
I love Credit Karma! In all actuality, I don't care about my score(s) because I am not in the market for loans of any kind. Why I keep track of my scores is simply a game for me. I love to see how high I can ge it to go.
@SilleeMeeI thought I was the only one who did this!

My score is high but right now I'm 15 points lower than the highest score I've ever had. According to my cc, the high rating comes from a history of no missed payments and an established credit history in addition to not recently opening any new accounts.

Listed as counting against me: There is no recent activity and/or unsufficient history of installment loans. Having a loan that I pay off on time shows I can manage money.

So, should I take out an installment loan to see how high I can get my score? Seems silly since my cc history should already indicate I pay things off on time.
@Kalli,
I don't know about that...an installment loan? I've never took one out to boost my score. But I have bought high-priced items on a 0%-payment plan and paid it off within the given time frame. It's like an installment loan because you make a payment each and every month but better because there is no interest like you would have to pay with a traditional loan.

Sometimes paying off loans in full will have a negative impact on your score. Not sure why that is. It might have something to do with the type of loan it is.

@SilleeMee, yeah, I know you're right. I was kinda being dramatic about saying I'd actually consider taking out a loan just to up my score. hahah! But, like you, I like to play with my score so the thought was intriguing. It's unlikely I'd ever do that, though. If I do, I'll let you know how it turns out!