Credit score (FICO) still important

LilacTree · ‎03-25-2012

I have been having pain under my last "old" bridge in the upper right back portion of my mouth for several months now. I knew it was the molar under the bridge but kept hoping it would just "die." Unfortunately, that did not happen and I knew that meant an entirely new bridge (three teeth). I was putting it off because I also knew the cost was going to be prohibitive for me right now.

I finally had to address it as I was unable to eat on that side of my mouth and I was afraid of infection. I had the tooth extracted last week and am getting a new bridge, the work starting this Wednesday.

Because both the dentist and I still participate in the Careington Dental Discount Plan, and I have good credit, I was able to get approved immediately for a loan via Care Credit, 24 months, 0% finance charge. Although I hate adding a loan to my current debt load (only one credit card, low balance), it is obviously a life saver because even though I'm 80 now, I still don't want to walk around with visible missing teeth. The other two teeth were under the same bridge, so they would have had to be extracted also and that would have been not only visible, but definitely an eating issue on that side.

There are great deals out there right now for balance transfer cards, and I took advantage of that two years ago and paid off all of my cards except the current one, which is still at 0% finance charge until the end of this year. It's really a great deal, and I have always made very large monthly payments.

Now I will have two bills again (actually the second one is a bank loan), but I can pay for the dental work I need which would not have been possible had I not had good credit. This is extremely important for those who do not have retirement savings.

Formerly Ford1224
We must always take sides. Neutrality helps the oppressor, never the victim. Silence encourages the tormentor, never the tormented. Elie Wiesel 1986

2blonde · ‎03-10-2010

@LilacTree I actually opened a Care Credit card last June when I had my cataracts removed. I really wanted the premium (multi-focal) lenses, but $6,000 is a lot of money for me to just fork over, and I surely didn't want to put it on a current credit card and pay interest on it. They offered me the CC card, interest free for one year. I figured I could handle the $500/mo it would take to have it paid off......besides, I know the interest consequences for not having it all paid by the due date!.

Currently, I only have 2 payments left and I will be free of that debt. That card is very clear on their statements with how much you still owe and the final due date, so no complaints with that. Soon I will "own" my new eyes, and I love them and don't regret spending the money at all. As a matter of fact, my FICO score has gone up since I opened that card (payment history is the biggest factor with credit ratings).

Laura loves cats!

LilacTree · ‎03-25-2012

@2blonde wrote:
@LilacTree I actually opened a Care Credit card last June when I had my cataracts removed. I really wanted the premium (multi-focal) lenses, but $6,000 is a lot of money for me to just fork over, and I surely didn't want to put it on a current credit card and pay interest on it. They offered me the CC card, interest free for one year. I figured I could handle the $500/mo it would take to have it paid off......besides, I know the interest consequences for not having it all paid by the due date!.

Currently, I only have 2 payments left and I will be free of that debt. That card is very clear on their statements with how much you still owe and the final due date, so no complaints with that. Soon I will "own" my new eyes, and I love them and don't regret spending the money at all. As a matter of fact, my FICO score has gone up since I opened that card (payment history is the biggest factor with credit ratings).

@2blonde

I agree. My payment history is 100% and stays that way . . . always much more than minimum payment and always paid before the due date. My FICO score went up as well, by a lot!!

In fact, it was my payment history that got us this apartment. They said that's what they look for, not the FICO score. That said, banks and car dealers still rely on the FICO score the most.

Payment history and the ratio of available credit to debt is vitally important. My available credit is in five figures, although this is the first time I have used that in five years. My goal is to leave my children with zero debt on my behalf when I'm gone.

Formerly Ford1224
We must always take sides. Neutrality helps the oppressor, never the victim. Silence encourages the tormentor, never the tormented. Elie Wiesel 1986

2blonde · ‎03-10-2010

@LilacTree You are one smart cookie! I had overspent years ago, but I've been getting it all back in order and my score has continued to go up and up. I do always pay more than the minimum, and I've never been late on a payment. In a few months I will finally have my mortgage paid off too!

Laura loves cats!

LilacTree · ‎03-25-2012

@2blonde wrote:
@LilacTree You are one smart cookie! I had overspent years ago, but I've been getting it all back in order and my score has continued to go up and up. I do always pay more than the minimum, and I've never been late on a payment. In a few months I will finally have my mortgage paid off too!

@2blonde

Believe me, 2blonde, I had to learn the hard way. Good for you for paying off your mortgage!!

Formerly Ford1224
We must always take sides. Neutrality helps the oppressor, never the victim. Silence encourages the tormentor, never the tormented. Elie Wiesel 1986

151949 · ‎03-09-2010

I know what you mean about those dental bills. I have a 3 tooth bridge that has a small chip out of it.The tooth under it is getting sensitive so I suspect trouble there. We have dental insurance but our co pay for this will probably be about $1500.

As for your FICO scores - they make a huge difference on what your interest rate will be when buying a car or getting a credit card or a mortgage. When we applied for the mortgage for the house we didn't buy this winter, we were offered 3.25% interest because of our high FICO score.

NycVixen · ‎10-15-2010

The OP is entirely correct. My DH is not from here and I taught him how to build his credit. We both have excellent credit.

It's important to realize that if you don't, over a lifetime you will pay more for many important purchases and have less access to liquidity in times of emergency. My mom has never had any credit. She gets offended when cellular providers insist on a deposit. She never appreciated the fact that credit is like building an identity and a presence; in their eyes she doesn't exist.

One never knows when having access to funds will be necessary. Credit will always be important.

~Live with Intention~

chrystaltree · ‎05-10-2010

I think this is a good reason why people SHOULD have retirement savings even it it means working past the age at which you can retire...and want to retire. Something that requires cash is always going to come up and going into debt in our senior years should be an absolute last resort.

SeaMaiden · ‎03-10-2010

@LilacTree I am so happy you were able to get the work done on your teeth. I also have a lot of teeth issues ( just had a molar pulled last week.) nothing is much worse than a tooth ache and infection🙁. Yes, having good credit is so important in an emergency.

I have dental insurance....but for the BIG stuff, dental insurance does not cover too much....and implants not at all. I know will need implants in the future. At $5000 a pop, I am not looking forward to them.....