credit score

[Silver R/T]

So my mom thought she had nice credit and stuff, when she contacted bank they said she has "0". So we're like wtf?? she has like 4 credit cards and always paid them even before payment was due. How could she have 0 credit

[Telvis]

Credit scores start at 350.

[Blown70]

Exactly, you cannot have a 0.

Low is 350.

Most will have almost 450 even after bankruptcy.  I would get on with experian and find out if she has any old outstanding issues.

Apparently 7 years ago I made one late payment....   WTF...

Ohhh well I have no need for any more credit.

Tom

[Silver R/T]

just checked experian and theres no negative records, only shows everything that was paid off, no late payments or outstanding fees of any kind.

[Telvis]

They should also give you a fico score. That's what lenders use to determine if they want to give you a loan. Anything below 600 is poor, over 700 and you are doing average to above average.

[Silver R/T]

I didnt find fico score

[TK73]

I didnt find fico score

costs extra to get your score with those credit companies...

[Silver R/T]

ya I found that out

[NHCharger]

Yeah something is definitely wrong. I run credit checks on any prospective tenant and "0" doesn't exist.
If she's looking to get a loan she should try another bank. Any bank with a loan officer that stupid can't be good.

[69_500]

Making minimum payments always on time for a credit card doesn't always mean you are getting a good credit rating either. And another point is that paying off loans early can sometimes hurt your credit score.
Had a 4 year car loan that I paid off in 1 1/2 years, after that I applied for another car loan credit score was 600, and that was the only loan I had ever had up to that point. NO credit cards or anything. Now someone explain that one.

[derailed]

another thing that I found out hurts your credit score is everytime you apply for a loan or a bank or credit company does an inquiry on your credit it goes against you, dont know why this is 

[Blown70]

another thing that I found out hurts your credit score is everytime you apply for a loan or a bank or credit company does an inquiry on your credit it goes against you, dont know why this is 

Well you are trying to get credit.  So if you do more than 3 check on your credit in 6 months they wonder why you are needing the credit.

Tom

[Charger_Fan]

another thing that I found out hurts your credit score is everytime you apply for a loan or a bank or credit company does an inquiry on your credit it goes against you, dont know why this is 

I've always thought that was pretty damned idiotic too.
You'd think that if anything, the more times your credit is pulled, the higher the score...you know, because you're trying to get another loan & make some friggin' company more money.

[greenpigs]

Making minimum payments always on time for a credit card doesn't always mean you are getting a good credit rating either. And another point is that paying off loans early can sometimes hurt your credit score.
Had a 4 year car loan that I paid off in 1 1/2 years, after that I applied for another car loan credit score was 600, and that was the only loan I had ever had up to that point. NO credit cards or anything. Now someone explain that one.

Because that was the only loan you had, you need a history to get a rating. The X has that problem, everything was in my name and "we" payed all the bills on time and some loans off early. Well my credit is good but hers isn't because she has no history.

Just one more way the little dummy screwed herself

[derailed]

another thing that I found out hurts your credit score is everytime you apply for a loan or a bank or credit company does an inquiry on your credit it goes against you, dont know why this is 

I've always thought that was pretty damned idiotic too.
You'd think that if anything, the more times your credit is pulled, the higher the score...you know, because you're trying to get another loan & make some friggin' company more money.

:iagree:Or just the simple fact that sometimes when your in Sears or any other department store they offer you 10 percent off your purchase if you apply for one of there foolish credit cards and alot of people do it and they do a credit check on you, doesnt necessarily mean you will use the card after you get it which makes me think of something else I remember reading or seeing on the news awhile back, if you have alot of credit cards even with a 0 balance on them that you dont use, thats not suppose to be to good for your credit report either.

[Blown70]

That is becasue it is potential debt.  Meaning if you have 4 cards with 10,000 limits you have a debt potential of 40,000.  One alone is not bad but people used to run them up then file bankruptcy.  Thus it is not good to carry a lot of potential debt.

Tom

[Silver R/T]

Ya that previous post makes sense to me.

[Rocky]

Your credit score is essentially based on your debt to income ratio, along with any bumps and bruises along the way.

[Silver R/T]

Basically what I think it is, we got stupid loan officer. She checked credit history 3 times already too, basically hurting mother's credit. So now instead of conventional loan we'll have to use FHA loan. If we go to different bank now, they'll have to check credit again, which is bad for credit score. And there's no assurance that we get better loan officer who wouldnt say that she got "0" credit score.

[Troy]

Any credit checks within 14 days should all count as one and shouldn't hurt your score. This way you can "shop" for the best rate on loans - especially for major purchases like a house or cars. It pays to act fast in those cases. If you are declined credit then it will hurt the score which I think is stupid since you didn't actually do anything but I don't make the rules. There's a reason I try to pay cash for everyting except large purchases.

Troy

[Silver R/T]

well she did it like once each month for 3 consecutive months

[Darkness]

What I think is stupid is if you pay off loans or credit cards quicker than expected and they ping your credit score. I've already had three credit cards already and I have paid two of them off and working on getting the third one paid off. I have already closed the account. Anyways, crazy stuff I tell ya.

[ChgrSteve67]

There is a difference between paying something off early and showing a steady long term payment history.
If you have a auto load that lasts 6 years and you pay it off in 4 1/2 there is no problem.
If you keep opening and closing credit cards moving the balance from one card to another you may have a problem.
Good credit history is just that history. A long term financial picture that you can handle credit and not let it get out of control.
Things you do not want on your history are bankruptcy,  late and non payments.
Another thing to keep in mind. Credit Cards with large credit limits can hurt you as well.
Say I have three platinum cards with $20,000 or more available credit, I could potentially get $60,000 in debt over night.
This can look very bad to financial institution that are considering you for a load especially when you are buying a house or car.
Paying off credit cards as soon as posible is a very good idea, its the opening and closing that looks bad.

Good credit is not easy and you should educate yourself.
I'm sure there is lots of good information on the Internet.

Also check your credit at least once a year to keep on top of any negative item that may have been added.

Just my 2 cents

[Charger_Fan]

Also check your credit at least once a year to keep on top of any negative item that may have been added.

Now & then I hear a radio ad telling people to check their credit reports online, some place like "free credit report.com", or something close.
To me, while it sounds like a good idea (I hate having to pay to obtain my own credit report), I'm very squeamish about just typing in all my info on some friggin' site like that. I feel like I'd be just begging for some scammer to bend me over & go to town.
Do any of you guys have experience with places like that?

[ChgrSteve67]

I would not use any of the free credit report options.
They are trying to sell you a services for a monthly fee and then give you your credit report for free.

I just asked my Credit Union about obtaining a credit report and here is what they sent me.
~~~~~~~~~~~~~~~~~~~~
To obtain a copy of your credit report you may contact one of the following Credit Bureau's.
Equifax                                           
          PO Box 740241
         Atlanta,GA 30374
         Phone: (800) 685-1111
         http://www.equifax.com/

Experian
          PO Box 2002
          Allen, TX 75013
          Phone :(888) 397-3742
          http://www.experian.com/

Trans Union
          PO Box 4000
         Chester, PA 19016
         Phone: (800) 888-4213
         http://www.transunion.com/index.jsp
~~~~~~~~~~~~~~~~~~~~

Talk to your bank or credit union to see what they recomend.

You will most likely have to pay for a copy of your credit report.

[472 R/T SE]

That's it Grant.  freecreditreport.com.  They will let you check it for free once a year.  No strings attached.

Even when you dump credit cards it will stay on your report for up to 6 months I think.  We have 2 with 0% interest.  No need for more, IMO.
Sometimes when you call to cancel a credit card it's like pulling teeth.  We had problems with a couple accounts, Yamaha and AmEx, who didn't want to close our account.  AmEx took like 5 tries.  That's why you need to check your report to see what some of these companies are trying to pull.

If you get on that site it will help you to better understand the whole game.  We're 33 points away from topping out so it's something I researched years ago. 

[derailed]

I would not use any of the free credit report options.
They are trying to sell you a services for a monthly fee and then give you your credit report for free.

I just asked my Credit Union about obtaining a credit report and here is what they sent me.
~~~~~~~~~~~~~~~~~~~~
To obtain a copy of your credit report you may contact one of the following Credit Bureau's.
Equifax                                           
          PO Box 740241
         Atlanta,GA 30374
         Phone: (800) 685-1111
         http://www.equifax.com/

Experian
          PO Box 2002
          Allen, TX 75013
          Phone :(888) 397-3742
          http://www.experian.com/

Trans Union
          PO Box 4000
         Chester, PA 19016
         Phone: (800) 888-4213
         http://www.transunion.com/index.jsp
~~~~~~~~~~~~~~~~~~~~

Talk to your bank or credit union to see what they recomend.

You will most likely have to pay for a copy of your credit report.

You can also obtain a credit report from these 3 companies by calling this number, 1-877-322-8228

[Charger_Fan]

You will most likely have to pay for a copy of your credit report.

That's what I've had to do in the past, I just dislike having to pay to see my own report.
Thanks for the ideas.

That's it Grant.  freecreditreport.com.  They will let you check it for free once a year.  No strings attached.

<snip>

If you get on that site it will help you to better understand the whole game.  We're 33 points away from topping out so it's something I researched years ago. 

So you've never had any adverse problems from using them? It's that whole "free" thing that makes me leery of using it. I usually have bad luck using that type of thing.
Oh & I'm assuming that getting that free report will also reflect as having been "pulled" on my overall report, right?

33 points away from topping out? WOW!



Derailed, do you have to pay with that phone number?

[derailed]

No you dont. Its free and you call and choose which companies you want to recieve it from. My mother used it and had no problems with it.

[472 R/T SE]

Oh & I'm assuming that getting that free report will also reflect as having been "pulled" on my overall report, right?

Yep, it takes a hit for even you checking it.  How much I don't know.  When, if, you check it at a later date you'll see where you've hit it and anyone else. 
Our bank was hitting it every so often so I called.  They need to check every so often I guess.  If they can have a reason to raise your interest rate, they'll be all over it. 

[Charger_Fan]

No you dont. Its free and you call and choose which companies you want to recieve it from. My mother used it and had no problems with it.

Great, thanks Man.

If they can have a reason to raise your interest rate, they'll be all over it. 

That's for damned sure.


Well cool, I'll give it a try & hold my breath.

[472 R/T SE]

Mind you I'm NO expert.  Just relaying my experience's and what I was told affect's the score per bank.

[Silver R/T]

Also check your credit at least once a year to keep on top of any negative item that may have been added.

Now & then I hear a radio ad telling people to check their credit reports online, some place like "free credit report.com", or something close.
To me, while it sounds like a good idea (I hate having to pay to obtain my own credit report), I'm very squeamish about just typing in all my info on some friggin' site like that. I feel like I'd be just begging for some scammer to bend me over & go to town.
Do any of you guys have experience with places like that?

Ive actually tried it and its completely free. Although it DOESNT give you credit score.

[Charger_Fan]

Mind you I'm NO expert.  Just relaying my experience's and what I was told affect's the score per bank.

That's fine, I appreciate your input. I just wanted to hear experiences from others before I tried it...I wanted someone else to be the Guinea pig.

[adauto]

A friend of mine had this happen after his divorce-

Finally got a credit card....
but low limit due to his divorce.......
easily maxed card ($350)........
tried to buy a car....
no available credit (maxed)
VERY LOW CREDIT SCORE!!!!!!

no car!

[89MOPAR]

 
Also, if you are denied credit due to an adverse credit score / credit report - you can take that denial letter, call the credit reporting company listed on the letter {Experian. Transunion, etc]  and , By Law , they are obligated to send you a Free copy of your credit report.

Something to tell your mom.

[Silver R/T]

went with different loan officer, mom's score is over 700....I dont know what the other so called loan officer was smoking

[nh_mopar_fan]

What I think is stupid is if you pay off loans or credit cards quicker than expected and they ping your credit score. I've already had three credit cards already and I have paid two of them off and working on getting the third one paid off. I have already closed the account. Anyways, crazy stuff I tell ya.

Closing credit lines that you've had for a long time will hurt your score as well. If you've had a card for a long time, you're better off leaving it open even if you don't use the card anymore.