What's your FICO Score? And what are YOUR TIPS

[I Push Buttons]

You actually have to pay back less then you actually spend for that item?

No, say you have 1% cash back and no interest for a few months...

If you buy something that costs $10,000 with it and pay back that $10,000 before any interest accrues, you paid just as much as you otherwise would have paid and got a free $100 from your 1% cash back.

[Puupi]

No, you use credit instead of drawing from your bank account(s) when the card either gives a cash back incentive, and / or a very long term payoff at 0% interest.

Such credit cards don't exist here.

[Unionoob]

No, say you have 1% cash back and no interest for a few months...

If you buy something that costs $10,000 with it and pay back that $10,000 before any interest accrues, you paid just as much as you otherwise would have paid and got a free $100 from your 1% cash back.

How is that making money? Then you paid same amount as you would have paid with with cash or Debt card..

[Unionoob]

That sucks. I've had major purchases entirely paid for by credit card perks pretty regularly throughout my adult life.

I am not sure from where is Puupi, but here where I live you only get 0% if you pay back 100% amount on next month.

[I Push Buttons]

How is that making money? Then you paid same amount as you would have paid with with cash or Debt card..

With regard to my example, did you get a free $100 paying cash?

[melodramocracy]

How is that making money? Then you paid same amount as you would have paid with with cash or Debt card..

Because you just made 100 bucks.

Before the housing fallout several years back, you were seeing interest rates for some savings accounts hitting 5% or so. People who had extremely good credit (and usually owned a home) would practice credit card arbitage, which would mean they'd leverage as much credit as possible on 0% credit cards (typically balance xfer), throw all that money into a 5% account, wait almost the entire alloted time, then just pull out what they needed to pay off the cards.

If an emergency comes up before the 0% is due, you just pay if off early. This doesn't sound like a ton of money, but 5% guaranteed on 100k or so becomes rather worthwhile.

You don't see it happening now, because interest rates make saving money generally pointless.

More reading: https://www.thepennyhoarder.com/smar...ard-arbitrage/

[WskyDK]

Check back in June. Only been building credit for five years.

[Doctor Amadeus]

Mine was over 800 when I got approved for my house. When I was looking into buying a second house 2 years ago I got another credit check and was at 654. Didn't but though. Now I'm probably around 700 because I paid off more of the mortgage, but still have some owing.

Why did drop and how did you bring it back up.

[DarkTZeratul]

Why did drop and how did you bring it back up.

Presumably it dropped because after buying a house his ratio of credit used vs. credit available was much lower, and it went up because he paid off more of the mortgage.

[Forgettable]

Presumably it dropped because after buying a house his ratio of credit used vs. credit available was much lower, and it went up because he paid off more of the mortgage.

Yea, this.

[Doctor Amadeus]

My dick is bigger than yours and my daddy is stronger than yours.

Not a dick measuring contest. Credit is important and it's something people don't talk about enough and everyone can learn from each other. My credit isnt perfect and I struggled more in the beginning and have bumps now. Learning from others could be helpful.

[Phookah]

One of the easiest ways to build credit it to get a credit card (or two) and use them to pay off the entirety of your bills, then immediately go and pay off the credit cards with your bank balance. If you do it quick you don't accrue interest, and it looks great on your credit history (putting a large balance on it every month, and then paying it off in full)

[Doctor Amadeus]

Presumably it dropped because after buying a house his ratio of credit used vs. credit available was much lower, and it went up because he paid off more of the mortgage.

Gotcha I paid mine off and cars so I've never taken a hit like that but never been near 800. Interesting information you posted.

[Shadowferal]

Because you've done nothing to conclusively demonstrate that if someone lends you money you will pay it back.

I wonder about that...
Credit scores are a double edged sword. I tend to view them as how much am I being suckered into borrowing money at such interest rates.
That being said , if a person wants a high interest score just make sure you pay at the very least the monthly minimum ON TIME.


I just as soon pay cash or do without. (Not realistic, I know)

[zenkai]

FICO® Scores are the credit scores most lenders use to determine your credit risk. You have FICO® Scores from each of the three credit bureaus—Experian, Equifax and TransUnion. Each score is based on information the credit bureau keeps on file about you.


What's your FICO Score?

Mine is 703

It wasn't always, but I like to know if you got higher or even lower, what are your tips, anyone with a really low score who actually raised it?

If so how long did it take you?

What are YOUR TIPS


Mine personally is to have only 1 or 2 credits cards use them instead of checks, to build credit, and monitor your credit, 703 seemed to take a long time to get starting from around 600 ish, The biggest hit I ever took was a loan, yes I was young once.

Your fico score depends on what model they are using. Some places use FICO 8 which will give you a better score but banks will use FICO 2 or 4 depending on the credit agency, it can easily be a 100 point swing. Enjoy!

[Doctor Amadeus]

One of the easiest ways to build credit it to get a credit card (or two) and use them to pay off the entirety of your bills, then immediately go and pay off the credit cards with your bank balance. If you do it quick you don't accrue interest, and it looks great on your credit history (putting a large balance on it every month, and then paying it off in full)

I do this now and have no debt, but some I know say having no debt can lower a persons score.

- - - Updated - - -

Your fico score depends on what model they are using. Some places use FICO 8 which will give you a better score but banks will use FICO 2 or 4 depending on the credit agency, it can easily be a 100 point swing. Enjoy!

Interesting also surprised it can dip too.

[Akka]

Not a dick measuring contest. Credit is important and it's something people don't talk about enough and everyone can learn from each other. My credit isnt perfect and I struggled more in the beginning and have bumps now. Learning from others could be helpful.

Yeah yeah, sure, "post your number" on a forum is certainly not a dick-waving contest...

[Doctor Amadeus]

I wonder about that...
Credit scores are a double edged sword. I tend to view them as how much am I being suckered into borrowing money at such interest rates.
That being said , if a person wants a high interest score just make sure you pay at the very least the monthly minimum ON TIME.


I just as soon pay cash or do without. (Not realistic, I know)

Yep this is the conclusion I've come to also. Have a friend born into wealth never had debt and millions even his score Isn't 800. That's weird as hell to me.

[Gamer8585]

670.

Kinda sucks but that was up from about 620 a couple of years ago. I was in a very bad place financially, underemployed with a family and I needed to put budget overruns on my credit balance.

My tips for rasing your score:
Use credit cards for all necessities where you can to build credit and get cash back. Use cash back directly on your balance.
Put your cards on auto pay for the minimum. That way if you forget to make a payment you'll be covered.
Limit your spending as much as possible and put as much down on your debt as you can every paycheck (make sure you set aside enough for rent and utilities)
Keep a running ledger of expenses so you can see where cash is going at any given point.
After you get 2-3 good cards don't apply for anymore. The credit checks generally aren't worth it.
Every 6 months or so try for a credit line increase, BUT only if your card provider dose soft credit checks. If you need to authorize a credit check, don't do it, its usually not worth the hit unless you are VERY confident your Credit Line will increase.
Don't close credit accounts unless you absolutely have too. FICO takes into account length of credit history and if you shut an old one down that's a lot of history you're wiping.
Take every opportunity you can to make money, and put it down on your debt. Its hard to work and not treat yourself, but its better in the long run.

If your in a bind you can try to play the "closing dates" on your cards. The closing date is the only date where the balance on a card counts toward your credit score. Its usually 1-3 business days after your due date (check your individual statements and cardholder agreements) So if you need to carry a balance try to make big payments before the closing date, and then just build up the rest of the month again. You're credit will look much better even if there is no practical change in your financial situation.

[DarkTZeratul]

I do this now and have no debt, but some I know say having no debt can lower a persons score.

A lack of debt will never lower your credit score, though never establishing debt in the first place can prevent it from increasing.