610 credit rating. Is this half decent?

[DT4K]

Originally posted by: spacejamz
For the FICO score, closing accounts can actually hurt your score...part of the score is determined by much available credit you have. Closing those accounts reduces this total which reduces your score.

Here is link on how the FICO score is determined...See # 2

Text

Yeah. Don't close your accounts. If you have to, put the cards in a safe deposit box and don't touch them for awhile. But keep the accounts open. The best thing for your credit would be to continue to use them, but ALWAYS pay your bill on time and don't let the balance get higher than half the credit limit.

I had really bad credit after spending years as a broke college student. I bought a car when my score was around 500. My interest rate is 19.9%.
A year later, it was up to 575 and I got approved on an FHA loan on a house.
Now, a year after buying the house, my score is around 625 and I am getting preapproved CC and loan offers in the mail everday. But they are still crappy offers. Either tons of fees, or like 23% interest rates.

At 610, you should be able to get a lot of loans, but you will usually pay high interest.
650-700 is probably average.
Anything over 700 and you should be able to get good interest rates and get approved for most loans fairly easily.

Someone who makes 200k a year and has a 610 really has either extended themselves way too far, or is just plain lazy about paying their bills.

 

[RossMAN]

If I made 200k/yr living my current lifestyle ALL my debt would be paid off and my credit score would easily be > 720

 

[CrazyDe1]

My mom has a 30,000 income and a 792 credit score...she cosigned on a house with me. I thought my score would be in the 650 range but it was a 752

We had no trouble getting a 260k loan...in fact the loan officer basically said pick whatever loan you want at our best rates.

I'm 22 and got my first CC w/ a 500 dollar limit at 18. I remember I used to have problems getting them to raise my limit to 1k and now they're offering limits all the time.

 

[spacejamz]

weird...dp 10 minutes later...

 

[royaldank]

Originally posted by: CrazyDe1
My mom has a 30,000 income and a 792 credit score...she cosigned on a house with me. I thought my score would be in the 650 range but it was a 752

We had no trouble getting a 260k loan...in fact the loan officer basically said pick whatever loan you want at our best rates.

I'm 22 and got my first CC w/ a 500 dollar limit at 18. I remember I used to have problems getting them to raise my limit to 1k and now they're offering limits all the time.

You obviously don't have a problem here, but others might. Having your all your credit cards raised to higher amounts isn't good for your credit score. It's nice to have multiple CCs and available credit, but it can hurt if there are a couple sitting way above your means. Basically, it's figured that you could go $10,000 (whatever the limit is) in the hole on your CC at any time and would have trouble paying everything. Not sure how much this affects your score, but it can bring you down if your CC have insane limits on them.

Basicly, only get what you need. Get a $500 CC for emergencies. Get another $500 or $1000 card for building some credit. Don't live outside your means. Pay them off each month entirely. Can't pay it off each month? Stop spending so much. Of course, this excludes stuff like tuition, etc. which take some time to pay off.

 

[SarcasticDwarf]

and somehow or another, I got denied for an Amex card and my credit rating is 710, grrrrrrrr

 

[spacejamz]

Having your all your credit cards raised to higher amounts isn't good for your credit score.

This might be true for some credit scores, but is definitely not true for your FICO score (which is the most commonly used credit score).

The lower your available credit is, the lower your score will be. This is factored in with your current balances. You will have a lower score if you have a $5k balance on your CC with a limit of $7k versus having a limit of $10k.

see my earlier post on how FICO score is determined.

 

[Imported]

My credit rating is around 720-740 and AMEX refuses to upgrade my Blue Student to Blue Cash cause they say I need to complete school first.. :|🙁

 

[CrazyDe1]

Originally posted by: royaldank

Originally posted by: CrazyDe1
My mom has a 30,000 income and a 792 credit score...she cosigned on a house with me. I thought my score would be in the 650 range but it was a 752

We had no trouble getting a 260k loan...in fact the loan officer basically said pick whatever loan you want at our best rates.

I'm 22 and got my first CC w/ a 500 dollar limit at 18. I remember I used to have problems getting them to raise my limit to 1k and now they're offering limits all the time.

You obviously don't have a problem here, but others might. Having your all your credit cards raised to higher amounts isn't good for your credit score. It's nice to have multiple CCs and available credit, but it can hurt if there are a couple sitting way above your means. Basically, it's figured that you could go $10,000 (whatever the limit is) in the hole on your CC at any time and would have trouble paying everything. Not sure how much this affects your score, but it can bring you down if your CC have insane limits on them.

Basicly, only get what you need. Get a $500 CC for emergencies. Get another $500 or $1000 card for building some credit. Don't live outside your means. Pay them off each month entirely. Can't pay it off each month? Stop spending so much. Of course, this excludes stuff like tuition, etc. which take some time to pay off.

My problem was I was buying things to sell on ebay and kept maxing my cards out. I still occassionally max out 3 cards at 5k limits but they all get paid off at the end of the month every month. The funny thing about my FICO score was it said that I have a low credit used to credit available ratio. I do have 1 card from radio shack I opened up a year ago to buy a laptop and haven't used it since....I usually charge about 3-8k a month out of 17k worth of credit though.

 

[tec699]

Guys...

My mother ran into some serious debt before she started making good money. She's only been in buisness for 5 years and has just gotten her credit together. Also, my parents are coming out of bankruptcy and this Janurary will be 10 full years. I've been told by the credit company that since she's near the end of her bankruptcy, that it shouldn't factor into whether or not I get this loan.

Here is the loan I'm trying to get: NJ CLASS LOAN

My parent's buisness made $140,000 for the Summer of 2003, but they also have a lot of overhead. Rent, supplies, wages all cut deeply into their income. And also the taxes that they have to pay can be pretty frustrating. $4,000 here... $3,000 there. Electricity, repairs, and they just renovated their buisness. It all takes a toll on your end profit. It's not easy.

Well anyway, thanks for the help guys. I appreciate it. I'm going to call tomorrow and I should have my answer. Banks can be real weird and I could suprise myself and get the loan.

I hope... :gift:

 

[StageLeft]

Originally posted by: RossMAN
If I made 200k/yr living my current lifestyle ALL my debt would be paid off and my credit score would easily be > 720

Ah, that's what they all say 🙂 Am I right that as your income has increased over the years your spending has as well? If you were suddenly bumped up to $200k/year your credit cards would get paid off a bit, but then you'd accelerate spending to match the new income. Income isn't the key to a good credit score until you can reign in the reason it's not good in the first place! 😛

 

[Zugzwang152]

I'm 20 right now, I've only had credit accounts for 2 years, and my score is 747 as of last month. I just paid off my Visa in full, so I believe it's somewhere in the 800 range right now ( I was carrying 33% of total credit 😱)

 

[tec699]

lol... you guys are young.

I'd like to see you guys in 20 years, and I guarantee you that most here will have sub par credit. Life just sucks at tiems, and you may either..

a) lose your job and might not be able to pay your bills.

b) might become divorce and the wife battles you in court and takes everything.

c) you might get careless and overspend.

d) go into an buisness venture only to find that it's hard to get it sucessful, and then you can't pay the overhead costs.

So all examples of what might lead some people here to bad credit. It happens guys, so stop acting like your holier than most people.

Your not, and maybe if you guys got out and actually meet other people your attitudes might change.

 

[tec699]

lol... you guys are young.

I'd like to see you guys in 20 years, and I guarantee you that most here will have sub par credit. Life just sucks at tiems, and you may either..

a) lose your job and might not be able to pay your bills.

b) might become divorce and the wife battles you in court and takes everything.

c) you might get careless and overspend.

d) go into an buisness venture only to find that it's hard to get it sucessful, and then you can't pay the overhead costs.

So all examples of what might lead some people here to bad credit. It happens guys, so stop acting like your holier than most people.

Your not, and maybe if you guys got out and actually meet other people your attitudes might change.

 

[Ameesh]

Originally posted by: tec699

Originally posted by: Chaotic42
It's too bad you didn't listen to America at Night last night. They had a segment all about this stuff.

IIRC, they said the best was over 700, with 650 being ok.

Damn! If I didn't sleep for 11 hours I would have watched that show. Well anyway..

Yea, I figured that. My brother's credit rating is well over 700 but he's not going to cosign for me anytime soon. He doesn't want the financial burden, and I don't blame hime.

So 610 is bad or is it hovering around the OK mark?

for someone who has an income like that there is no reason why her credit rating should be soo low.

 

[Ameesh]

Originally posted by: royaldank

Originally posted by: CrazyDe1
My mom has a 30,000 income and a 792 credit score...she cosigned on a house with me. I thought my score would be in the 650 range but it was a 752

We had no trouble getting a 260k loan...in fact the loan officer basically said pick whatever loan you want at our best rates.

I'm 22 and got my first CC w/ a 500 dollar limit at 18. I remember I used to have problems getting them to raise my limit to 1k and now they're offering limits all the time.

You obviously don't have a problem here, but others might. Having your all your credit cards raised to higher amounts isn't good for your credit score. It's nice to have multiple CCs and available credit, but it can hurt if there are a couple sitting way above your means. Basically, it's figured that you could go $10,000 (whatever the limit is) in the hole on your CC at any time and would have trouble paying everything. Not sure how much this affects your score, but it can bring you down if your CC have insane limits on them.

Basicly, only get what you need. Get a $500 CC for emergencies. Get another $500 or $1000 card for building some credit. Don't live outside your means. Pay them off each month entirely. Can't pay it off each month? Stop spending so much. Of course, this excludes stuff like tuition, etc. which take some time to pay off.

I would hate it if i only had a $500 limit, i run close to 20k through my cards every year.

 

[Vic]

Originally posted by: Skoorb

Originally posted by: RossMAN
If I made 200k/yr living my current lifestyle ALL my debt would be paid off and my credit score would easily be > 720

Ah, that's what they all say 🙂 Am I right that as your income has increased over the years your spending has as well? If you were suddenly bumped up to $200k/year your credit cards would get paid off a bit, but then you'd accelerate spending to match the new income. Income isn't the key to a good credit score until you can reign in the reason it's not good in the first place! 😛

Exactly. That is what always happens. Every individual always spends a certain percentage of their income and saves a certain percentage. Income has very little to do with it (except in cases of actual poverty).
Sorry, Ross, I've seen it all too often.

 

[RossMAN]

Originally posted by: Vic

Originally posted by: Skoorb

Originally posted by: RossMAN
If I made 200k/yr living my current lifestyle ALL my debt would be paid off and my credit score would easily be > 720

Ah, that's what they all say 🙂 Am I right that as your income has increased over the years your spending has as well? If you were suddenly bumped up to $200k/year your credit cards would get paid off a bit, but then you'd accelerate spending to match the new income. Income isn't the key to a good credit score until you can reign in the reason it's not good in the first place! 😛

Exactly. That is what always happens. Every individual always spends a certain percentage of their income and saves a certain percentage. Income has very little to do with it (except in cases of actual poverty).
Sorry, Ross, I've seen it all too often.

Unless you really knew me in real life you would know that my statement above holds 100% true.

I would definitely do 3 things:
1) Pay off our car.
2) Buy a new house.
3) Travel more.

Otherwise everything else would pretty much remain the same.

 

[Vic]

You know I love ya, Ross 🙂

 

[RossMAN]

Originally posted by: Vic
You know I love ya, Ross 🙂

You're supposed to keep that a secret, great now everyone knows 🙂

I love ya back atcha 😉

 

[BD231]

610 really sucks, I work at a mortgage company and anything below 620 is a fat NO.

 

[Vic]

Originally posted by: BD231
610 really sucks, I work at a mortgage company and anything below 620 is a fat NO.

Then you're throwing away a lot of business. I just closed a deal LP Accept on a 590 middle, 80% cash-out refi, and made a tidy overage. 🙂