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FICO scores: 40% of US is above 750

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DLeRium said:
a lot of places give you simulated numbers, and a lot inflate scores, and some have ridiculous scales that give you high numbers. I'm high 700s with 4 CCs for the past 7 years where I pay 100% of my balance off every month. Maybe it's cuz I'm 25 or whatever or because I don't have loans, but my credit history is spot clean. I'm curious how to get over 800.
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Length of credit history
 
I'm somewhat angry about the whole credit rating thing. 4 years ago I was higher than I am now (my score dropped about 7 points from then to now).
During that 4 years:
* Paid off 4 credit cards and closed them
* Paid off my auto loan in full, 3 months ahead of when it was due
* Got an 11% pay increase
* Got married

So now I owe less money (owe about 1/3 of what I did 4 years ago), paid off my car, and yet my credit rating dropped? WTF?
 
Juddog said:
I'm somewhat angry about the whole credit rating thing. 4 years ago I was higher than I am now (my score dropped about 7 points from then to now).
During that 4 years:
* Paid off 4 credit cards and closed them <- Bad for credit. Says "I can't control my credit so I close the accounts."
* Paid off my auto loan in full, 3 months ahead of when it was due <- Good
* Got an 11&#37; pay increase <- Doesn't matter for credit report
* Got married <- Doesn't matter for credit report

So now I owe less money (owe about 1/3 of what I did 4 years ago), paid off my car, and yet my credit rating dropped? WTF?
Click to expand...

Bolded the info as to why probably, far as what I've read / heard
 
Juddog said:
I'm somewhat angry about the whole credit rating thing. 4 years ago I was higher than I am now (my score dropped about 7 points from then to now).
During that 4 years:
* Paid off 4 credit cards and closed them
* Paid off my auto loan in full, 3 months ahead of when it was due
* Got an 11&#37; pay increase
* Got married

So now I owe less money (owe about 1/3 of what I did 4 years ago), paid off my car, and yet my credit rating dropped? WTF?
Click to expand...

LOL - same here. I dropped about 6 points when I bought my Mazda a year and half ago, and it hasn't returned since. I my credit - debt ratio is like 2% too...

Don't know why I can't regain those points.
 
The ratio of avaialbe credit to credit used is an essential part of the scoring process.

The age average age of accounts is essential as well.

The number of revolving interest accounts (3 is the right number) is used too.

This means that when you close your oldest credit card you get dinged 3 ways... Which is why this game is not about helping understand who will default but more about understanding who will go into an ass-ton of debt, so much debt that they can barely manage the minimum payments.

A good credit score is a "I'm just stupid enough" to lend money to want to barrow money, but not so stupid I won't pay you back-score.

It's intended to opress the individual; create a super-ego whispering, in a deep sexy voice, "Oh, you would be sooo bad if you took out another loan" and an ID saying back "Oh really....". There doesn't need to be a grand conspiracy of hegemonic repression, it's simply the most profitable course of action.
 
Credit scores are a (slightly over) simplified and quick way to determine the liklihood of a default on a line of credit. If you've had a long, clean history of revolving debt (CC) that includes low utilization (<30&#37😉, have a history of paying of large-ticket debt (car/house. Not getting loans for a car/house can be impact your ability to get a loan negatively), and not constantly applying for loans (having too many certain checks, called "Hard Pulls," iirc, in a short amount of time negatively impacts your score), your score should be pretty golden.
 
I just checked mine for the first time in I don't know how long. 763 from Experian. I filed chapter 7 in March 2004 and used that to finally figure out how to be a responsible consumer. I'm hoping to get a Costco AMEX for the 3&#37; rebate on fuel, plus 1% on Costco purchases, which we've heretofore been earning zero (debit card). I have a 20 year account history, too.

The only issue with our utilization rating is the thousands of dollars that are always on the Amazon Chase card. If we could go a month without using it, then the balance would get back to zero. But all of the purchases made after the closing date and before the payment is made leaves a large balance on there. Every month. Even without paying a lick of interest...
 
Credit scoring is definitely flawed to an extent. I have a great track record but know my score is going to drop when I close a couple of roughly $20k limit cards I have due to annual fees. Oh well, it should just be a short term hit but definitely points towards the fact that sometimes people need to actually research applicants as opposed to just looking at the number.
 
Another key to boosting your score is a mix or credit. i.e. a mix of more than just credit cards. Mortgage, store cars, and auto loans.
 
kranky said:
According to my Creditkarma report of FICO scores, 15.9% nationally are in the 750-799 range, and 5.7% are 800+.

It is difficult to believe that 20% are over 800.
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I just applied for a refinance on my house. 795 was in the upper 82%, 811 was in the top 94%, and my top score of 836 was in the top 98%. Lenders normally take the median score.

From these numbers, I would say roughly 15% of all people are in the 800+ category. The top 5% are probably 815-820 range.
 
DLeRium said:
a lot of places give you simulated numbers, and a lot inflate scores, and some have ridiculous scales that give you high numbers. I'm high 700s with 4 CCs for the past 7 years where I pay 100% of my balance off every month. Maybe it's cuz I'm 25 or whatever or because I don't have loans, but my credit history is spot clean. I'm curious how to get over 800.
Click to expand...

You just need to get aged. Plain and simple. The length you've had these accounts open gets you that last 100 points over time.
 
Eos said:
I am not looking forward to the day any of our cards start charging a yearly fee. Blech.
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Chase tried charging an annual fee on my Freedom Visa card. I dropped them like a good habit (because really, aren't good habits easier to drop), and phoned/emailed to let them know why. I will never, never, never pay for the "privilege" of using a credit card and I just plain don't use debit cards.
 
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