How long will it take to bring my credit score up to 720?

[kt]

Originally posted by: Shockwave
Strange.....
I hate credit ratings, there all just sh!t ways to rob you.
I have a total of like 5 things on my credit, all paid for. My rating? Under 600. These have all (but 1) been paid off for at least 1 year.

Anyways, with my horrid credit I still got financed for a house. 4.3% interest. It can be done with less then perfect credit so i wouldnt let that aspect be your deciding decision in the pursuit for homes.

4.3%? What are the terms on that rate?

 

[TheNinja]

Just to brag, I'm 26, have some college loans left, don't own a house and have a credit rating of 802!!!! Sweetness!! Ok, bragging is done now.

 

[MorphineChild]

ok this has probably been asked a million times, but where/how do you get your credit report? Are there any safe places online to get one for free?

 

[AmdInside]

Originally posted by: Vic

Originally posted by: AmdInside
I know that banks can go lower than 720. I just mean for my fiancee and myself to receive the lowest interest the are allowed, they generally look for 720 or higher. Below that, the interest rate climbs higher gradually.

I would not say that is true. It is true that if everything else is in line that 720 and above is usually a shoe-in for some type of premier program, and the approval process is easier, but I've get folks approved all day everyday for "A" programs at MUCH lower scores. And like I said, you could probably get approved for an FHA loan right now. Very low rate, little-to-no down, the works.
And your logic is sorely lacking. You say that you want "the lowest interest rate they are allowed," but you seem to not notice that current interest rates are at all-time historic lows. I have a feeling that by the time you finally think you're ready for that house, the "best" rate then will be higher than the "bad" rate you think you would qualify for today.
When one makes their mortgage payment, they do not write the interest rate on the check. They write it out for the monthly payment. All other things being equal, that monthly payment is the only thing that matters when buying a house.

I don't know what an FHA loan is.

I would like to purchase a home right now but my fiancee is currently a grad student with almost no income coming in ($200 a month). On my salary alone, I could not afford to pay a mortgage plus support my soon to be wife. While I would like to buy a home right now, it just isn't possible.

 

[DT4K]

If you can't buy a house now for other reasons, that's fine. But don't let your credit score be a factor. 640 is not bad. It's probably about average and is considered a moderate risk for credit companies. So you may not get the absolute best rates, but you shouldn't be getting screwed either.

I wish my score was 640. I was also a starving college student supporting 3 kids and I blew off my debts for several years. I've now had clean credit for the last 18 months. A year and a half ago, I bought a car and got a 19% interest rate. Yeah, I know. Last month I was car shopping and was offered 10%.

Six months ago I bought a house with an FHA loan. When I got the loan, I had tons of late payments on my report but had none in the previous 12 months and my FICO was 575. I got a 6.5% loan with a 3% rebate that covered all my closing costs. I could have gotten 5.75% if I had paid the closing costs. I've continued paying everything on time since then, so I now have 18 months of clean credit and when I checked a month ago, my score was 598. I do have quite a few inquiries though from shopping for a car loan and applying for some credit cards.

It really is frustrating the way they score you. My wife had a 650 a couple of months ago. Then she got a Target card. We checked her credit a couple weeks ago and it had dropped to 630. The only thing that changed was the Target card with a $300 limit and a $280 balance. So even though it's only $300, it is calculated as almost 100% debt to credit ratio and hurts her credit.

 

[AmdInside]

Thanks again for all the information. Any suggestions/recommendations on a company for obtaining an FHA loan from in Northern California (probably near Sacramento). Thanks.

 

[kranky]

My wife had a 650 a couple of months ago. Then she got a Target card. We checked her credit a couple weeks ago and it had dropped to 630. The only thing that changed was the Target card with a $300 limit and a $280 balance. So even though it's only $300, it is calculated as almost 100% debt to credit ratio and hurts her credit.

That's what I meant when I said people here have a strange obsession with credit scores.

Scores change. Two months from now it might be 650 again, or it might stay at 630. Either way, it doesn't matter. Really, it doesn't.

I tell people to just pay their bills on time, every time, and their score will be fine, and it always is.

 

[wyvrn]

To get into the 700's, you have to have almost a clean record. That means you won't get there until the 7year rule rolls some of those past infractions off. Relax though, you sound like you are on the right track. A 640 is not a bad score, and lenders will look at your recent improvements when considering you for loans. I think many people say 2 years of consectutive good behavior puts you in good straits.

 

[Nitemare]

Wish I had a 640...

 

[slycat]

where to get FICO score?
have to pay?

 

[Argo]

I took my score from 600 to 750 in a little over a year and a half. All I did was pay every credit card in full each month and not apply for any new credit. However, in my case my credit was low because I was young at the time. Dunno how much having bad history would affect you.

 

[slycat]

does it hurt your credit each time u access it online like at consumerinfo, equifax etc?...
i tot someone said before that credit checks hurt your credit..

 

[Argo]

Originally posted by: slycat
does it hurt your credit each time u access it online like at consumerinfo, equifax etc?...
i tot someone said before that credit checks hurt your credit..

No. Whenever a bank/lender accesses your credit they can't even see those inquires. The only ones they see are applications for new credit initiated by you.

 

[slycat]

Originally posted by: Argo

Originally posted by: slycat
does it hurt your credit each time u access it online like at consumerinfo, equifax etc?...
i tot someone said before that credit checks hurt your credit..

No. Whenever a bank/lender accesses your credit they can't even see those inquires. The only ones they see are applications for new credit initiated by you.

huh?...no i meant if u say go to experian and buy a creditreport everyday for a year...
does that hurt your FICO or anything like that?

 

[Rkonster]

Originally posted by: slycat

Originally posted by: Argo

Originally posted by: slycat
does it hurt your credit each time u access it online like at consumerinfo, equifax etc?...
i tot someone said before that credit checks hurt your credit..

No. Whenever a bank/lender accesses your credit they can't even see those inquires. The only ones they see are applications for new credit initiated by you.

huh?...no i meant if u say go to experian and buy a creditreport everyday for a year...
does that hurt your FICO or anything like that?

No

 

[slycat]

another thing...say u have 3 cc. You call up one of them and close it..cut up the card,
does it hurt your credit?

or..like u have 2 cc but u only use 1 always...does it make any difference if u use both equally?
Meaning does using 2 CC equally build up credit faster/better than using just 1?

btw..thread hijacked!! 😀

 

[wyvrn]

He answered your question. Read it again. He is saying personal credit checks do not show up on the report and don't lower the score, lenders do not see them. And they shouldn't, because checking your own credit is the responsible thing to do and shouldn't affect your score.

What hurts your score is when you apply for credit, and another entity checks your score. Those show up on your credit report.

Originally posted by: slycat

Originally posted by: Argo

Originally posted by: slycat
does it hurt your credit each time u access it online like at consumerinfo, equifax etc?...
i tot someone said before that credit checks hurt your credit..

No. Whenever a bank/lender accesses your credit they can't even see those inquires. The only ones they see are applications for new credit initiated by you.

huh?...no i meant if u say go to experian and buy a creditreport everyday for a year...
does that hurt your FICO or anything like that?

 

[bernse]

Can someone explain or link to an explanation of the credit score? I opened a new bank acct the other day and they ran an equifax check on me.. came back at 783. I have no idea what that means.

 

[wyvrn]

Means you haven't f'ed it up yet. Only thing to do now is to pay all bills on time and don't open excessive accounts. You needn't do anything else.

Originally posted by: bernse
Can someone explain or link to an explanation of the credit score? I opened a new bank acct the other day and they ran an equifax check on me.. came back at 783. I have no idea what that means.

 

[XZeroII]

Where can you go about checking your score?

 

[wyvrn]

Experian and Equifax. There is a third company but it usually reports less information so I never remember it. You will have to pay a fee unless you have been turned down for credit. Not sure where you can just pick up the fico, I think they come attached to credit reports for a fee of course.

Originally posted by: XZeroII
Where can you go about checking your score?

 

[catnap1972]

Originally posted by: wyvrn
Experian and Equifax. There is a third company but it usually reports less information so I never remember it. You will have to pay a fee unless you have been turned down for credit. Not sure where you can just pick up the fico, I think they come attached to credit reports for a fee of course.

There's actually FOUR companies. Transunion is the other one you were thinking of and there's a fourth one (Innovis) that's turned up lately.

 

[Atlantean]

Where do you get a number for your credit rating?

 

[SP33Demon]

Anyone know if applying for a raise in your credit card limit and being turned down will hurt your FICO? I think it probably will but don't know for sure.

 

[tontod]

Originally posted by: Atlantean
Where do you get a number for your credit rating?

Go here and click on Score Power for $12.95.