Not sure why my score isn't higher....

[Anonymous]

Hi all!

Yes, this is another one of those types of posts...!

Disclaimer - yes, my scores are already high, I know that. But, as someone else noted on this board, having a buffer is nice, and someone else had a job that required an 800 score, so there are reasons for wanting the higher scores.

But you know what? It's not really that so much as a "what the heck is going on here" kind of question, coupled with "I've done my part, where's the score?"

I'm not sure what sort of info to put in the post to help describe the situation, here's a shot:

* No missed or late payments, on anything, at any time

* Ratio of revolving balance to limit - 1% (o n e p e r c e n t)

* 19 year credit history

* 17 accounts, 4 with balances, 0 opened in last year, no new accounts,
no inquiries, no collections, no public records

Like I said, I've been careful.

My TU report says I have high balances in my non-mortgage credit accounts,
about $7000 (car loan).

I also note that 2 closed accounts show current status as "Unrated or
bankruptcy" including one CC that was stolen from my mailbox.

Now, one thing that certainly irks me is that I've been pulling my CRs for
some months now (pre-forums) and (silly me) working on the advice that
the reports have given me. Well of course my scores have actually declined.
Not a huge amount, but I did fix some reporting issues (an extra $150K of
mortgage was still reporting, for example) and moved my CC payments to
before they're reported to the CRAs and also paid off a auto loan completely.

My questions:

* Any ideas of why my score is slumping, even as I've cleaned up the reporting
issues and ratios?

* What would be the impact of paying off my last auto loan?

* What would be the impact of going entirely debt free by also paying off
my mortgage?


Don't misunderstand me, I know full well that chasing FICO scores takes a
back seat to smart financial moves. I just wish they were one and the same -
I'm really starting to think that FICO is an attractiveness rating more
than anything else, but it's being used by other parties as a proxy for
being financially astute. Shoot, just remembered another reason to have
high scores - INSURANCE.

Thanks folks!

[Calamity]

My questions:

* Any ideas of why my score is slumping, even as I've cleaned up the reporting
issues and ratios?

* What would be the impact of paying off my last auto loan?

* What would be the impact of going entirely debt free by also paying off
my mortgage?
________________________________________________________________________________

What are your FICO scores??

1.) Maybe you have switched FICO "buckets" or "scorecards".  Meaning FICO compares other consumers with scores similar to yours and then scores you.  Maybe others in your so-called group have performed better than.  Nothing you can do about, just FICO craziness.  Just keep paying on time, like you have been doing.

2.) Paying off your auto early will not improve your scores.  Paying it for the life of your loan should help some with your scores.

3.) same as #2

FICO does not punish you for having balances on installments, autos and mortgages unless a consumer finance TL is reporting.  Also, your util on your cc's is great.  Having 1-9% util on all your cards is ideal.

[Anonymous]

I was chasing this same thing under the 850 fico algarithom thread. Some people hit a limit between 825 and 835. I have been trying to find out why. I have found people that claim to be in the 840s but never saw their printed score to prove it. After so much time, activity changes don't seem to effect the score much. Another words with so many accounts, your score doesn't drop. So in your case you might have a score that doesn't drop as much which is better than a constantly changing score. What is your current score?

[fused]

Sorry to be weird but do you really love pizza?  I live in Hawaii and the pizza here is, well the pits.  I haven't had good pizza since I was in Chicago back in 89.

[Anonymous]

---

ilovepizza wrote:
I have found people that claim to be in the 840s but never saw their printed score

---

I have a feeling that the vast majority of the population is so completely clueless about their FICO scores that if asked about their scores they would respond, "Well, I pay my bills online, have a mortgage, a car payment, some credit cards, so I figure I've gotta be up in the 800s."

[Anonymous]

Jobs requiring an 800 FICO are few and far between. If one is already in a particular field where that's a possibility, then one is likely already aware and already gaming the FICO model to max their score. Darned few employers truly even pull CRs.

On your what the heck and where's my score wonderings, I would have to agree with you. But so what. Ain't nuttin' gonna change on that front, at least not here. Bang off a couple of letters to your Senators and Congresscritter inquiring about this mystery of the FICO scoring model.

Are the "Unrated or bankruptcy" TLs listing as adverse TLs? If so, disputing those would be a path to a score gain.

If you're seriously considering PIF your mortgage and a $7000 balance on a car loan, what do you hope to gain?

I'm a software engineer, and I know there's not a hope in heck an employer would pull my CR unless I took a job at Cap 1. [Considered a contract gig there once. They do pull CRs on everyone, contract and FTEs.] Even if they did pull my CR, they wouldn't require an 800 FICO. I once talked to NASDAQ about a perm programming job. Wasn't interested, but even they didn't pull CRs. Of course, this was 9 years ago so things mighta changed.

Couple of friends of mine in the field are ex-military and used to have security clearances. Post 9/11, IT skills and security clearance started to become a little in demand, but mondo dollars never quite materialized. Just a steady paycheck. In any event, security clearances were a must and having one in the past seems to help getting one in the future. But, missed payments, lates and other warts on one's credit report can spike a clearance.

I don't know what your outstanding mortgage balance is, but a bundle of money burning a hole in your pocket to pay off loans would look a lot better in a stock mutual fund earning 12 percent or more.

[Anonymous]

I was only using the job as one of MANY examples of why wanting a high FICO score is desirable. As I previously mentioned, insurance is now priced with your CR in mind as well.

I don't think the "Unrated or BK" listings are adverse - but how would I check that?

PIF is to avoid interest charges. I'm not looking to gain on FICO by PIF, again, read my OP, I know that smart financial moves are not equated to FICO score increases. I would like to know what impact PIF my mortgage would have.

So, my questions still stand... I do know a bit about pooling, but this is still a bit beyond the pale.

I did see in another thread to "a good mix of credit;" any more details on that?

[Anonymous]

I'm not really sure what you're after. Maximizing your FICO score AND eliminating your interest payments aren't compatible.

[Anonymous]

Ah - OK, this may be good info - can you elaborate?

[Anonymous]

Any employer snooty enough to demand an 800 FICO, I wouldn't want to work for anyway. Heck, maybe I'd just forge a Church of Satan membership card and flash it at them to get in the door.

Once your FICO hits 760 or so, relax. Make financial decisions based on eliminating debt and maximizing ROI, not gaining or losing a few points here and there on FICO.