Received notification my credit score just dropped 40 points.
- Thread starter GON
- Start date
Yes and no, just unlock. I forgot once I had my credit "locked", went for a loan. Found out they could "unlock" it with a verbal from me. Solid!
FICO score is a joke. I have a score over 800 however I could care less about the score because I don't plan on buying a house or car on credit. I use two credit cards for almost everything and pay the balance every couple of days just to monitor everything. I also contacted the 4 credit bureaus and froze any opening of new accounts.
My credit score dropped from 840 to 810 after retirement. Just SS income showing now. All my stuff is paid off and I owe zero.
Probably have enough $ in the bank, to never have to touch retirement funds. (shy of a nursing home)
No longer care about credit scores. Have no plans on borrowing $.
Probably have enough $ in the bank, to never have to touch retirement funds. (shy of a nursing home)
No longer care about credit scores. Have no plans on borrowing $.
D
Deleted member 89374
Oh no! 
If you have car insurance or homeowners, you probably should.
When dealing with a major lending institution, the rates are generally fixed at point, say 5.49% for a car loan (as an example). I'm not at all sure a 40 point drop or even a 100 point drop would do anything to change that particular loan metric. Income and expenses will matter as to whether you qualify.
My credit dropped about 50 point (830to 780 points) when I put 10k on 2 credit cards for a total of 20k for a deposit for a home improvement project as I didnt have my checkbook handy. The cards were paid off immediately the next month but credit didnt recover for a long time maybe 8 months. What is nuts is I had 100 times that in liquid assets and the 20k affected credit that much. The Credit agencies dont look at your net worth because I guess it isnt convenient for them or the banks make more money off a higher interest rate.
We haven't had a loan/debt on/for anything in 10+ yrs. We've been paying cash for all purchases, even several 6 figure purchases, for 10+ yrs Our credit score has been above 800 for as long as I can remember. Recently got a notice it has climbed a couple to 811.
I did start collecting SS and got on medicare in 2022? if that matters? I'm healthy and always have been.
We have a lot more $ in all our accounts these days because I'm not trading the stock market nearly as much as I have the past 15+ yrs?
We have a few CCs but only use one and pay it off fully every month.
IIRI believe your credit score effects auto insurance cost? Our premiums have gone down the last 2 yrs?
Otherwise we could care less about credit.
I did start collecting SS and got on medicare in 2022? if that matters? I'm healthy and always have been.
We have a lot more $ in all our accounts these days because I'm not trading the stock market nearly as much as I have the past 15+ yrs?
We have a few CCs but only use one and pay it off fully every month.
IIRI believe your credit score effects auto insurance cost? Our premiums have gone down the last 2 yrs?
Otherwise we could care less about credit.
When you have a small loan or active credit card that you pay monthly, on time, it gives confidence to lenders that if they extend you credit, you will repay it responsibly.
If you have no payments and no debt, you have no current track record of your ability and willingness to pay creditors, other than utility bills..
So, having no debt equates to having no payments. And having no payments to show means potential lenders are wary that you may not repay them if they loan you money.
And if you have a lot of credit available, such as multiple credit cards with zero or no balances, that shows that you are not a spendthrift who runs up debt just because you can.
If you have no payments and no debt, you have no current track record of your ability and willingness to pay creditors, other than utility bills..
So, having no debt equates to having no payments. And having no payments to show means potential lenders are wary that you may not repay them if they loan you money.
And if you have a lot of credit available, such as multiple credit cards with zero or no balances, that shows that you are not a spendthrift who runs up debt just because you can.
As others have said, you still qualify for the best rates and don’t plan on getting a loan so no worries! I have no debt, charge everything I can and pay the balance in full each month. Mine hovers between 820 and 830 for the last few years. Hopefully I won’t ever need to get another loan but you never know!
Everyone should have their credit frozen at all three CBs. If I need to apply for credit I can lift a freeze on my phone in under 2 mins.
Not in my state. The insurance commissioner said using people’s credit score is racist and insurance companies can’t use it to determine their rates.
Exactly - so they raised our rates!
Isn't that ironic.
I received an email today from Credit Karma stating that my credit rating climbed 9 points (760-now 769).
I have no clue what I did to make it better.
I received an email today from Credit Karma stating that my credit rating climbed 9 points (760-now 769).
I have no clue what I did to make it better.
IIRC score metrics typically look at % of credit used, and down to % of a specific credit available through a card used. So throwing 10K on a card if the available credit line is say $50K would still send up a bit of a flag, that suddenly someone could be taking steps to (over) leverage themselves.
My FAKO scores always take a 5-7 point hit when I run up specific cards to max out rewards categories.
Pretty sure you can "trick" the metrics by just paying it off before the bill is processed (so pay $10K on a card, pay the card off before a bill is sent by credit card company), but I've never bothered with that.
That makes zero difference.Isn't that ironic.
I received an email today from Credit Karma stating that my credit rating climbed 9 points (760-now 769).
I have no clue what I did to make it better.
If you close credit accounts such as unused credit cards, your score can drop because of that as well.
I have three credit cards with healthy credit limits. I charge small amounts on all three during the month so the issuers don't get tempted to lower credit limits or close the accounts, then usually I pay them off in full every month. A few times each year I'll deliberately carry over a small balance and pay off that card the next month. My credit score is about 800, but it always fluctuates a few points between 790 and 805.
When I financed my 2011 Ford Ranger two years ago through a credit union, my interest rate on the loan was a red-hot 3.99%. I paid off the truck a few months ago. Interest rates have risen and I doubt anyone would get that interest rate on a used vehicle now. I've watched to see whether my score would take a hit from paying off the truck early, but so far, so good.
I have three credit cards with healthy credit limits. I charge small amounts on all three during the month so the issuers don't get tempted to lower credit limits or close the accounts, then usually I pay them off in full every month. A few times each year I'll deliberately carry over a small balance and pay off that card the next month. My credit score is about 800, but it always fluctuates a few points between 790 and 805.
When I financed my 2011 Ford Ranger two years ago through a credit union, my interest rate on the loan was a red-hot 3.99%. I paid off the truck a few months ago. Interest rates have risen and I doubt anyone would get that interest rate on a used vehicle now. I've watched to see whether my score would take a hit from paying off the truck early, but so far, so good.
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