peelcowboy said:
Ahhh, that makes sense. In that case, I don't mind paying something. But $20 is a little steep to find out a little number. Oh well.
Credit Score?
- Thread starter Keebler Elf
- Start date
Ahhh, that makes sense. In that case, I don't mind paying something. But $20 is a little steep to find out a little number. Oh well.
peelcowboy: Missed payments certainly do go on your report just as you describe. They will affect some of the various scores that are computed as well.
My point is that for an "important" loan like a mortgage a human credit officer will review it and will not pay a lot of attention to the score and will not care about a couple of 30 day late payments if overall everything else looks good. It will just not matter because they will actually read every line of the report and see the bigger picture in which two or three late payments is nothing.
However, if you had a LOT of them, like you had been late on your payments on all your cards and more than once, then that would raise some concern. Also, for the auto-approve stuff it would matter since for the low-value loans it isn't worth anyone's time to go over your record in detail.
Human judgement is involved whenever there's a lot of money involved and in those situations a couple missed payments just won't matter, nor will the score. The human analyst will look and that and go, "Yup, I go on vacation sometimes too."
My point is that for an "important" loan like a mortgage a human credit officer will review it and will not pay a lot of attention to the score and will not care about a couple of 30 day late payments if overall everything else looks good. It will just not matter because they will actually read every line of the report and see the bigger picture in which two or three late payments is nothing.
However, if you had a LOT of them, like you had been late on your payments on all your cards and more than once, then that would raise some concern. Also, for the auto-approve stuff it would matter since for the low-value loans it isn't worth anyone's time to go over your record in detail.
Human judgement is involved whenever there's a lot of money involved and in those situations a couple missed payments just won't matter, nor will the score. The human analyst will look and that and go, "Yup, I go on vacation sometimes too."
usually there are two types of credit checks, "soft credit checks" and "hard credit checks". the hard credit checks are the ones you should be worried about, if you have more hard credit checks , the system lowers your fico score , because it establishes that you are desparate for credit. so if you apply for credit cards , every oppurtunity that you get, thats lowers your score.
its worth paying the fee and obtain your fico score. if your score is low, than stop applying for credit, even if you get a phone call or the applications in the mail, that states, that you are "preapproved for credit".
its worth paying the fee and obtain your fico score. if your score is low, than stop applying for credit, even if you get a phone call or the applications in the mail, that states, that you are "preapproved for credit".
Breeze said:
It is all an effort to justify higher fees and interest rates, don't dare get an R-9 or be in collections...
I had an I-9. That's the government loan equivalent of an R-9.RogerRabbit said:
Safe to say my credit is shit for another couple years.
It all had to do with student loans. Mutually at fault but who has to pay? Yep you guessed it.
ruck said:I had an I-9. That's the government loan equivalent of an R-9.
Safe to say my credit is shit for another couple years.
It all had to do with student loans. Mutually at fault but who has to pay? Yep you guessed it.
All we can do is buy some stocks and share in their gain, on our backs.
all too easy credit can equal all to easy pain in the ....
ok....there is a lot of correct and incorrect info on here. Everyone thinks they are correct, so take my info with a grain of salt too...
but....everytime you apply for credit, whether you get it or are declined, this has an impact on your beacon scoring - and negatively. Each time you apply for credit, it will lower your score, by how much, I have no clue, but it WILL lower your score regardless of whether you qualify
Each application will appear on your bureau - TRUE
- every time you apply, it WILL appear on your credit report. If you get turned down, it doesn't necessarily tell that, however, it will show that you had an enquiry from say AMEX on June 2005, and if there is no record of you having an AMEX card, then they can assume that you either got declined, or that you changed your mind. Either way, it shows that you applied for the credit.
The more credit you have, the worse it looks on you - TRUE
- this is true even if you have a zero balance and aren't using the credit limits. Now before everyone jumps me, this is because you have the credit limit available to you, and there is nothing stopping you from max'ing it out in two days time. So if you don't need more credit cards, I would recommend not applying for them.
Bottom line, is that everything that you do financially will impact your credit score. If you're late with a payment, whether it's only 30 days or not, this WILL lower your bureau, again, by how much, I don't know. Someone mentioned that this won't matter much if you're applying for a mortgage, but keep in mind, if you're on the borderline for minimum scoring for qualifying, the bank may decline you if there's a lot of late payments and they don't want to take the risk on you.
Anyways, hope this helps people out....
but....everytime you apply for credit, whether you get it or are declined, this has an impact on your beacon scoring - and negatively. Each time you apply for credit, it will lower your score, by how much, I have no clue, but it WILL lower your score regardless of whether you qualify
Each application will appear on your bureau - TRUE
- every time you apply, it WILL appear on your credit report. If you get turned down, it doesn't necessarily tell that, however, it will show that you had an enquiry from say AMEX on June 2005, and if there is no record of you having an AMEX card, then they can assume that you either got declined, or that you changed your mind. Either way, it shows that you applied for the credit.
The more credit you have, the worse it looks on you - TRUE
- this is true even if you have a zero balance and aren't using the credit limits. Now before everyone jumps me, this is because you have the credit limit available to you, and there is nothing stopping you from max'ing it out in two days time. So if you don't need more credit cards, I would recommend not applying for them.
Bottom line, is that everything that you do financially will impact your credit score. If you're late with a payment, whether it's only 30 days or not, this WILL lower your bureau, again, by how much, I don't know. Someone mentioned that this won't matter much if you're applying for a mortgage, but keep in mind, if you're on the borderline for minimum scoring for qualifying, the bank may decline you if there's a lot of late payments and they don't want to take the risk on you.
Anyways, hope this helps people out....
RogerRabbit said:It is all an effort to justify higher fees and interest rates, don't dare get an R-9 or be in collections...
I've had an R9 as a result of a Mastercard they sent me after graduating. I owed like 81 dollars and just didn't bother to pay. The collector called a few times until I told her "what the hell are you complaining, you are making interest on this".
I think I deserved the R9. Now I laugh about it.
There is one thing that often doesn't appear on your credit report that is somewhat surprising: your mortgage. Even though it is the most important and largest debt most people ever take on, with the longest track record, and the biggest payments. It's usually just not reported. I am not totally sure why, but I bet it is for competitive reasons: The banks just don't want to tell anyone who their mortgage customers are, so that other banks won't come along and poach away their juiciest business.
The consequence of this is that your credit card debt is far more important than it should be. You may have never missed a payment on your million dollar mortgage in 25 years, but nobody but your current banker will know that. They will know, though, that your stupid department store card with a $500 limit was paid late six times.
Of course if you are so late with your mortgage payment that the bank takes action against you, they will probably report that action to the bureau. So it's the worst of all worlds: If you pay your mortage on time you won't get any bonus points for doing that; but if you screw up, it'll hurt you.
The consequence of this is that your credit card debt is far more important than it should be. You may have never missed a payment on your million dollar mortgage in 25 years, but nobody but your current banker will know that. They will know, though, that your stupid department store card with a $500 limit was paid late six times.
Of course if you are so late with your mortgage payment that the bank takes action against you, they will probably report that action to the bureau. So it's the worst of all worlds: If you pay your mortage on time you won't get any bonus points for doing that; but if you screw up, it'll hurt you.
okay i wanna jump in on the conversation
how do you get an excellent score?
have a credit card for a long period of time and making regular payments with no late payments
do NSF checks *bounced* affect credit? ..or only on credit card payments
how do you get an excellent score?
have a credit card for a long period of time and making regular payments with no late payments
do NSF checks *bounced* affect credit? ..or only on credit card payments
supersonicboy said:
An NSF will unlikely make your credit report if made good in a reasonable amount of time. If it turns into a collections, charge-off or legal judgement against you, then of course it will likely be reported and appear. Nothing appears "automatically"...a lender actually has to report it intentionally, even if they are on a monthly "auto-report" system.
Here's some things listed that affects my score, both positive and negative, from my actual report:
SCORE FACTORS THAT ARE POSITIVELY AFFECTING YOUR SCORE
Listed below are the top factors that raised your score. They are listed in order of importance.
You have a good cushion of available credit between your current balance and your credit limits on all open trades. This has a positive affect on your credit score. This cushion shows lenders that you are unlikely to overextend yourself financially. If you keep paying your bills on time and keep your credit balances low, you will likely continue to enjoy a positive credit score. (P-I)
The total balance on all your credit cards is relatively low compared to your total available credit limit. This has a positive impact on your credit score. If you continue to keep a comfortable cushion between your outstanding balance and your credit limit, you will show lenders that you are not likely to become overextended. (P-J)
Your credit file shows no record of any current delinquencies on real estate accounts, such as a mortgage. Having real estate accounts in good standing is viewed positively by lenders. Continue paying your mortgage bills on time, and this can help you keep your score high. (P-H)
Your credit report does not contain negative public records, such as a bankruptcy, lien, lawsuit or judgment filed within the last two years. This is having a positive impact on your credit score. Although public record items may remain on your credit report for seven to 15 years, depending on the item, an important piece of your credit history is paying your bills on time, every time. (P-B)
SCORE FACTORS THAT ARE NEGATIVELY AFFECTING YOUR SCORE
Listed below are the top factors that lowered your score. They are listed in order of importance.
Your payment history shows one or more payments that were late by 30 days or more. Late payments count negatively against your credit score. If you want to improve your score, one of the best ways is to pay all your bills on time, every time. Although negative information can stay on your credit report for up to seven years (up to 10 years for bankruptcies and 15 years for unpaid tax liens), if you pay overdue bills and make payments on time, your good efforts to improve your credit habits may be recognized by lenders. (N-A)
Your report does not show any open, currently active major credit card accounts, such as VISA, or MasterCard. You may want to consider opening a major credit card, which is viewed positively by most lenders. Make sure you pay your bill on time every month and keep your balance relatively low to show other prospective lenders that you are responsible in paying your debts. (N-E)
One thing that suprised me was the last statement. I decided to pay off all my credit cards and say "F**k it, I'm going cash from now on". Now I read that lenders like to see a major credit card or two? I've got a good score without a card, but now I'm wondering if that's keeping me from having an excellent score?
peelcowboy said:
Like I said, take things with a grain of salt, however, I still stand by what I said. Sorry to stir the pot.
Again, every time you apply for credit...it APPEARS as though you are shopping for credit which IS deemed to be a bad thing. The more enquiries, the worse it looks.
Free and available credit if unused CAN look negatively as well because again, it is fully available at any point in time so lenders take that into consideration when they are determining whether to give you more credit.
Payments less than 30 days can impact you as it is recorded on some financial institutions systems (the one I worked for previously DID this!) And without a doubt, any payment past 30 days WILL affect your rating.
I'll stand back and wait for the flames again......
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