Sneaky ways you're ruining your credit score

From the Community…

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  Posted by __A_YAHOO_USER__ Sun Jul 13, 2008 10:13am PDT

  I recently got approved for an AMEX card. At the time, I was using 61% of my available credit. Once I got the AMEX card with a very generous credit limit ( 42% of my income), my score went from 719 to 750 in a matter of weeks. What happened was the FICO combined both my cards and instead of using 61% of my available, I am now using 26% of my balance. I am paying off my Mastercard and I can not wait to get my score over 800. For those of you who have less desireable credit scores, I like to share this with you. ABout seven years ago, I went to Sprint to get a cellular phone, my credit was so bad that they told me I had to get a pre-paid phone. I was living from payday to payday. I had payday loans at more than store and I was floating checks so much I got lightheaded from oxygen deprivation. Sometimes I bounced checks (it was more like a slam dunk), it was a really low point in my life. One thing though, I never defaulted, filed bankruptcy, or had cards charged off, I made sure I paid my debts.I finallly learned how to say no to certain things, I went without cable and a telephone, I stopped eating out, I made extra money, and I got promoted on my job and made better decisions with my money. I am not out of the woods by a longshot, but I am in a much better state. I just bought my first home a 300,000 condo in an upscale area and I can get any loan from bank unsecured. I also started paying myself first. I just hope that I can continue making progress, because we never know what life holds for us. I am so thankful for a second chance and I want the people that are struggling to know that as long as you pay your debts, you will benefit. It may take a while, but do not ever ignore your debts. Good luck to everyone out there, this economy is no joke right now.

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  Posted by Samuel Sun Jul 13, 2008 11:12am PDT

  As far as negative info goes, after 7 to 10 years you can request it be removed from your record. By law, the agencies have to comply. So if a missed payment 20 years ago is still there, write the credit bureau to remove it. Also any information that does not belong to you can be removed, if you question it in writing the bureau has 30 days to respond or remove it.

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  Posted by Beth Sun Jul 13, 2008 2:08pm PDT

  How about...don't get a credit card unless you need to, and then only charge stuff on it if you can afford to.

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  Posted by Sandi L Tue Jul 15, 2008 10:57am PDT

  I'm so sick to death of FICO running our lives!

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  Posted by Jonny 5 Tue Jul 15, 2008 11:12am PDT

  I dealt with Bank of America since 1980, I built up my credit with them buy buying houses and paid the loan off before it was due buy tripling payment amounts. They sent me a credit card with a 15000.00 limit that I used for travel and paid it off before the 6 months free interest came due and also had another card with them with a 7500.00 balance which I usede a few times and paid it off each month. When the housing crunch came I noticed that the credit limit on both had been reduced to 1000.00. This to me was a slap in the face because I am 65 yrs old and have never missed a payment in my life and have a credit score of 810 and assets of over 75000.00 in CD's and savings which I pulled from them and closed both accounts because I felt betrayed, only to see my score drop. To me that is unfair but can you do if you let them compromise your values, especially when you deal with a personal that could care less. Maybe I should have maxed the cards and told them where a short pier was, but I am not lowering myself to their standerds even if the temptation was hard to resist. It seems that when you pay your obligation as they say ( as agreed ) all you are doing is playing their game at you can't WIN. Their should be a law against what they can do to you for no reason, they should be made to show you or anyone the reason for their plating with your life. Now when I get their offers I send them back with all the junk mail I get and hope they get the message when they open the fantastic offer.

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  Posted by Traci Tue Jul 15, 2008 11:46am PDT

  Why have employers started checking your credit report to hire someone? I got into some debt and im working on it slowly but it has no reflection on how i work!

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  Posted by Tue Jul 15, 2008 12:18pm PDT

  only buy when you have money,not credit,credit is part of the ensavement of America

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  Posted by Daniel Wed Jul 16, 2008 7:43am PDT

  when you apply for a store card they make a credit inquirey and there is a very small affect on your actual credit score because it is not weighted heavily in the scoring equations, the only way to make a significant impact would be to continueously apply for card over and over and run up your balances. dont post comments when you dont know what you are talking about!!!!

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  Posted by hollyg Thu Jul 17, 2008 4:24pm PDT

  www.creditreport.com will also give you a free credit report and score

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  Posted by Jesse S Thu Jul 17, 2008 4:26pm PDT

  And don't post 4 times when you think you know what you're talking about. We hear you, no need to repeat yourself.

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