Average Score? ...725?

[Peh102]

I have learned a lot in cleaning up some mistakes on my cr and in the process I spoke with one rep. at one of cr who said that most people have a credit score of 725 or more. Yeah...I don't think I believe her.....When I asked her to clarify this, she stated that more Americans have at least 650 or higher and many 725 or higher.

What do you all think?

Is it even possible to have a credit score of 850? Two years ago, before these mistakes were entered onto my report, I didn't.

I would be curious to know if there really are those out there with high scores?

Or are these high scores impossible to achieve? And, with the insurance industry basing your rates on your score....is this all just another scam?

What do you think?

[Sky Warner]

My aunt has a credit score of 820.

They have immaculate credit period.

So yes, it can be done.

[vonniegirl]

What CRA told you that! They are living outside of America .

As far as I know from reading the boards here, we are striving to get in the 700 club .

Guys, should we be setting our standards higher to 800? . One step at a time is how I see it .

P.S. Hey Sakia, your Aunt is our role model

[Edit by vonniegirl on Sunday, September 29, 2002 @ 09:22 AM]

[Sky Warner]

I know. My aunt has her ducks in a row and always has.

She has just always been able to maintain a great job and perfect credit.

It amazes me sometimes.

[vonniegirl]

She's proof that it can be done . Hope I live long enough to see my score get up to 750. That's my goal, wish us all luck . If we can survive the crazy CA's we can achieve our goals Right guys?

Okay, I'll check threads later will pray for all on the board at church today

[Edit by vonniegirl on Sunday, September 29, 2002 @ 10:15 AM]

[herauntsis]

I look at credit reports all day long as part of my job; scores in the 800s are not really that common. I see a score over 800 maybe once every couple of months, and I have never seen anyone with all three scores over 800. (Doesn't mean there aren't any -- they just haven't come across my desk.) Most of the scores I see are high 600s/low 700s, and quite a few in the mid-to-high 700s.

If you are planning to get a mortgage, shoot for your middle score being over 720. You can certainly get a home loan with a lower score, but if you want your pick of programs and the best available rate, a middle score over 720 pretty much gives you the keys to the kingdom.

[Sky Warner]

My aunts is 820 on one report, something she passed on to me.

But thanks for that info. Its nice to know what we can do to get things going!!

[Anonymous]

I'm flabbergasted!! 720 to qualify for a mortgage....?

I have 743, thought that was mediocre, and can't get a consolidation loan for credit cards!

What am I doing wrong?!?!

[Anonymous]

When I re-read the original post, it listed 850 as the top. Looking at my TU report the other day, it said the range was 150-934.

I'm confused!! I feel as if I'm looking at the Emperor's new clothes reading scores. TU has one range, Equifax has a different range, and Experian yet another.

Does anyone know if there's a law that forces credit reporting agencies to standardize these numbers? The range of numbers puts you at the mercy of the creditor. If they happen to use your lowest score, you're SOL.

What's the real deal with these numbers? Does anyone know?

[Swede]

The only real score has been the one EQ uses, the others are just crap. Now, TU is offering both FAKO and FICO scores (fako is their own calculation) and FICO is based on Fair Issak.

[Anonymous]

Thanks for the info, Swede! Just can't help but wonder though....why is the "real" number the one Equifax uses, and do potential creditors use this one over the other credit reporting agencies?

Funny thing is....in my case, Equifax had the most inaccurate information on it, and the last time I checked that report (back in late July, early August) I had a score of 641. I wrote out a bunch of letters to several bureaus to have them clean up the mistakes, and should be hearing from them soon.

Another thought for the day...

Are you better off going through the CRA's directly for your scores versus a place like freecredreport.com and paying for a triple report? I noticed when I got mine from another source, the scores varied as much as 30 point difference between the three. When I was recently turned down for consolidation of my debt from a lender, I got a free copy of my report. My original report showed 631 and my current report shows 743.

I wonder how accurate the scoring mechanism is after reading your post.

[herauntsis]

I can only speak to how mortgages work, not other kinds of loans. If you are applying for a mortgage, they will most often use the middle score of the primary wage earner. Basically, if your middle score is over 620 and your credit is clean for the last 12 months, you should be able to get a home loan (as long as your income and the property qualify). If you want your pick of programs, shoot for a middle score of 720 or higher.

The problem with getting a trimerge report is that you can't always tell who is reporting what, which makes derogs hard to dispute. For instance, TU might be reporting a tradeline as never late, but Experian is reporting lates on it. When they merge the reports, you can't tell which CRA is reporting the lates.

Here is a story that illustrates how the system can be manipulated and how the scores can't really be trusted:

In preparation for refinancing my home I needed to get my scores up, so I borrowed some money from my mom to pay down my credit cards. I made large payments to three credit cards, then immediately disputed the balances to the CRAs, providing them with the correct balances. All three of the CRAs reported two of those accounts as having zero balances, which is not correct. Between the two accounts, the balances were more like a total of $7000. I didn't intend for that to happen, I did, after all, provide the correct balances to the CRAs, and although this particular mistake worked to my advantage, they are still reporting incorrect information. It wouldn't have made any difference to the lender as far me qualifying for the payments on the balances, because I am paying everything off through the refi anyway, but I would guess that it made my scores higher than they really are.

[Anonymous]

I noticed with the trimerge report I got it actually separated EQ, EXP, and TU out into their own categories, so I saw all the flaws and who was reporting what. I just wonder about the validity of an outside outfit passing on scores....or their interpretation of them.

BTW, has anyone had any luck in getting a consolidation loan on credit cards without having a major asset like a home? I know you can refinance and pay off that way, but I don't have such a luxury to work with.

[Anonymous]

I decided to hit EQ's site and use the 30 free trial to see what my score looks like. My God, what a difference between EQ and TU....662 versus 743! ACK!!!

Why can't these guys at least follow a similar formula? *sigh*....

Has anyone managed to get late pays off their records before they paid the account in question off? I have one four years old, and the other almost two years old. If you managed such a feat, can you tell me how you did it???

[Anonymous]

My mother and father have perfect credit histories yet they are in the low 700s. (45 years worth of history!)

My best friend had no derrogs on her report lots of TLs and her score is 625. (15 yrs of history)

My co-worker has no derrogs 10 yr history and her score is in the 600's. In fact, her EQ score is 60 points LOWER than mine (w/ 2 BKs and 5 derrogs and 8 good TLs - 10 yr history!) Go figure.

BTW, we all are professionals with above average incomes!

[Edit by SCMom on Friday, October 11, 2002 @ 10:13 AM]

[kimber6337]

I think the WHOLE scoring thing is out of hand and just plain DUMB!

[Wyndo]

No kidding... my Trans Union score was 614 for quite a while (no derogs except a $104 "judgement" which I'm still in the process of disputing), although it recently went up to 639 (some of my credit card pay-offs must be reporting now). I'm 30. My wife who's 22 pulled her credit report a few days ago, and I was shocked to see that hers was 624 (higher than mine had been for the longest time) yet she *does* have derogs (4 or 5 late pays, including some 60-day ones). It just doesn't make a lick of sense. I had about 14 accounts all in good standing showing on mine... she only has 5 entries, and two of them show the late pays. It's crazy.

[Edit by Wyndo on Friday, October 11, 2002 @ 02:38 PM]

[Anonymous]

I've got on two cards during the same period a 30 day and a 60 day while making partial payments. No judgements, no liens, no bankruptcies....just that. On one of the same cards, I had a 30 late four years ago and can't get that removed yet.

Makes me wonder if I tried to pay it off in full, could I negotiate to get the late pays off my record. Anyone have luck taking that track?

[CMAC]

the REAL credit score..your FICO...runs from 300-850. Don't pay attention to anyone else who states otherwise. Credit bureaus use these other numbers to confuse consumers. As far as I know...there are no laws forcing them to use any one set of numbers.

average credit score is around 550. Usually, the ones with the best credit scores (800+) are the older individuals who have had their credit cards and revolving accounts open for 20 years or so...and of course..no late payments and the right amount of accounts reporting on their report. There are soooo many factors when it comes to determining your credit score.

[breathing_easier]

average credit score is around 550.

I disagree with that. www.myfico.com has the average FICO score as being in the high 600s.

By the way, glad to see you've decided to stick around! Welcome to the CIC.

[HBC]

In 13 years of looking at CR's I've seen only a handful of 800's. The highest being 830.

They're few and far between. The scoring ranges that the bureaus provide

are a bunch of bs.

[CMAC]

myfico.com reporting average of high 600s? Since when did we start trusting the credit bureaus in giving us accurate information? I wouldn't doubt that half the people in the U.S. haven't even seen their credit scores.

[direred]

I disagree with that. www.myfico.com has the average FICO score as being in the high 600s.

Average meaning different things to different people...

MEAN score (sum of all scores / number of people with scores) is in the 670s. Median is 723 according to this page.

[direred]

In 13 years of looking at CR's I've seen only a handful of 800's. The highest being 830.

They're few and far between. The scoring ranges that the bureaus provide

are a bunch of bs.

Oh, I don't think FICO would ever lead you to believe that it is an symmetric bell curve. It's a bell curve with a long tail, and most people on various credit boards are in the long tail, some near the very end of that tail.

I know people with scores above 800. They typically have had a few long-standing accounts and open up a new account every five years or so. For the really high scores, having 20+ years on a mortgage sure helps.

[breathing_easier]

Average meaning different things to different people...

MEAN score (sum of all scores / number of people with scores) is in the 670s. Median is 723 according to this page.

I found that page after I posted, as well. So difficult to believe that there are so many people who have scores above 723 for them to say that 723 is the median score. I suppose it's because I was in that dank, dark subprime basement for awhile. Feels good to be back in the 700s!

In 2003 I lost a 21-year history on a cc where they wouldn't agree to upgrade the TL to 'Pays As Agreed' when I paid them, but would only agree to delete the TL entirely. While I was glad to see the 'Paid Collection' disappear, my FICO took a serious hit when I lost all that history. In hindsight I should have walked through fire to keep at least that account current, as difficult as it might have been. Ah well, live and learn.