Jump to content

FICO score and HELOCs


Methuss
 Share

Recommended Posts

This may be more credit maintenance than repair, but here's the question:

Does anyone know how a Home Equity Line of Credit (HELOC) figures into the FICO score? I ask because it is a line of credit but isn't unsecured like a credit card. Does it impact your score as far as utilization is concerned? Or, because it is a type of mortgage not count againt credit usage?

Anyone?

Link to comment
Share on other sites

It depends which company you use in reference to how it is reported. I know Countrywide reports HELOC as a mortgage. I have heard that some companies report it as installment debt. You want to make sure the company you go with reports as mortgage.

Link to comment
Share on other sites

Another way they can report a HELOC is as a revolving line of credit, which if you withdraw the full amount out then it'll appear as a maxed out credit card which would bring down your credit scores. That is one question to ask but they might not have the answer off the top of their head.

Link to comment
Share on other sites

Guest
This topic is now closed to further replies.
 Share

×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.. For more information, please see our Privacy Policy and Terms of Use.