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I think I've hit a credit score plateau?


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I pulled a 3 in 1 today from Myfico.com and was just playing around with the score simulator.  It's using the new Fico 8 score.

 

The only options for showing things that could help my score:

"Pay all of your bills on time" (to which it shows a 15 point increase if I do this over the next 24 months).

 

"Make Regular Credit Card Payments" (same results as Pay all of your bills on time)

 

"Pay Down Your Credit Card Balance"  (I could possibly see a big ole 5 pt jump if I pay off the $29 balance on my MC that has a limit of $500)

 

"Get a Credit Card" (with a credit limit of $5K, I could possibly see a 5pt jump)

 

"Get a Store Card" (no change what so ever)

 

"Get a Credit Card with $1K limit and consolidate your balances" (I'm guessing that $29 on my one and only card would give me 10pts)

 

and that's it.

 

<insert sarcasm> I realize that the fico score simulator is only for entertainment purposes <end sarcasm>

 

but seriously, what could be next?  Could it be that one of the options that predict a drop in my score (purchase a car, or take out a mortgage that shows a potential 5pt drop) is what I should be thinking about?  I'm guessing that either of those, with good payment history, over time will help?

 

I really do want to buy a home and a new car, (clearly not in the same year), because I need those things.  I need a new car badly.

 

Which one is usually best to buy first?

 

((I should mention that I have a recent collection that hit my report this week, that shows new and unpaid, but it is a re-entry by a scum bag CA of an old paid collection and will be deleted very soon.  I don't know how much it is affecting my score because it reported within a two day period that 2 student loans went from a total of $64K balance to a zero balance and my score actually increased by 19pts))

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Is the car is starting to eat you up with repairs?

It really is, PayCut..  I've always had full coverage insurance on it also (it's a 2003) to which I finally reduced to just above what the state requires because it's just not worth it.  I've put over $1,000 in repairs in the past year alone and now, it has more problems. (transmission is slipping, something is causing a BRAND NEW battery to go dead if I don't crank it and let it run a little EVERY day).  I have considered what I would have in new payments and going back to paying full coverage auto insurance again and at the end of a year, of course I will be paying more, but I won't be afraid that it is going to strand me, or what is going to go out on it next and how much will IT set me back.

 

As it is, I am afraid to even go out of town with it, and I'm talking 15 or 20 miles away for fear of having to have it tow'd that far back home.  All of my doctors and specialist are about 40 miles from where I live and I have been having to juggle appointments around friends' schedules and I can't keep doing that either.

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I'm probably telling something you already know...but...the FICO stimulator (pun intended) plays with the FICO Bank Card score...the one that CCs use to determine who they will make money on.  The FICO New Car score is based on previous use of credit in buying a car and is only marginally affected by CC debt.  The FICO Mortgage score is somewhat misleading because mortgage lenders base MOST of their decisions on debt to income ratios, which isn't in the FICO score.

 

So...if you need reliable transportation...go buy a car.  You may not fit in the "well qualified borrowers" low financing, but, if you buy wisely, you'll save money in the long run.

 

And (at least a few years ago) I  bought a car and a house within 6 months of each other. 

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Thank you both.  I just came from my CU to talk about car loans.  She told me that my EQ was 633 and the one thing she saw was that I have lack of auto loan activity.  She did submit it to the loan dept (who were at lunch at the time) to see what they would do, but she said most of the time they would require a co signer in the absence of seeing any auto loan credit behavior.  I told her I didn't really want to use a cosigner and what could I do to establish 'auto credit history' and she said I could get a loan through a dealership with no problem without one.

 

I really hate to have a dealership run my credit, but she told me that as long as it is all within about a week, my score will not suffer.

 

Having said that, I would like to limit them to pulling only my EQ, is that possible? If I put a freeze on TU & EX, would that prevent all of those dealer inquiries from hitting at least those two?

 

Thanks again!!

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Ok, so I did it.  I test drove and looked all day yesterday and kept coming back to one in particular and so I went back today and got it!

There have been only 6 pulls (1 was the CU) and 5 resulted in dealerships (hope they stop now that I've purchased one?)

Anyway, a new (but 2014) captiva.  No co signer, no money down.  I drove my junker in there on empty and drove out with a full tank compliments of the dealership :)

I love it too. Fully loaded, Onstar, Navigator, side and rear sensors and best of all, my DTI is still less than 10%.

 

So, by keeping a pristine payment history on this loan, then my score should go up a little more in 3 - 6 or 12 months from now, right?

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