WHAT YOU DON'T KNOW ABOUT CREDIT SCORES!

By
Real Estate Agent with Dunnigan, Realtors, Sacramento (916) 425-9715 CalBRE # 01188158

 

Isn't it amazing how much a little three digit number can affect our daily lives?  Credit scores can influence not only our ability to purchase a home or car, but can affect the quality of our credit cards and our ability to get a job.  Here are some interesting facts about credit scores:

  • Does viewing your credit score hurt your score?  If you are simply viewing for your own information, it doesn't usually change the score.  However, if your lender is pulling your credit score, it can slightly lower it.
  • Do you want to help your children by co-signing their loan?  While generous, understand what you are offering.  If they come into some tough times and can't make their payments, you are going to be held liable and it will affect your credit score.
  • Do you want to help your score by closing old or inactive accounts?  Think twice!  This also shortens the history that the rating companies have regarding your diligence in paying on time.
  • You have made your utility and rental payments on time - doesn't that count for something?  If you hadn't and they had gone to collections, it could negatively affect your score.  However, making them on time is not typically reported to the rating agencies.
  • You have worked hard to remove those negative records in your credit score.  Now, are those negative records expunged?  Nope.  They can stay on your record for as long  as 7 years.

So, there you go!  Keep that credit rating strong simply by on time payments and not overloading yourself with credit debt.

 

 

Comments (4)

Will Johnson
Hendersonville, TN
The Sell and Stage Team

This is some interesting information!  Thanks for providing it; I think some people aren't aware of exactly what affects and what doesn't affect their credit score.

Jun 09, 2015 08:15 AM
Paula Swayne
Dunnigan, Realtors, Sacramento (916) 425-9715 - Sacramento, CA
Realtor-Land Park, East Sac & Curtis Park -Dunniga

Hi Will!
I found it interesting, so thought others might - glad you did!

Jun 09, 2015 08:24 AM
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

There is so much mis-information out there that people have oides of how to build credit.

Jun 09, 2015 08:37 AM
Paula Swayne
Dunnigan, Realtors, Sacramento (916) 425-9715 - Sacramento, CA
Realtor-Land Park, East Sac & Curtis Park -Dunniga

Hi William!

I agree and I hope this will be helpful to the public and Realtors!

Jun 09, 2015 08:46 AM