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Senior Contributor
BungalowMo
Posts: 4,237
Registered: ‎05-01-2008
0

Re: Does the TYPE of card matter?

Should I stop now??? :smileytongue:


Starting Score: 07/2011 TU 732 - EQ 717 - EX 702
Current Score: 06/2014 TU 739 - EQ '08 709 - EX 721
Goal Score: 850

Bury me in the garden...last app 06.18.14

Regular Contributor
idmd
Posts: 194
Registered: ‎09-18-2009
0

Re: Does the TYPE of card matter?


beamMEup wrote:

LynetteM wrote:

Cryostasis wrote:
No, Visa/MC/AMEX/Discover etc make no difference to your credit. However, a non-branded store card does make a small difference verses one that's branded with one of those logos.

Hi Cryostasis...can you tell me what evidence you've seen for this statement?


 

Hi Cryostasis - check out the guinea pig postings - they were able to verify no point advantage to having a merchant card. (That keeps life simple, huh?) 

 

And also a note that FICO is only looking for one bank/national cc - as long as you have at least one, you will be keeping FICO happy.  Bank/national cc's are in the same category as far as FICO is concerned.


So I currently have:
USAA MC
USAA Amex
Amex Gold
PenFed VISA
Do any of these qualify as a bank/national CC? If not howe much of a ding do you think it is? 

 

Moderator Emeritus
beamMEup
Posts: 4,473
Registered: ‎12-31-2008
0

Re: Does the TYPE of card matter?


idmd wrote:

So I currently have:

USAA MC
USAA Amex
Amex Gold
PenFed VISA
Do any of these qualify as a bank/national CC? If not howe much of a ding do you think it is? 

 


Amex Gold qualifies beautifully (I want one!).  PenFed is a CU - so doesn't qualify.  I'm not familiar with USAA, lots of posters here are and will probably chime in.

 

 

Just puttin' syrup on something, don't make it pancakes.
Senior Contributor
BungalowMo
Posts: 4,237
Registered: ‎05-01-2008
0

Re: Does the TYPE of card matter?


idmd wrote: So I currently have:
USAA MC
USAA Amex
Amex Gold
PenFed VISA
Do any of these qualify as a bank/national CC? If not howe much of a ding do you think it is? 

I believe those would all be considered bank/national cards. (By having the Visa, MC stamp) I think the only thing you may want to add to your mix (just for FICO happiness sake) would be a store cards.  Maybe Lowes or HD.  I know Lowes gives me 0% int for 6 mo. on anything over $200...hmmm, or is it $250?  Anywho, I pay it off long before then anyway.

 

 



Starting Score: 07/2011 TU 732 - EQ 717 - EX 702
Current Score: 06/2014 TU 739 - EQ '08 709 - EX 721
Goal Score: 850

Bury me in the garden...last app 06.18.14

Valued Contributor
Uborrow-Upay
Posts: 2,710
Registered: ‎10-16-2008
0

Re: Does the TYPE of card matter?


bartender wrote:   I'd start with one [a joke], but nothing I can share here comes to mind right now.

Yup.  Most of mine are not suitable for the kiddies, either...besides, BungalowMo is on a roll!   :smileyvery-happy:  LOL  (I can hear the groans from here...)

 

OK...just one.

 

 

A priest, a rabbi, a minister, a midget and a one-armed ventriloquist walk into this bar, and the bartender says,

 

*

*

*

*

*

*

 

"This is a joke.....right?"

 

 

 

(Sorry).

Established Contributor
okstatefan5945
Posts: 517
Registered: ‎04-13-2009
0

Re: Does the TYPE of card matter?


creditwherecreditisdue wrote:

LynetteM wrote:

Cryostasis wrote:
No, Visa/MC/AMEX/Discover etc make no difference to your credit. However, a non-branded store card does make a small difference verses one that's branded with one of those logos.

Hi Cryostasis...can you tell me what evidence you've seen for this statement?


As you know this has been well discussed here and there is no resolution to this question. At one time there was specific information posted in the "Education" section of the myFICO website which stated that having at least one store/gas card added to your mix of credit leading to an increased FICO score. Considering this would be part of the FICO "secret sauce" scoring formula, the specifics of which none of us is privy to, the answer will remain inscrutable.


 

This isnt necessarily scientific but on my report I have NO store cards. I have two bank cards. I used the simulator and when I put in get approved for a credit card my score is projected to be 633-663. When I put in get approved for a store card it shows 623-653. So as for a store card in the mix the FICO calculator doesnt seem to think its a good idea. I just recently apped for and got a Kays card so when it hits I will see how accurate that is. But it doesnt seem to help with your FICO to add a score card and definately shows there is a scoring difference for having one and the difference doesnt look good.
----------------------------------------------------------------------------------------------
2011 Credit Goals
1. No Lates
2. Join the 700 club
3. No inquiries
----------------------------------------------------------------------------------------------
Senior Contributor
creditwherecreditisdue
Posts: 4,923
Registered: ‎04-19-2009
0

Re: Does the TYPE of card matter?


okstatefan5945 wrote:

creditwherecreditisdue wrote:

LynetteM wrote:

Cryostasis wrote:
No, Visa/MC/AMEX/Discover etc make no difference to your credit. However, a non-branded store card does make a small difference verses one that's branded with one of those logos.

Hi Cryostasis...can you tell me what evidence you've seen for this statement?


As you know this has been well discussed here and there is no resolution to this question. At one time there was specific information posted in the "Education" section of the myFICO website which stated that having at least one store/gas card added to your mix of credit leading to an increased FICO score. Considering this would be part of the FICO "secret sauce" scoring formula, the specifics of which none of us is privy to, the answer will remain inscrutable.


 

This isnt necessarily scientific but on my report I have NO store cards. I have two bank cards. I used the simulator and when I put in get approved for a credit card my score is projected to be 633-663. When I put in get approved for a store card it shows 623-653. So as for a store card in the mix the FICO calculator doesnt seem to think its a good idea. I just recently apped for and got a Kays card so when it hits I will see how accurate that is. But it doesnt seem to help with your FICO to add a score card and definately shows there is a scoring difference for having one and the difference doesnt look good.

FICO simlulator results are always sketchy at best. In this case they are meaningless. All the simulator knows is that you are obtaining new credit and any new credit can either increase or decrease your FICO score due to a change in UTIL or AAoA.

Established Contributor
okstatefan5945
Posts: 517
Registered: ‎04-13-2009
0

Re: Does the TYPE of card matter?

I do understand the simulator is just that a simulator and you cant go by it for certain but if it only calculates adding new credit and utilixation then why wouldnt it show 623-653 for both or 633-663 for both?

 

Not to question the experts but I am still trying to figure this out since I am rebuilding. I now have the Kays card so it doesnt matter the damage or help is already done. But it would be nice to have a concrete yes you want a store card or no stay away from them.

 

And not to threadjack as this one is completely different but now I am learning some cards I wanted are considered consumer finance accounts and they ding you for those. SO not only when looking for new credit do I have to worry about store or bank, what my credit limit will be, but I have to investigate and see if the card is regular or a "consumer finance account".

 

This FICO thing is addictive and I am happy to be getting my credit back on track but trying to optimize your FICO will sure give one a headache.

----------------------------------------------------------------------------------------------
2011 Credit Goals
1. No Lates
2. Join the 700 club
3. No inquiries
----------------------------------------------------------------------------------------------
Moderator Emeritus
beamMEup
Posts: 4,473
Registered: ‎12-31-2008
0

Re: Does the TYPE of card matter?

There is no FICO code, thus no FICO ding, for not having a store card. 


There is a FICO code, and a FICO ding, for not having a bank/national cc.

 

We did a guinea pig experiment earlier this year and recorded the results after apping for a first merchant card, and posted the results here.  Hope that helps other people, so they don't have to "guinea pig" up.  Remember store cards can be useful for other reasons (help in rebuilding, store perks) but they are not helpful to your FICO.  So, if it serves your needs to have a store card, then great.  I have a Macy's card that keeps me pretty happy.  But it doesn't move the FICO gods one way or another.  Oh, yes, speaking of Macy's - they're having that great clearance sale - should scoot over there before all of the fun tonight........after another cup of wassail...... :smileywink:.

Just puttin' syrup on something, don't make it pancakes.
Senior Contributor
creditwherecreditisdue
Posts: 4,923
Registered: ‎04-19-2009
0

Re: Does the TYPE of card matter?


okstatefan5945 wrote:

I do understand the simulator is just that a simulator and you cant go by it for certain but if it only calculates adding new credit and utilixation then why wouldnt it show 623-653 for both or 633-663 for both?


Your answers are different. Mine are the same! You have to specify a CL when you enter a new CC and cannot when you specify new store "instant credit". The simulator model is making some assumption about what the CL level of that "instant credit" is. In either case the new credit is effecting your UTIL, AAoA and adding an INQ. It is impossible to draw any conclusions from what the simulator says it this situation.


okstatefan5945 wrote:

Not to question the experts but I am still trying to figure this out since I am rebuilding. I now have the Kays card so it doesnt matter the damage or help is already done. But it would be nice to have a concrete yes you want a store card or no stay away from them.


You will never get this. There is no definitive answer publicly available. It is a FICO trade secret.


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