Positive post (what I've learned)

[vawt]

Just thought I would mention some of the things I have learned in the last 2-3 years here on these and other credit forums.

1. Utilization rate calculation and how to manage by using statement dates as when to pay by instead of due dates (have to explain this to friends a lot).

2. Never, ever pay late.  I've never actually had an issue with this one.

3. Credit is not evil, but smart money decisions do not always equate to better credit scores.

4. Its important to check your credit well BEFORE you need to use it (especially auto/mortgage).  I have a friend that wants to buy a house next year and seems to have no clue about his credit.  I think the next 12 months of credit clean up will be able to save him thousands in interest costs.

My credit scores were all over 700 when I started, but I didn't understand that much about how it was calculated.  Now my scores are pushing 800 (just paid $5k of cc debt and will have $0 owed in 3 months) and I know how inquiries, number of accounts, etc. will affect my score.  I also realized how the "I want it now" mind frame was making me miserable by carrying credit card balances.  Now I schedule payments before the statement date and the credit cards pay me (last 2 years I maxed out the payback on my Chase Rewards 5% gas and groceries, 1% all else).

I've found that in the last couple of years I have helped quite a few friends figure out where they went wrong with their credit and decided to extend that initiative.  I'm a finance manager at a large manufacturing company and in conjunction with our training department, I'm doing a 1 hour training class next month trying to encourage people to to charge of their credit scores.  It focuses on what makes up your FICO score (util, mix, age, etc.) and how to start the cleanup process (DV, PFD, asking for lates to be removed, etc.).  I'm excited that all of my reading and research might be able to help others.  I don't claim to be an expert, but I think I can at least guide people in the right direction.

Thanks to all of you great moderators and contributors!  Oh and for you new people: use paragraphs!  It makes it SO much easier to read.

[Junejer]

Excellent. Well said, vawt. That's a great move for your company. This is awesome.