Reply
Established Contributor
Posts: 556
Registered: ‎01-31-2008
0

Overall debt and marriage

How do creditors perceive overall debt for married couples? My wife has poor credit, so a majority of CC debt falls in my name, as well as out auto loan. I have good util and no negative payment history, but I sometimes worry about how a high debt balance looks, esp this time of year. Is that ever considered before a creditor determines that your debt is too high? I'm more or less taking about your existing creditors, not new accounts.
Chase Freedom: $1500, Citi Diamond Preferred: $3000, Barclays: $3900, Chase Disney Visa: $1500, Chase Southwest Signature: $5000, Citi TY Preferred: $3000, Cap One Platinum: $1750, Cap One Platinum Rewards: $2500, Orchard Bank: $900, Kay Store Card: $4500
Established Contributor
Posts: 556
Registered: ‎01-31-2008
0

Re: Overall debt and marriage


EaglesFan2006 wrote:
How do creditors perceive overall debt for married couples? My wife has poor credit, so a majority of CC debt falls in my name, as well as out auto loan. I have good util and no negative payment history, but I sometimes worry about how a high debt balance looks, esp this time of year. Is that ever considered before a creditor determines that your debt is too high? I'm more or less taking about your existing creditors, not new accounts.

Just curious if anyone had any thoughts on this...thanks!

Chase Freedom: $1500, Citi Diamond Preferred: $3000, Barclays: $3900, Chase Disney Visa: $1500, Chase Southwest Signature: $5000, Citi TY Preferred: $3000, Cap One Platinum: $1750, Cap One Platinum Rewards: $2500, Orchard Bank: $900, Kay Store Card: $4500
Regular Contributor
Posts: 200
Registered: ‎09-21-2013
0

Re: Overall debt and marriage

My understanding is that unless it is a joint account (in which both incomes and total debt will be considered, as it falls under both names), lenders don't care whether you're married or not. They will look at the account holder's income and debt level. In terms of applying for new credit, I'd imagine that you'll eventually hit a limit, based on your income, at which lenders do not want to issue you more credit. In terms of AA by a CCC, you'll need to look at your risk factors - but as far as I know, it doesn't matter if you're carrying the debt for two people. If you're the account holder, they look at your info.

New Contributor
Posts: 62
Registered: ‎05-04-2008
0

Re: Overall debt and marriage

Im confused how you have good util but high CC debt that doesn't make sense. Regardless creditors only look at who's applying for the credit. I bought a car but didn't put my wife on the loan, they only pulled my credit. We bought a house together, they pulled both our credit.

 

As an aside a good way to help your wife's credit is to add her as an authorized user to some low util cards with longer age. Did this for my wife now her scores are through the roof

5/5/08 EQ 696
9/13 EQ 796 Thanks myfico!
Amex Blue Cash 15K, PenFed Cash Rewards 18K, Macy's 1K, Chase Freedom 6K, Cap1 Quicksilver Visa 15K
Community Leader
Valued Contributor
Posts: 2,406
Registered: ‎11-29-2012
0

Re: Overall debt and marriage

He said he has good util now but that it gets high during the holidays.

Starting Score: 11/29/12 TU 527; EQ 565; EX 564 fako - bk7 dc'd 2/15/13
Current Score: 1/22/15 TU 645; EQ 605; EX 633 Goal Score:
 625 for now– New goal 675
Cap1 sec $1k (SD) / Fingerhut $2k / Flagship $12k / cashRewards $12k / NavChek $15k / Amazon $2k / Von Maur $1k / Firestone $2.2k / BCU $3k / NFL $1k / QS1 $750 / Target $400 / PPSC $800 / Conoco $700 (last app 09/29/14)
Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.

Copyright ©2001-2015 Fair Isaac Corporation. All rights reserved.   | Terms of Use | Privacy Policy | Sitemap

IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more

FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.