Fico Negative: You have no recent activity from a non-mortgage installment loan.

[creditwherecreditisdue]

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@happy0510 wrote:

Credit,

Stupid me. I just applied for a C1 card in june impulsively when my util was still too high.  They mentioned it in the denial letter along with my other negatives above.  I still believe it was my util

I LOVE Macy's.  But I am scared of a denial!

Beam,

I never seen this before and I haven't had an installment loan forever.  I've been pulling from fico since 06 and registered in 07.

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That was not the actual reason for your denial. It was just "another" reason thrown on the pile.

If you ever carry a balance on your revolving accounts having an installment account will make it harder to optimize your UTIL. I would not open an installment loan that I did not abolutely need util if I had at least three revolving TL's. You then could report a balance on one of the revolving accounts without being dinged.

Macy's is a pretty easy approval if you have a couple of years of clean history and have not dumped them. Your score should be good enough. We are talking about the store card here.

Message Edited by creditwherecreditisdue on 08-25-2009 01:52 PM

[happy0510]

Thanks Credit!! I think I will try that after I get the installment. All I want is the minimum required TL's for my home loan! I am debt free and plan to stay that way!!

[creditwherecreditisdue]

ttt

See edit above. (Interrupted by phone call!)

Message Edited by creditwherecreditisdue on 08-25-2009 01:56 PM

[Anonymous]

For FICO scoring, it's good if one of your TL's is a bank or major CC.  I don't know what your existing CC is, so if it's a bank (or major CC), you're fine.  Adding a CU installment, and a Macy's (love them, too - and very easy to get) will get you to three TL's; but it's best if your final mix includes a bank or Major CCC(Cap One, Discover, AmEx). 

You look like you will be in superb shape when it's time for that mortgage.  Debt free is so cool- way to go!!!

            *What happened to my font????*