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Established Contributor
veracious
Posts: 684
Registered: ‎04-21-2010

Minimum Requirements for a FICO Score ??

My FICO  lists the reqirements as having at least one account that has been open for six months or more.

 

What would a person's score be with only one open account?

 

Is it logical to presume factors such as income, occupation, length of employment history,

where you live, etc,  etc,   would  have to be considered because, after all,  just the inclusion of

one open credit account would result in an extremely low score .

 

I know, I know,  FICO says these things aren't considered but,   how are minimum scores

calculated if they don't consider the differences between ,immigrants, young college students,

young military personnel, divorced wives,  etc., etc.,.

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Moderator Emeritus
llecs
Posts: 32,880
Registered: ‎08-04-2007

Re: Minimum Requirements for a FICO Score ??

If you only have one open account, and that account had been opened for 6 months or more, then a score would be generated of that TL alone. You'd obviously be stuck in a scoring bucket for thin or young profiles, but I bet you'd have a starting score of 670++ (guessing). Other items like income wouldn't be factored in because 1) the FICO formula is the same for everyone and 2) income isn't stated on your CRs (and it's illegal I believe to factor in where you live (ECOA?)).

 

Remember, adding more and more accounts won't improve your FICO. Once you satisfy your mix, then adding more wouldn't benefit you (assuming your util is in check). I've seen some examples in here of some who only has a CC or two and had scores in the high 700s/low 800s. Of course they also had a long history behind those TLs.

 

Established Contributor
veracious
Posts: 684
Registered: ‎04-21-2010

Re: Minimum Requirements for a FICO Score ??

Thanks, Ilecs for a quick reply.

 

My question was purely academic. I was just trying to understand the methodology of lender's decisionswhena person

has a thin credit file.

 

You mentioned a starting score  to be appoximately 670+++(guessing),  so then a person with a solid income,

employment longevity, and one credit line could (possibly)  qualify for a mortgage, get more credit accts., etc.

 

I'm hoping others will see this post and add their experiences.  

When I opened my first credit line many years ago I didn't know the first thing about credit scoring because

consumers weren't allowed to know their scores.

 

Thanks to anyone who has anything to add.

 

 

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"You may never know what results come of your actions,
but if you do nothing, there will be no result" ~ Mahatma Gandhi
New Visitor
ficomoron
Posts: 1
Registered: ‎05-24-2012

Re: Minimum Requirements for a FICO Score ??

If I may raise a zombie here...

 

I recently applied for INGDirect online checking account and was turned down because my FICO score was unavailable. I understand there are three requirements for the calculation of a FICO score. My question concerns the requirment for at least one account that has been open for six months or more. Is this requirement satisfied only by an account that is currently open and has been open for at least six months, or can this requirement be satisfied by an account that was previously open for more than six months but is currently closed?

 

My situtation is that I have not used any credit recently and have no open accounts. My credit has always previously been in good standing. I hope I don't have to open a credit account and wait six months just to open an online checking account.

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Valued Contributor
DaveSignal
Posts: 2,051
Registered: ‎07-29-2011

Re: Minimum Requirements for a FICO Score ??

You need to open a credit account or some kind of loan to revive your score.... 

EX:694 TU:744 EQ:701
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Moderator Emeritus
llecs
Posts: 32,880
Registered: ‎08-04-2007

Re: Minimum Requirements for a FICO Score ??


DaveSignal wrote:

You need to open a credit account or some kind of loan to revive your score.... 


+1 ...and wait unfortunately. An alternative is to have a spouse or family member add you as an authorized user to an existing credit card account. That'll circumvent the need to wait 6 months assuming the card you are added to is opened for 6 months or longer.

Valued Contributor
annielorie
Posts: 1,207
Registered: ‎02-19-2012

Re: Minimum Requirements for a FICO Score ??

I never had credit cards in my name I have one account reporting 300 limit 1-9 % util for eight months No baddies and no lates derogs or legal listing My fico for TR 715 and fico EQ 710 Hope that helps oh and i'm 43 never BK never chap 13


Starting Score: 0
Current Score: TR??FICOEQ ?? FICO
Goal Score: 760

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Established Contributor
pakman92
Posts: 650
Registered: ‎03-01-2012

Re: Minimum Requirements for a FICO Score ??


annielorie wrote:

I never had credit cards in my name I have one account reporting 300 limit 1-9 % util for eight months No baddies and no lates derogs or legal listing My fico for TR 715 and fico EQ 710 Hope that helps oh and i'm 43 never BK never chap 13


That's a very interesting data point.  score in 700's with just one credit line in good shape.  Nice...   I'd say this tho.  While the score is good/decent, when you apply for credit, creditor will consider the thinness of your file...

 

 


My Starting Score: EQ: 691 (11/30/11) TU98: 726 (11/30/11)
My Current Score: EQ: 779 (04/22/13) TU08: 835 (06/03/13)
DW Starting Score: EQ: 742 (03/02/12) TU98: 748 (03/02/12)
DW Current Score: EQ: 784 (03/11/13) TU08: 775 (06/03/13)
Valued Contributor
annielorie
Posts: 1,207
Registered: ‎02-19-2012

Re: Minimum Requirements for a FICO Score ??

I hear you but isnt it all the financial advisors as well as FICO that says dont apply for credit you dont need! Catch 22 we will see what happens


Starting Score: 0
Current Score: TR??FICOEQ ?? FICO
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