@Skye12329 wrote:
Thanks Revelate, yeah im not a fan of CK i like to use it for other purposes such as doing all the math for my inqs or util. I was just confused on why more accounts would mean a better score and you answered that for me. I know you should have various loans and cc's for optimal.
Heh I'm a HUGE fan of CK, I just ignore their scores and their advice. Their free darned near full credit report access is far and away the best in the industry right now, it's even one of the best third party report implementations that I've seen, and that's where all my interest lies: making the data as pretty as possible.
I am going to deviate from conventional wisdom and offer an alternative view on the matter.
More credit accounts indicate higher creditworthiness, everything else being the same.
Given that you are good at handling credit, the more accounts you are managing, the better you must be at managing credit accounts. Keep in mind the premise that everything else is the same: number of inquiries, average age of accounts, etc. A wrong interepretation of this statement may lead to someone applying for new credit accounts while forgetting that doing this will increase the number of inquiries and lower the average age of accounts, thus rendering the statement inapplicable.
Using the number of credit accounts as a variable in determining creditworthiness is quite understandable.
@HiLine wrote:
I am going to deviate from conventional wisdom and offer an alternative view on the matter.
More credit accounts indicate higher creditworthiness, everything else being the same.
Given that you are good at handling credit, the more accounts you are managing, the better you must be at managing credit accounts.
Quite refreshing! But being able to manage more accounts doesn't translate into managing each one better. 
@HiLine wrote:I am going to deviate from conventional wisdom and offer an alternative view on the matter.
More credit accounts indicate higher creditworthiness, everything else being the same.
Given that you are good at handling credit, the more accounts you are managing, the better you must be at managing credit accounts. Keep in mind the premise that everything else is the same: number of inquiries, average age of accounts, etc. A wrong interepretation of this statement may lead to someone applying for new credit accounts while forgetting that doing this will increase the number of inquiries and lower the average age of accounts, thus rendering the statement inapplicable.
Using the number of credit accounts as a variable in determining creditworthiness is quite understandable.
I would suggest statistically that everyone has a breaking point.
Given that there is likely somewhere on the bell curve where the banks feel comfortable on that, quite possibly too many is equivalent to too few. I do not agree with the assertion at all as a result that more accounts is better than fewer accounts from a credit worthiness perspective all things being equal.
Certainly room for much debate on this topic 
.
There's a large amount of information used in underwriting, and there's no one size fits all for loan origination. More accounts does not necessarily mean more creditworthy to an individual lender.
OK, I appreciate the information. And I am being objective about my "bad advice". All I am working on is my own experience. I closed a Visa Card. Paid the balance and closed it, and my score dropped by 30 points that very week.
Debt to income has nothing to do with Credit Score? Lets call it something else then that you can understand: "Ammount of Debt You are Carrying". It is right there on your dashboard in the lower right had corner.
I do agree that they might be looking for at least 2 revolving credit agreements. Oh, and by the way...my score is considerably higher than yours. And I climbed back from 520. Learned alot along the way. Mostly humility. Good luck out there.
OK, I appreciate the information. And I am being objective about my "bad advice". All I am working on is my own experience. I closed a Visa Card. Paid the balance and closed it, and my score dropped by 30 points that very week.
Debt to income has nothing to do with Credit Score? Lets call it something else then that you can understand: "Ammount of Debt You are Carrying". It is right there on your dashboard in the lower right had corner.
I do agree that they might be looking for at least 2 revolving credit agreements. Oh, and by the way...my score is considerably higher than yours. And I climbed back from 520. Learned alot along the way. Mostly humility. Good luck out there.
@Anonymous-own-fico wrote:
@Anonymous wrote:Debt to income has nothing to do with Credit Score? Lets call it something else then that you can understand: "Ammount of Debt You are Carrying".
How do you feel about debt-to-credit ratio? A reason why there’s little correlation between debt-to-income and debt-to-credit is that credit card companies pay attention to how much credit you get from them, but not so much how much you get from others.
I would suggest they do both. Both from anecdotal reports here on the forums and generally what makes sense. Aggregate exposure may not be as important as individual lender exposure, but it's non-trivial as larger exposure in aggregate can still be considered higher risk of default for the individual.
e.g. I could pay off a 25K tradeline with Chase, but could I pay off $250K over 10 tradelines with 10 different lenders? Not as likely, and banks do look at that.