I agree. Length of credit is 128 FICO points, and type of credit is 85 FICO points. So together, they are 213 points that must be earned through time and planning. For one with only limted credit lenght and without a mix of types of prior credit, only built through time, and subtracting that from 850 total FICO, this means that one with low length and only credit cards can only reaasonably expect a FICO around the mid-600's, even though the other FICO categories are spotless. Some inprovement can be obtained by improvomg credit mix by obtaining an installment loan, such as an auto loan, and that will help your credit mix. It just takes time, time, time to move into the 700s.
And as that time slowly wanders on, just make sure that you do nothing to destroy the other categories of FICO. Making just one late payment will destroy years of even the best FICO planning. Pay on time, and get older!
Message Edited by RobertEG on
02-05-2008 01:52 AM