Credit Card Center Advertiser Disclosure†
12-20-2013 01:31 PM
12-20-2013 03:33 PM
There are some with no CC at all that have 800+ scores and those with only CCs that have the same.
Yes, some creditors will check your CR. It depends on the job as to what they may be looking for. Military is more looking at your risik of taking bribes.
Lowest interest rates
Lowest insurance rates
If you ever need anything in an emergency, you will not have issues getting it.
Shows you are responsible and reliable.
Sense of accomplishment and self worth
No security deposits
01-02-2014 09:05 AM
If you are applying for a job in the financial industry, a bad credit score will almost certainly reduce your chances at getting the job. SAS70 and SOX have requirements for credit review at certain levels of jobs. Similar to the military, they don't want you being tempted to misapproriate funds to pay your debts.
01-07-2014 07:26 AM
Guiness56 hit the benefits well, I just have some other comments:
What I am trying to find out is, is it worth it? Being nearly debt free is great, but in order to have a top notch score, you need multiple cards, multiple loans, very few or zero hard inquiries, no missed payments, near debt free, etc.
Obtaining and maintaining an excellent score is achievable without jumping through hoops. It can be done with just a few cards and a clean credit history. If you have baddies, they will take time to come off. But exact balances, and product mix won't prevent you from getting an excellent score.
I had to do a "Deed in Lieu" back in 1999. My credit suffered for a while. But without really trying I found that it had corrected itself. All I did is pay my bills on time and hung on to one credit card (for about 5 years). Later, when I applied for credit I found out I had a mid-700's score.
I have heard some jobs look at your credit score, is this true? If they do, do they put a hard inquiry on your score? Why do they check it?
I've had the same job for 17 years now so although I'm not sure, I believe that this type of credit check should only be a soft inquiriy. In general, your credit history speaks to your level of responsibility. Medical emergencies and job loss aside, if you have a poor credit history you may not be the responsible individual a company is looking for. (particularly in the financial industry)
Some benefits to me is that it is a motivator to paying things off promptly, makes me feel more responsible, makes me feel accomplished, but it feels false so to speak. Like you don't really benefit, unless of course you need money to make lots of money, other than that idc how having a high score helps you.
The biggest motivation I have for paying things off promptly is NOT GIVING CCC's MONEY! When I get a bill and look at how much interest I will pay if I only pay the minimum it almost makes me physically ill.
If you use credit, it can even pay you! I run everything I can through my Costco Amex card and I get $500 - $600 back every year. And I don't pay them a dime in fees or interest.
Dave Ransey would have you forsake the entire credit score route all-together. But I think that you have to jump through more hoops for that to work than you do just using a small amount of credit responsibly.
Forums posts are not provided or commissioned by FICO. Forums posts have not been reviewed, approved or otherwise endorsed by FICO. It is not FICO's responsibility to ensure all posts and/or questions are answered.† 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.
* For complete information, see the terms and conditions on the credit card issuer’s website. Once you click apply for this card, you will be directed to the issuer’s website where you may review the terms and conditions of the card before applying. While myFICO always strives to present the most accurate information, we show a summary to help you choose a product, not the full legal terms - and before applying you should understand the full terms of products as stated by the issuer itself.
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.