@Anonymous wrote:
Does anyone know how the score is obtained? Is it +5 for pay offs, +10 for paying revoling credit on time....? How are the scores obtained?
There is no carved-in-stone formula.
The strategy for raising FICO is simple, even if the execution can be a real pain in the wazoo. Have several lines of credit, but only use a small fraction of each one, and pay your bills on time, every time. There. That's it in a nutshell. Do that, and your FICO is guaranteed to go up. We can't say by how much, or exactly how quickly, and here may be stops and starts...and even the occasional reversal. When you open one credit line too many in the short run and you take an 8-point drop, think of it like an April cold snap: it kinda sucks, but it doesn't mean summer's not going to arrive.
Over time, you WILL raise your credit score if you follow this simple strategy. I've been plugging away at mine for about seven months...my average FICO has gone up from around 590 to around 640. And if I'd been quicker to head off a charge-off that hit me in October, I'd probably be around 670 average by now. The simulators tell me that, even if I don't get any CLIs, I'll hit 680 or so by the end of the year. That's about a 75-point increase in one year. No magic or tricks involved. Just the strategy I outlined in the previous paragraph.
