LilyBee wrote:What's an AAOA?
My scores have always been above 800, since I started using this website in 2008. My highest was 830 in 2009.
I haven't changed the ones on the Forum yet; but my latest scores are: TU: 808; EQ: 811, on 9/23/12. I'm not bragging, I just hate to charge anything except to keep my score up with some activity.
aaoa =average age of accounts.
its about 15% of your score.
so say you have 1cc that is 10 years worth of good reporting
and then you app and get another card. once it reports. your aaoa would be 5 years since you have 120 months +1 month divide by 2 so a 5 year aaoa would be all your cards ages by month they were opened divide by the number of accounts you have.
also if you have loans and other things on there you have to factor that in as well.
even though i have a 2 year card history for 2 cards i have a bunch of cards that are new so my aaoa is about 7-8 months at the moment.
LilyBee wrote:Thank you, Creditnocash. I never read the fine print on credit scoring. Good example and info.
That teaches me (and everyone else) to never apply for another credit card if we wish to maintain a high credit score.
your welcome.
i wasn't saying never apply but most people only and (should only apply) when credit is needed not just when they want a bunch of cards.
amex is the only company that backdates so it wont hurt your credit if you open another card with them. just takes the inq.
if you have 15 cards with 10 yr history obviously 1-3 cards isnt going to hurt you that much.
with that 4 new cards drops your aaoa from 10 years to 7.9 years.
generally most high achievers have 5+ years according to myFico.
LilyBee wrote:
My scores have always been above 800, since I started using this website in 2008. My highest was 830 in 2009.
I haven't changed the ones on the Forum yet; but my latest scores are: TU: 808; EQ: 811, on 9/23/12. I'm not bragging, I just hate to charge anything except to keep my score up with some activity.
Once DW's EX was 832. We had one credit card whose limit had grown over time, and that was it, except she had some old mostly closed store cards bringing about a nice AAoA. I don't know what her EX is now, but given my own has recently improved following the evaporated new credit impact of multiple cards and installment loans, hers may have returned to what it used to be. The difference is that the scores are no longer based on a sliver of our financial picture, but rather a more representative part of it as cash, checks, debit and bank withdrawals are fewer. FICO apparently is fine with either.
