Valued Contributor
Posts: 1,553
Registered: ‎03-11-2009
Re: Do I need to get a car loan to raise my FICO score to excellent?

Dingler wrote:

I read that within a few years you will need a FICO score of 780 to get the best rates on mortgages.  The minimum score needed for the lowest interest rates just keep rising and rising year after year.


Right now my FICO score is about 745 and I am trying to get it higher so when my wife and I decide to buy another home in a few years I can get a great mortgage.  (We don't own a home today or have a mortage.) 


When I checked my FICO score they said I had a perfect payment record, a relatively long history with credit and a very low utilization but the only thing that is holding me back from an excellent FICO score above 760/780 is a poor mix of credit.  I only use credit cards.


I always paid cash for my cars and never saw any need for department store or gasoline credit cards with 6 Mastercards in my wallet.


When I buy my next car in a few months should I get a loan for the automobile even though we can pay cash just to raise my FICO score?  Any other ideas how to increase the mix of my credit?

I no not have store or gas cards and I have not had a car loan in over 20 yrs.  I do have a mortgage and as you can see, my EX score is over 800.  The only reason my TU and EQ are lower is because of a civil judgment on those two reports.  I personally am not a fan of getting loans to try to increase my scores.  I also have a thin file as I only have 3 cc's, but they all have high credit limits.  Hope this helps. 

TU 805 12/12/14
EX 806 10/26/14
EQ 829 12/13/14
NASA 30K / / Amex 20k / / Chase Freedom 10.6k / / / / / SD'd US Bank Cash+ 20k, LOC 15k
Goal - At my age, just staying alive