topic Re: Now Only Have 1 Type Of Credit in Personal Finance

Now Only Have 1 Type Of Credit

chrisw1968uk — Sun, 29 Sep 2019 22:18:18 GMT

Hi All

Up until last wednesday, I had CC debt, truck loan, boat loan and jetski loan - A pretty good credit mix. I got a bonus from work and paid off all loans except a small credit card balance - I guess this will hurt my scores? I am saving over $1200 a month by doing this, so I thought it was a good thing to do? What do you think?

Re: Now Only Have 1 Type Of Credit

AllZero — Sun, 29 Sep 2019 22:50:38 GMT

Finances over FICO.

Financially, zero debt is good.

FICO scoring, algorithm likes to see one open Installment loan with utilization at 8.9% or lower for maximum points. Not knowing your complete credit report, you could possibly loose some points.

Re: Now Only Have 1 Type Of Credit

M_Smart007 — Mon, 30 Sep 2019 00:59:01 GMT

@AllZero wrote:
Finances over FICO.

Financially, zero debt is good.

FICO scoring, algorithm likes to see one open Installment loan with utilization at 8.9% or lower for maximum points. Not knowing your complete credit report, you could possibly loose some points.

Re: Now Only Have 1 Type Of Credit

chrisw1968uk — Mon, 30 Sep 2019 01:29:20 GMT

Credit scores are between 780-790, have never missed a payment in my life - combined CC CL's arounf 85k, current balance around $4k on one card - thanks for the input I'm not looking for more credit so it's really not the end of the world if i get dinged a bit

Re: Now Only Have 1 Type Of Credit

AllZero — Mon, 30 Sep 2019 01:36:59 GMT

Looks like your profile is in a good spot.

$1200/month savings will be great in your in your pocketbook.

Re: Now Only Have 1 Type Of Credit

Anonymous — Mon, 30 Sep 2019 15:05:21 GMT

Congrats on paying off debt! You will always be better off with no debt. Your fico will be fine in the long run!