topic Re: Optimal credit mix for best score benefit in Understanding FICO® Scoring

Optimal credit mix for best score benefit

Anonymous — Wed, 19 Sep 2018 19:31:20 GMT

7 Months ago I had a car loan. A month later I added a cu cc. I now have a total of 5 revolvers, 1 charge, and 1 car loan open. As well as 1 car loan closed on my report.

Would getting a personal loan help my mix to raise scores up a bit? And do the whole pay down thing to under 8.9%? Or does that only work if it's the only loan? Also a line of credit of some sort? I see a bunch of you guys here with those in your signatures.

I am not looking for anything big, just something to round out my credit mix.

Re: Optimal credit mix for best score benefit

Anonymous — Wed, 19 Sep 2018 19:47:47 GMT

Your credit mix is perfect. Some people (e.g. scoring theorist Thomas Thumb) have conjectured that there might be a small "mix" benefit from having a charge card in addition to a credit card. I would never pay an annual fee purely for that hypothetical benefit (which might be illusory) but hell, since you have it anyway for other reasons you are all set.

There is no evidence that a variety of different kinds of loans helps mix, though having an auto loan does help the auto flavor of FICO.

You will get a solid scoring benefit from having your open loans paid to under 8.9%, but that benefit belongs to the Amounts Owed category and not Credit Mix.

Re: Optimal credit mix for best score benefit

SouthJamaica — Wed, 19 Sep 2018 20:00:27 GMT

@Anonymous wrote:
7 Months ago I had a car loan. A month later I added a cu cc. I now have a total of 5 revolvers, 1 charge, and 1 car loan open. As well as 1 car loan closed on my report.

Would getting a personal loan help my mix to raise scores up a bit? And do the whole pay down thing to under 8.9%? Or does that only work if it's the only loan? Also a line of credit of some sort? I see a bunch of you guys here with those in your signatures.

I am not looking for anything big, just something to round out my credit mix.

@I agree with @Anonymous You're good

Re: Optimal credit mix for best score benefit

Anonymous — Wed, 19 Sep 2018 20:17:33 GMT

Opening a personal loan would not be of any benefit with respect to credit mix or score improvement.

Re: Optimal credit mix for best score benefit

Anonymous — Thu, 20 Sep 2018 01:30:25 GMT

alright then i guess i am done for quite some time. going to try and get put on as joint holder on a real old card with perfect payments. my AAoA is going to be about 6-7 months. I think I can get put on a card about 10-15 years so that should help out big time. As long as I can get my AAoA up to 2 years and my oldest active account up in age I think I will be good.

only thing I am tempted for is a cli with NFCU since they seem extremely generous.