topic Re: What's the formula? in Understanding FICO® Scoring

What's the formula?

Anonymous — Wed, 09 May 2007 23:51:04 GMT

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?

Re: What's the formula?

Anonymous — Thu, 10 May 2007 04:09:11 GMT

It's even more secret than the Coke formula. If FICO tells you, they'd have to kill you.

Re: What's the formula?

Anonymous — Thu, 10 May 2007 06:05:07 GMT

I hear they kill ya, harvest your organs, send your family a bill for the bullet, and still won't tell.

Re: What's the formula?

Anonymous — Thu, 10 May 2007 07:17:32 GMT

@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.

Re: What's the formula?

MercyMe — Mon, 14 May 2007 19:30:52 GMT

Good for you, NewWorldMan! Good for you!

Re: What's the formula?

Tuscani — Mon, 14 May 2007 23:18:04 GMT

If you PayPal me $10,000,000 I will send you the formula.

Re: What's the formula?

Anonymous — Tue, 15 May 2007 04:22:00 GMT

$7.5 million

Deal, or No Deal?

Re: What's the formula?

Anonymous — Tue, 15 May 2007 10:35:58 GMT

Sorry, we are still trying to figure it out. We post various things that happen to us and that's how we may anticipate an approximation of what we may see. That being said everyone has a unique credit portfolio, so your changes will be different . Now on occasion we have noticed similarities but that seemed to be mostly with people not doing alot of changes at once to alter the outcome. For example someone pays down a credit card and that is the only noted change for the month and recieved somewhere between a 9-15 point boost. Also, this could have been beause their cc util was maxed out and brought it down to <10% util. That's what gives with the secret formula jokes personally I want to know the kfc formula , and what makes pizza hut taste better than the others?

Re: What's the formula?

Tuscani — Tue, 15 May 2007 11:08:35 GMT

I would pay 10mil for the kfc before FICO.

Re: What's the formula?

Anonymous — Tue, 15 May 2007 12:40:45 GMT

Can I put it on my AmEx charge card? There's no pre-set limit.

Re: What's the formula?

Tuscani — Tue, 15 May 2007 14:03:49 GMT

masdeocho wrote:
Can I put it on my AmEx charge card? There's no pre-set limit.

Just remember to PIF.

Re: What's the formula?

MercyMe — Tue, 15 May 2007 14:42:33 GMT

How about a wire transfer, guys, huh? Huh? Seriously, though, if one spent enough time on this board, reading and researching and compiling, one could probably (this is MY idea now, people, right?) kick out a New York Time's best seller!

Re: What's the formula?

Anonymous — Tue, 15 May 2007 14:49:06 GMT

MercyMe,

I have some good news. I am working with the Nigerian Ambassador, and you if you will wire transfer me $232K using a no limit AMEX, then you can help save my country and I can send you the proprietary information in the FICO credit formula.

Re: What's the formula?

Anonymous — Tue, 15 May 2007 15:08:26 GMT

Sounds like a good deal. Send the wire transfer number immediately!!!!!!!

Re: What's the formula?

Tuscani — Tue, 15 May 2007 16:44:20 GMT

You guys are a riot!

Re: What's the formula?

Anonymous — Sat, 26 May 2007 21:13:40 GMT

@Anonymous wrote:
Sorry, we are still trying to figure it out. We post various things that happen to us and that's how we may anticipate an approximation of what we may see. That being said everyone has a unique credit portfolio, so your changes will be different . Now on occasion we have noticed similarities but that seemed to be mostly with people not doing alot of changes at once to alter the outcome. For example someone pays down a credit card and that is the only noted change for the month and received somewhere between a 9-15 point boost. Also, this could have been because their cc util was maxed out and brought it down to 10% util. That's what gives with the secret formula jokes personally I want to know the kfc formula , and what makes pizza hut taste better than the others?

My wife worked for KFC when she was 16 and has the formula. Her Chicken is still better!!!! Wire the $ to XXXXXXXXXXXXX

Message Edited by Timothy on 05-26-2007 02:13 PM

Re: What's the formula?

MidnightVoice — Sat, 26 May 2007 21:17:15 GMT

And whoever designed the score simulator obviously did not know the formula, as the thing is grossly inaccurate

Re: What's the formula?

Tuscani — Sat, 26 May 2007 21:23:14 GMT

There are just way too many factors for any scoring simuator to be accurate.

Re: What's the formula?

MidnightVoice — Sat, 26 May 2007 21:26:15 GMT

Tuscani wrote:
There are just way too many factors for any scoring simuator to be accurate.

That implies that there are way too many factors for the FICO score to be accurate..........

Re: What's the formula?

Tuscani — Sat, 26 May 2007 22:17:50 GMT

MidnightVoice wrote:

Tuscani wrote:
There are just way too many factors for any scoring simuator to be accurate.

That implies that there are way too many factors for the FICO score to be accurate..........

Not true.. as the actual score is a snapshot in time.. While the sim can say X might be your score if you do Y.. it's highly unlikely that the only thing changing on your report over the next 24 months is what you plug into the sim.