topic Re: Total Accounts Affecting Score? in Understanding FICO® Scoring

Total Accounts Affecting Score?

Anonymous — Mon, 20 Oct 2014 14:45:57 GMT

According to Credit karma my grades are as follows:

C - Credit Card Utilization

B - Payment History

A - Age of Credit History

C - Total Accounts

B - Credit Inquiries

C - Derogatory Remarks

642 - Total Score/Overall Grade C

I'd like to bring all my grades up to at least a B. The derogatory remarks are for two medical bills I disputed and am considering trying to do a PFD on them. If so, that should help my score out a bit. I also need to pay down my credit cards and that will help my credit card utilization score.

But what I don't understand is the C I'm getting for total accounts!? What can I do about this and how big of a factor is it in my overall score?

Re: Total Accounts Affecting Score?

Revelate — Mon, 20 Oct 2014 15:26:50 GMT

@Anonymous wrote:
According to Credit karma my grades are as follows:

C - Credit Card Utilization
B - Payment History
A - Age of Credit History
C - Total Accounts
B - Credit Inquiries
C - Derogatory Remarks
642 - Total Score/Overall Grade C

I'd like to bring all my grades up to at least a B. The derogatory remarks are for two medical bills I disputed and am considering trying to do a PFD on them. If so, that should help my score out a bit. I also need to pay down my credit cards and that will help my credit card utilization score.

But what I don't understand is the C I'm getting for total accounts!? What can I do about this and how big of a factor is it in my overall score?

In FICO there's almost nothing instrinsic about number of accounts (it plays into some calculations but it can be managed easily).

Credit Karma isn't FICO, and does a backwards looking analysis for it's scorecard: namely, those with gold-plated credit on average have a bunch more accounts than those who are just starting out. Don't ever, I mean EVER, do anything based on Credit Karma's scorecard as far as changes to your credit profile go: some that are recommended are detrimental to the scores lenders actually use, both FICO and VS for that matter.

Your number of accounts will go up over time if you're using your report (and why build it if you're not going to use it), but don't rush out to open new accounts to satisfy an irrelevant benchmark.

Re: Total Accounts Affecting Score?

Anonymous — Tue, 21 Oct 2014 20:45:03 GMT

@Revelate wrote:
@Anonymous wrote:
According to Credit karma my grades are as follows:

C - Credit Card Utilization
B - Payment History
A - Age of Credit History
C - Total Accounts
B - Credit Inquiries
C - Derogatory Remarks
642 - Total Score/Overall Grade C

I'd like to bring all my grades up to at least a B. The derogatory remarks are for two medical bills I disputed and am considering trying to do a PFD on them. If so, that should help my score out a bit. I also need to pay down my credit cards and that will help my credit card utilization score.

But what I don't understand is the C I'm getting for total accounts!? What can I do about this and how big of a factor is it in my overall score?

In FICO there's almost nothing instrinsic about number of accounts (it plays into some calculations but it can be managed easily).

Credit Karma isn't FICO, and does a backwards looking analysis for it's scorecard: namely, those with gold-plated credit on average have a bunch more accounts than those who are just starting out. Don't ever, I mean EVER, do anything based on Credit Karma's scorecard as far as changes to your credit profile go: some that are recommended are detrimental to the scores lenders actually use, both FICO and VS for that matter.

Your number of accounts will go up over time if you're using your report (and why build it if you're not going to use it), but don't rush out to open new accounts to satisfy an irrelevant benchmark.

I agree with this. CK gives me a "C" on utilization which happens to be only 1% at this time.

I have a CK account but don't give any credence to their "advice".

Re: Total Accounts Affecting Score?

uswala — Tue, 21 Oct 2014 20:54:02 GMT

I know someone having 750+ scores with just 2 credit card accounts!

Re: Total Accounts Affecting Score?

-NewGuy- — Tue, 21 Oct 2014 20:54:44 GMT

@Anonymous wrote:
@Revelate wrote:
@Anonymous wrote:
According to Credit karma my grades are as follows:

C - Credit Card Utilization
B - Payment History
A - Age of Credit History
C - Total Accounts
B - Credit Inquiries
C - Derogatory Remarks
642 - Total Score/Overall Grade C

I'd like to bring all my grades up to at least a B. The derogatory remarks are for two medical bills I disputed and am considering trying to do a PFD on them. If so, that should help my score out a bit. I also need to pay down my credit cards and that will help my credit card utilization score.

But what I don't understand is the C I'm getting for total accounts!? What can I do about this and how big of a factor is it in my overall score?

In FICO there's almost nothing instrinsic about number of accounts (it plays into some calculations but it can be managed easily).

Credit Karma isn't FICO, and does a backwards looking analysis for it's scorecard: namely, those with gold-plated credit on average have a bunch more accounts than those who are just starting out. Don't ever, I mean EVER, do anything based on Credit Karma's scorecard as far as changes to your credit profile go: some that are recommended are detrimental to the scores lenders actually use, both FICO and VS for that matter.

Your number of accounts will go up over time if you're using your report (and why build it if you're not going to use it), but don't rush out to open new accounts to satisfy an irrelevant benchmark.
I agree with this. CK gives me a "C" on utilization which happens to be only 1% at this time.

I have a CK account but don't give any credence to their "advice".

Indeed. You won't ever get an 'A' in accounts until you have 23? Psshhht.