I learned about credit when I was 19 years old applying for my first credit card and being denied. Fortunately It was a mistake that a shady company placed a collection against me. I contacted the credit bureaus and made a complaint to better business bureau and the error was removed. After that point I knew that credit was very important and whatever I needed to do to keep a good record would be what I spent my life striving for through good and bad times. I inadated myself with reports from all three credit bureaus as often as possible and I studied them each line and read everything I could get my hands on about credit until I had a good knowledge of the system. I love fico, I share it with all who seem to not be too saavy about credit. Believe me I am your biggest fan and if the congress would have respected your system we would absolutely NOT be in this situation.
By the way Im 39 years old.....and Still LOVE FICO....
THANK YOU FOR THIS SITE.
henrietta you should brag about them....its what you have earned, this site is dedicated to helping others achieve better scores and greater span of knowledge...DON"T be ashamed....you can share..
congradulations...for your hard work..and that is more reason to love the fico system they know who you are and when you work hard it will show.....lo
I think Lel is right on here; most people inherit their parents credit habits - for better or worse.
I came out of college with $3K in credit card debt and it probably took me 3 years to pay that off. It was just another bill, like water or PG&E bills. I never spoke about credit with my parents until it became a problem when I was in my mid 20s and a quarter of my paycheck was going towards paying my credit card bills each month.
I didn't really learn about managing my credit until I joined myFICO a few years ago. Now, I deal with the topic of credit every day! It sad that the US devotes so little toward financial education in our school systems. I've vowed to talk to my kids about money at an early age. Hopefully, they'll have an understanding of money and credit that it took me 30 years to gain.
Hey don't blame them...our Senators and Representatives consider getting elected more important then balancing the checkbook they are stewards of.
I had the rude awakening of losing a job, so from that point forward we moved to become debt free. I am almost to the point where I could care less what more score is, I am paying cash for almost everything!
Ok my #1 gripe credit score and insurance rates. When I had a score a the low 700's I was paying more of insurance. Yet I have not had a claim for anything since 1989 car or house.
In fact, the last round of tornado activity, I repaired the damage myself to save money. Such a joke IMO.
My parents were very frugal. They expected their children to live on a very small weekly allowance - lower than most other children I knew. If we wanted items that could not be paid by the allowance, we could either have everyone chip in for the birthday or Christmas, or we found a part-time job while going to school - no exceptions.
There were no fancy clothes, technical equipment (iPods, WIIs, etc) that our parents would have paid for. Definitely no car. If we wanted to drive, we had to earn the money for the car, gas and insurance.
This taught me the value of money. I worked hard for everything I have.
I evaluate cash payment versus credit for large purchases (e.g. when I bought my first NEW car, I had the cash, but they offered me 2 years at 0% financing - of course I financed!).
I shop around for the best mortgage and ensure I understand all components of my payment (including taxes, insurance or PMI). Smart moves to me include knowing if something is tax deductible, hence understand the pros and cons of paying off faster.
Never charge more than you can pay - have a solid plan that tells you exactly when and how these charges will be paid. It is incredibly rare that banks see any interest, leave alone finance charges from me.
My parents enjoy their money and tighten down when they are spending too much. It seems their parents and grandparents before them never had any fun! They stayed home all the time sewing, cooking, listening to the radio and sleeping. Not to say that isn't all good, but so is socializing to a degree.
I pay my bills on time like they do.
I save automatically and I also have a stash my grandma said to have in case the SO wants to act crazy and skidoodle!
my parent's were very responsible with their money, and so was i......(with their money)! my parents gave me any and everyting i ever wanted. that's right spoiled brat. so i thought that that was what was supposed to happen. me get everything i want with no consequences. SURPRISE, SURPRISE.......
but they NEVER sat me down to say, hey kid, this is how much money we make, this is how much goes out and this is how much you set us back by getting any and everything you want! so because i feel like it is my responsibility to TEACH MY SON that money comes in and goes out to your household FIRST, i think i am going to raise a pretty responsible young man.........