is store card different from a regular credit card as far as mix of credit goes on report?

[llecs]

FICO can tell the difference between a revolving and a charge card. Each account lists credit type. Most non-Visa store cards and most gas cards are listed as "charge" in the account description.

I added 7 cards in rapid succession when I started all of this last August. Prior to then, I had 0 CCs. I gained a large sum of points on the first 3 and score tanked from 4-7. Of the first 3, the first to report added many points and was a revolving CC. The second, not so many. But when I added the third, the increase on #3 was greater than the increase on #2. That third to report was a Macys store card, which was a charge card.

[Anonymous]

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llecs wrote:

FICO can tell the difference between a revolving and a charge card. Each account lists credit type. Most non-Visa store cards and most gas cards are listed as "charge" in the account description.

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This might be it...I just checked my report and while all of my cards report as revolving, there is a difference in the "Loan Type"...

Target card reports as:

Loan type Charge Account

BOA Visa:

Loan type Credit Card

[Anonymous]

100% correct

llecs wrote:

FICO can tell the difference between a revolving and a charge card. Each account lists credit type. Most non-Visa store cards and most gas cards are listed as "charge" in the account description.

I added 7 cards in rapid succession when I started all of this last August. Prior to then, I had 0 CCs. I gained a large sum of points on the first 3 and score tanked from 4-7. Of the first 3, the first to report added many points and was a revolving CC. The second, not so many. But when I added the third, the increase on #3 was greater than the increase on #2. That third to report was a Macys store card, which was a charge card.

[Anonymous]

Quick question... I only have 1 charge account and the 4 credit cards. Would I benefit by adding another store charge account?  Or is 1 enough?

[Anonymous]

For scoring mix- you only need 1 store card.

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UpUpUp wrote:

Quick question... I only have 1 charge account and the 4 credit cards. Would I benefit by adding another store charge account?  Or is 1 enough?

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[Anonymous]

very interesting ! I guess that's why in the Fico score simulator, one of the parameters you can enter is "applying for and getting instant credit at a store"  very very interesting.  Doesn't matter though because it shows my score would actually drop if I did this.

[aftermath]

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@Anonymous wrote:

very interesting ! I guess that's why in the Fico score simulator, one of the parameters you can enter is "applying for and getting instant credit at a store" very very interesting. Doesn't matter though because it shows my score would actually drop if I did this.

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Same here. In every FICO simulator I have come across, adding this "mix" shows a drop in score, thus the "mix" theory doesn't apply to everyone.

My theory is that this "mix" applies more towards those who don't have much TL's or established credit.

Message Edited by aftermath on 06-22-2008 04:52 PM

[Anonymous]

Good info u all this helps alot of people I just got 4new cards 1Visa 1 MC and 2 store cards  

[Anonymous]

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Timothy wrote:

For scoring mix- you only need 1 store card.

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UpUpUp wrote:

Quick question... I only have 1 charge account and the 4 credit cards. Would I benefit by adding another store charge account?  Or is 1 enough?

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Thank you!

[Anonymous]

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firstinlastout wrote:

very interesting ! I guess that's why in the Fico score simulator, one of the parameters you can enter is "applying for and getting instant credit at a store"  very very interesting.  Doesn't matter though because it shows my score would actually drop if I did this.

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Your score might drop because a new account might lower your average age and take away more points than a better credit mix will gain. The category is worth 10% and while the order of importance is likely:

1)  First Revolving Bank Card

2)  First Installament Loan

3)  First Store Card

Even the #3 factor could be worth 10 points in a category that likely has a 60-85 point total. Thus, when I went from 2 accounts to 4 accounts, tanking my age somewhat, I noticed a score increase on 2 FICO's because of the new presence of a store card reporting....and it reports as a charge card.

Message Edited by debtisgood on 06-22-2008 07:17 PM