FICO score headed to zero -

[CreditInspired]

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@Anonymous wrote:
OP - I’m failing to see how having a good credit score is “playing the game”. Furthermore, I’m failing to see why you feel that you should have a good score when you don’t currently have any credit extended to you.

Credit scores are used by lenders to determine the risk associated with lending decisions. If you don’t have a credit history, they can’t assess this risk. Thus, the low (or non existent) score. You net worth means squat to risk models. Your income only plays into your ability to repay. It’s certainly possible to find people with a lots of money that simply have a history of not paying their debts for one reason or another.

The choice is yours to have/have a good credit score or not. If you want one, you have to allow the model a means to assess your individual risk. If it’s not by credit history, what should it be based on?

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+100

[Anonymous]

Equifax is 345 - experian has me at 503 so not sure if these are FICO or what....

[CreditInspired]

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@Anonymous wrote:
@nodebtdude Let me explain to you why it’s like that. Who knows how your financial position has changed over a long period of time. Fico algorithms are designed to assess your risk of default in the next 24 months.

Consequently they need to see recent debt management activity in order to predict your risk of default in the next 24 months. What you did 30 years ago has nothing to do with today. You may of had plenty of money then and you may have went bankrupt since then who knows.

For an accurate prediction they need to see recent activity. That can consist of one stick of bubblegum on a card every six months.

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^^^this

[Anonymous]

Yeah, no sign of fraud. Their is just zero activity and it’s calculating my activity over time witch their is none......
I think that’s all it is.

[Anonymous]

If you pay the cards off every month you have no debt and are paying no interest. It’s not playing a game.

You came to a forum where most of us have several cards. We are going to suggest how to get your scores up, and give explanation as to why it’s going downhill. I personally won’t touch on the why, as others have touched on it.

I will, however, suggest that you at least have one card. If you don’t want to have one, that is fine. But then that raises the question, why does your credit score matter to you at all? If you’re able to just pay cash for everything and your house and vehicles are paid off, what benefit is credit going to give you?

[Remedios]

Kinda my thoughts, too.

If you dont need credit, then scoring should be non issue. 

If you think you're going to need it, get a credit card or something.

Otherwise, we're just beating a very dead horse here

You have no active accounts, so there is nothing to score. It will remain that way, unless you have an active account of any kind. 

I'm not going to try and convince you either way is better, but obviously you're bothered because you're here. 

You're not being penalized for having no debt, what you see as penalty is simply inactivity.

[Anonymous]

"playing the game" refers to staying in revolving debt.... Not my term.

Yes, I did come to this forum to ask the question about my FICO score evaporating due to not having any debt, cards or loans.  I understand most folks on this forum had cards, loans etc...  I figuard that would be a good resonse to ask you folks becasue your most likley up on this stuff.  I Received great feedback about it but it sounds like no real answers why its slowly sinking.   

[Anonymous]

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@Anonymous wrote:

"playing the game" refers to staying in revolving debt.... Not my term.

Yes, I did come to this forum to ask the question about my FICO score evaporating due to not having any debt, cards or loans.  I understand most folks on this forum had cards, loans etc...  I figuard that would be a good resonse to ask you folks becasue your most likley up on this stuff.  I Received great feedback about it but it sounds like no real answers why its slowly sinking.   

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There are no "real" answers because no one knows the algorithms. Our guess is as good as anyone's. 

To maximize your scores you need 3 open revolving accounts and one installment loan. 

Closed (paid off in your case) accounts generally stay on your report for 10 years, so if there isn't anything new on your reports that's the cause of your score decrease. If you have no open accounts you obviously cannot have late payments. The only other derogatory mark that would bring it down that isn't tied to that credit cards/loans would be things sent to collections (I.e. medical bills). Since you've pulled your reports, you'd see if there were any collections reporting on your reports.

[Anonymous]

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@Anonymous wrote:

"playing the game" refers to staying in revolving debt.... Not my term.

Yes, I did come to this forum to ask the question about my FICO score evaporating due to not having any debt, cards or loans.  I understand most folks on this forum had cards, loans etc...  I figuard that would be a good resonse to ask you folks becasue your most likley up on this stuff.  I Received great feedback about it but it sounds like no real answers why its slowly sinking.   

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"Playing the game" was used by you in your first post. So, your term for the discussion involved in this thread.

Also, I have all the cards listed below and a good credit score. Yet, I have zero revolving debt and haven't paid a penny of interest in probably a decade.  

And I'm going to say you've been given some very real answers. What more do you want?  You've been told how the scoring system works, why it works that way, the reasoning behind why it works as it does in relation to this topic, what to do to mitigate the score degradation, and probably a handful of other insights. 

Complaining about it, "pretending" you still don't understand in order to keep the discussion going, and accepting no response given as fact is just tiring. 

Good luck to you in whatever decision you make. I hope we've at least helped a little. 

[Anonymous]

As eloquently stated above, you have been given real answers, even by the credit bureaus.

The reason your score is going down is inactivity. As stated above, get one card and put a charge on it every six months and pay it on time and you have no debt and you pay no interest; it’s that simple and it keeps your score alive.

You either want to keep your score in case something unforeseen may occur and you may need Credit in the future or you don’t. But if you wait too long the history that’s on your report will be gone and you’ll be starting from scratch.

If you go get a card now, you will preserve preserve much of the score you had before. In other words, if you go get a card you’ll have a great score soon, six months; if you wait till everything ages off, you’re going to be like an 18-year-old kid starting out and have to build it up slowly.