My first FICO

[Anonymous]

Well. I've been reading for days. It's taken me 2 years to get up enough nerve to check my FICO scores for the first time but I took the plunge today. I jumped because my car was hit by a drunk driver at Christmas and I have to have a new vehicle....or a new old vehicle.

December 2002 I chewed my arm off to get out of a relationship. Half of you know the other half of the story. LOL.

I was shocked. TU=683, EQ=667, and EX=666. I find these need minor corrections in my favor, based on what I've read here, and any minute now my $11,000 payoff will hit the credit reporting agencies. Also, taking these figures into concideration, I didn't include my vehicle in my bankruptcy and have never missed a lick on a car payment.

Anybody got a clue what my Auto Industry adjusted FICO score might be? Do you think they will sell me a NEW car? and if so, what interest rate? It's a $19000 car and I have 8000 for a down.

For you folks taking a beating from a bankruptcy that you tried very hard not to let happen, I promise that there is light at the end of the tunnel if you just stick it out.

[fishbjc]

In order to get top financing rates, you need about 720.  I think your scores are excellent and you should receive a nice rate.  My work partner has scores at 695 and he received the lower tier, which he was very happy with.  I *think* he got about 6% new through Toyota Credit.  DH's scores were about yours and I got 10% used through roadloans.

Try calling a dealer and ask their finance guy what you can expect.  If you go in to finance, do NOT tell him you know your scores, let him tell YOU.  If he's Low, you can slap yours down on the desk and invite him to *try again*.  You should be able to get rates at about 6.5%.

Message Edited by fishbjc on 01-13-2008 06:22 PM

[IGO]

Goodness. I think I have two logins.

Are these scores excellent? I mean for what we've gone through? I had 25 years excellent credit right on up until I darned near starved to death. Funny, I left rural America right after the bankruptcy and 10 weeks later found a job paying 3 times what I made when I filed. Been with the same people ever sense. Transfered to Las Vegas and don't do any kind of gambling.

I've been studying investment for about a year now but just started looking hard into my credit though I've not made a bad call sense I filed. I've learned more today on this forum and in my myFICO report than I've learned in 2 years prior.

My truck was wrecked at Christmas. It was a used truck from CarMax and I had it for 20 months. Never late. I financed it for a million percent but knew that was the price I had to pay to rebuild so I bought a very practicle vehicle. I only have one credit card and it carrys a zero balance. Do you think my FICO scores will go up when the insurance check hits and that truck balance drops to zero?

[haulingthescoreup]

Hi, IGO/ beenthere (can't figure if you're the same person!) --welcome to the forums! Sounds like you're working on the common sense version of how credit ought to work, but that's not the real version.

For the optimum credit mix, you want to have 2 or 3 credit cards (CC's) that are mostly paid off, but with one reporting a balance of under 10% of its credit limit (CL), and some sort of open installment loan reporting. Now, I think it's crazy that you lose points by paying off your loan, but that's the way it works. However, you don't get nearly as many score points off of installment as you do off of revolving (CC), so the payoff shouldn't hurt too much.

When it comes to FICO scoring, you get rewarded for having a lot of available revolving credit, but using very little of it. This is interpreted as meaning that you qualify for a lot of credit, but you are self-disciplined enough to barely touch it.

The simplest way to work this is to take your credit card with the largest CL, take off the last zero, and charge less than that. So if you have a $1000 CL, take off a zero --> $100, and let around $40 - $90 report on your statement. Any others should be PIF'd --paid in full before the statement date, which is usually when the CCC's report to the credit bureaus. hope this helps!

[IGO]

Hi, I'm both. IGO and Been There. I guess that means I don't know if I'm coming or going. I'm suposed to be computer savvy but not today. When I discover how to get rid of one of these accounts I'll do it. For now, I'll use whatever I can sign-in with.

I was doing some reading about credit cards. My first one is only 4 months old. When should I try for another one. Sounds like a year? I have no great desire to have one but will if it is what I should do.

My greater consern is in something you just mentioned. With my current FICO scores (683, 667 and 666) should I go ahead and start shopping two or three lenders for a rate before my old truck shows as being paid off? I only make 50K a year and owed 11,000 on the truck. I don't own one single interest dollar otherwise. I have $8000 down for a $19000 car but was waiting for funds to arrive, another week or two, and for the insurance check to show at the CRAs.

I understand I should chase down a loan inside a 2 week period. Should I go ahead and let these people pull my credit report? How long will a auto dealer or other lender honor a loan offer before I take one of them up on it. I still haven't pulled all my funds. (refund from extended warrantee/draw on a closing annuity) I don't know exactly when these funds will arrive. Timing issue?

[Anonymous]

Hi IGO. For your new auto loan, I would recommend first going to a local credit union and seeing what their rates are and talk to them about their qualifying requirements; I would not shop around for other lenders yet, and would wait until your other loan shows as being paid off. You may/may not lose some points with this pay-off but it would other-wise look like you had two open auto loans. The length of the offer depends on the creditor, sometimes up to 90 days and sometimes much less (even less than 30days)-- just ask the creditor.

ETA: Igo, don't hesitate to (nicely) insist that the drunk driver's insurance company pay for a rental car if it takes a week or two for you to replace your totaled truck (hoping they had insurance). Good luck!

Message Edited by JayToo on 01-13-2008 10:32 PM

[Anonymous]

Thank you. I expected that was true.

The other driver left the scene of the crime. My insurance is covering everything but I didn't have rental because I have a motorcycle. Thank goodness I live in the low desert.

OK, this all leads to another question. What if my car doesn't show up as paid off at the CRAs for two months like I'm hearing here. Will a copy of the pay-off check help? or a lender hearing the recorded message that it is paid in full? How's about financing through my insurance company. State Farm is in the lending business, includes gap insurance and says they will likely finance me though I wasn'r ready yet to have them pull my records.

I'll be here when this issues is gone. I am so excited to be able to draw from everybody's experiences. I'm going to the top and I hope I'll be able to help some folks along the way.

[Anonymous]

Goto you local CU- They will understand your car/bike was recked and will adjust as needed.

I would not wait for it to show up on your reports as paid.

[Anonymous]

Well it seems that CUs are the place to go. Why are they different or why are they mentioned for this kind of loan so often?

[Anonymous]

They give the best rates-

It is not ALL about your FICO score

It is not about how much $ they can make off of you-