@Anonymous wrote:Interesting. I wonder what those combined percentages would be that trigger different boosts.
When I pulled my FICO scores a few weeks ago from CCT, one of the factors they listed as positively impacting my scores was "significant" portions of my installment loans had been paid down... some wording along those lines. To me, with my mortgage being at 76% and my car loan being at 74% at the time, I was surprised that paying down 24% and 26% respectively was considered "significant" in the eyes of FICO scoring.
Many have concluded that getting under 80% leads to a FICO score boost.
@Thomas_Thumb wrote:Installment loans are looked at in aggregate onle (total balance/total loan ratio). They do not have an indivitual element like revolving credit cards.
CAPTOOL shared data back in 9/2015 that showed a step change improvement in score when his aggregate B/L ratio went from a percentage in low 70s to the high 60s. See link below:
Mortgage loans are designated differently and given their own summary category on credit reports. I've never had anything but mortgage loans in my file so I can't speak personally with respect to car loans or other installment loans. Regardless, for a mortgage by itself or in aggregate with other installment loans, you don't need to be below 50% B/L (let alone below 10%) to get a top score.
Thank you, I didn't know that.
I stand corrected.
I'm learning every day here.
@Thomas_Thumb wrote:
@SouthJamaica wrote:
@Thomas_Thumb wrote:Installment loans are looked at in aggregate onle (total balance/total loan ratio). They do not have an indivitual element like revolving credit cards.
CAPTOOL shared data back in 9/2015 that showed a step change improvement in score when his aggregate B/L ratio went from a percentage in low 70s to the high 60s. See link below:
Mortgage loans are designated differently and given their own summary category on credit reports. I've never had anything but mortgage loans in my file so I can't speak personally with respect to car loans or other installment loans. Regardless, for a mortgage by itself or in aggregate with other installment loans, you don't need to be below 50% B/L (let alone below 10%) to get a top score.
Thank you, I didn't know that.
I stand corrected.
I'm learning every day here.
SJ, just to clarify things:
All installment loans (including mortgages) may be aggregated together as a scoring metric. However, the aggregate balance to loan ratio can certainly be 65% without preventing one from reaching a score of 850. See link below on Inverse data.
Oh, OK. So mortgages do get aggregated with other installment loans.
@Thomas_Thumb wrote:Installment loans are looked at in aggregate onle (total balance/total loan ratio). They do not have an indivitual element like revolving credit cards.
CAPTOOL shared data back in 9/2015 that showed a step change improvement in score when his aggregate B/L ratio went from a percentage in low 70s to the high 60s. See link below:
Mortgage loans are designated differently and given their own summary category on credit reports. I've never had anything but mortgage loans in my file so I can't speak personally with respect to car loans or other installment loans. Regardless, for a mortgage by itself or in aggregate with other installment loans, you don't need to be below 50% B/L (let alone below 10%) to get a top score.
Wow I'm impressed that you remembered that 
@SouthJamaica wrote:
@Thomas_Thumb wrote:Installment loans are looked at in aggregate onle (total balance/total loan ratio). They do not have an indivitual element like revolving credit cards.
CAPTOOL shared data back in 9/2015 that showed a step change improvement in score when his aggregate B/L ratio went from a percentage in low 70s to the high 60s. See link below:
Mortgage loans are designated differently and given their own summary category on credit reports. I've never had anything but mortgage loans in my file so I can't speak personally with respect to car loans or other installment loans. Regardless, for a mortgage by itself or in aggregate with other installment loans, you don't need to be below 50% B/L (let alone below 10%) to get a top score.
Wow I'm impressed that you remembered that
+1