Does a higher limit = better score?

[Anonymous]

Hello TT!  I think I may have posted just a few minutes before you.  I mentioned the insurance premium reason.

Many thanks for all the research you did last year on the insurance industry.  As TT and others discovered, there are a number of additional non-FICO issues that the insurance industry considers.  They lower your insurance score (not your FICO score) for having a low average CL and they also lower your score for every store card you have.  That's just two of them.  There's even weirder things like dinging you for having your oldest account NOT being a credit card.  My oldest account, for example, is a student loan, for which I take a slight penalty in their system -- I'd do slightly better if my oldest account was a CC.

[Aahz]

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@Thomas_Thumb wrote:

It also can potentially affect insurance premiums.

Credit based insurance scores (CBIS) from LexisNexis and TransUnion do consider average credit limit as a factor in scoring.

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I know you to be areputable source, TT, but do you have a link handy regarding CBIS factors?

[iv]

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@Aahz wrote:

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@Thomas_Thumb wrote:

It also can potentially affect insurance premiums.

Credit based insurance scores (CBIS) from LexisNexis and TransUnion do consider average credit limit as a factor in scoring.

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I know you to be areputable source, TT, but do you have a link handy regarding CBIS factors?

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For LexisNexis: https://consumer-solutions.custhelp.com/app/answers/detail/a_id/2523

(Optimal average credit limit? $10,533 or higher.  Yes, that's a weird number.)