Your premise is that someone who just generated a FICO score, after about six months of activity, where they actually did not miss a single payment, would be ranked as "Poor" on payment history?
I would hope that is not the case. Someone who has not missed any payments even for a short six months just starting out should not be tagged as a poor credit risk on payments if they have not missed any payments.
To refine your question to others, has anyone just started getting a FICO score, gotten the 3B report, has less than a year of payment history with no lates, and if so what is the Payment History category for that person?
My kid's scores were in the 500s when he got his first card, even with on time payments. It would be nice if they started you out in the 600s and let you go from there.
It's just an interpretation of the report, it doesn't matter. If you have any deliquencies or derogatories at all you're going to be penalized for it.
Modern FICO algorithms you start at like 700 after six months anyway and go up from there.
As for short credit history, when you can hit 760 in one year and 800 in 2, that's really not that long honestly. Need to have some history on the file to make a reasonable risk assessment, no history = Oujia board approvals.
At the end of the day it's pretty easy when it comes to FICO scoring: stay clean my friends!
Stude
@StartingOver10 wrote:
@stinastina wrote:My kid's scores were in the 500s when he got his first card, even with on time payments. It would be nice if they started you out in the 600s and let you go from there.
^^^I am completely blown away by this statement above. What else was on his reports? They don't usually start out in the 500s with clean credit. My kids started out in the 700s IIRC. But they started out with a completely clean report. Do you know what was on his report that made him start in the 500s???
He had student loans not even due and 2 cards, both pid on time.
