U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Real Estate > Mortgages
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 09-29-2011, 11:16 AM
 
Location: Heart of Dixie
1,298 posts, read 2,115,367 times
Reputation: 1596

Advertisements

Ok, so my refi/cash out came thru and my bills are in process of being paid off. Everything except for the one loan payment. Completely out of debt.

Loan officer told me that I need to keep two accounts open other than the loan to ensure my credit score goes higher, it was 740 last time I checked (about 2 months) and now with all that paid off will it not go higher?

How high can it go? Just don't know how that all works??
Rate this post positively Reply With Quote Quick reply to this message

 
Old 09-29-2011, 11:20 AM
 
Location: Plano, Texas
1,675 posts, read 6,758,563 times
Reputation: 696
fico scores range from 850 to 350. Once over 740 it really doesnt matter. I would recommend, that if you are paying off credit cards, dont close the accounts...keep them open.

Get rid of the card so you cant run up debt again, just leave the accounts open. Closing the accounts will have a negative impact on your credit score.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-29-2011, 12:14 PM
 
Location: Heart of Dixie
1,298 posts, read 2,115,367 times
Reputation: 1596
Thank you Victor!!
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-29-2011, 03:45 PM
 
Location: New York
2,251 posts, read 4,661,760 times
Reputation: 1612
Quote:
Originally Posted by VictorBurek View Post
fico scores range from 850 to 350. Once over 740 it really doesnt matter. I would recommend, that if you are paying off credit cards, dont close the accounts...keep them open.

Get rid of the card so you cant run up debt again, just leave the accounts open. Closing the accounts will have a negative impact on your credit score.

Victor is correct - having a credit score of 740 is approve average for the county. Your credit report is reporting on your payment history of past bills.

Suggestion - on installment debt like a car payment, house payment, a loan with a known end date. Send extra with that payment.

Example a 30 yr mortgage - one payment divided by 12 and added with normal payment, knocks 7.5 years off term, lowers your net effective rate 2%, increases your equity, and thye best - you get reported as more responsible, as a reward your credit shoots up....

As for revolting debt showing regular payment should be your object.

I have a mastercard and visa - monthly making regular installments way more than the minimum payment request. Also have a few store credit cards showing a minus balance. -$3, -$5, and -$1.99.

I no longer have a mortgage showing on my credit report - having two car loans paying extra each month - 2 months ago my score came in at 804....

Before my mortgage was paid off, was in the high 700's. No longer having a mortgage obligation, put me over 800.....
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-29-2011, 03:54 PM
 
Location: Albuquerque
5,548 posts, read 15,151,219 times
Reputation: 2739
Quote:
Originally Posted by VictorBurek
fico scores range from 850 to 350.
Once over 740 it really doesnt matter.
So it doesn't matter if you have an 830 vs a 740?

( Just asking, because I don't know, nor do I care very much. )
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-29-2011, 04:02 PM
 
Location: Richardson, TX
12,014 posts, read 19,675,739 times
Reputation: 32034
You don't get any reduction on a mortgage rate between 740 score and 830, but 800+ is definitely going to impress an underwriter more.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-26-2015, 11:59 AM
 
1 posts, read 744 times
Reputation: 10
My credit score is 556 I need to be 621 one week what can I do?
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-26-2015, 01:22 PM
 
Location: Austin
7,238 posts, read 20,137,389 times
Reputation: 9973
Quote:
Originally Posted by Raynald1914 View Post
My credit score is 556 I need to be 621 one week what can I do?
You can't do anything in just a week. To raise that much, you'll need at least 2 months, and probably more like 3-6 months depending on the reasons why it went so low to begin with. You need to get new credit, like a secured card with your bank. You need a visa or master card. A store card won't help very much.

Charge the card one time, pay it off, and let it sit as a new, open account. If you can do 2 cards, great. Do NOT open more than 2 cards thinking the more the better, because it'll get worse.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-28-2015, 01:43 PM
 
1,019 posts, read 1,493,809 times
Reputation: 1816
Quote:
Originally Posted by Raynald1914 View Post
My credit score is 556 I need to be 621 one week what can I do?
A week is probably too quick to get the ball rolling but if you have a relative or someone who you live with with a good history of payments on a credit card they can add you as an authorized user and that should help you raise your credit score in a month or so.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-28-2015, 01:50 PM
 
1,019 posts, read 1,493,809 times
Reputation: 1816
Quote:
Originally Posted by round4 View Post
Ok, so my refi/cash out came thru and my bills are in process of being paid off. Everything except for the one loan payment. Completely out of debt.

Loan officer told me that I need to keep two accounts open other than the loan to ensure my credit score goes higher, it was 740 last time I checked (about 2 months) and now with all that paid off will it not go higher?

How high can it go? Just don't know how that all works??
Paying of accounts that are shown on your credit report may or may not raise your score it could actually lower your score the algorithms used by the 3 credit reporting agencies are weird sometimes. Generally underwriters are going to look at your middle score there can be a range in there because the credit reporting agencies use weigh things differently. My score hsave a 20+ point range from low to high last checked.
Rate this post positively Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Real Estate > Mortgages
Similar Threads

All times are GMT -6.

© 2005-2022, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Contact Us - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37 - Top