Credit Reporting..."You need to open more accounts"

[John Ranalletta]

While in my credit union online account, I noticed the credit reporting section where our score was noted as "Excellent"; however, we are advised to open some installment credit accounts to "improve" our credit score.  Sure.  We'll get right to that.  This is f'd up.

 

[RandyShields]

33 minutes ago, John Ranalletta said:

we are advised to open some installment credit accounts to "improve" our credit score.

Yes, strange.  Never saw advice like that in my years in lending/banking.  I wonder if that came from the credit union (pushing for you to open more accounts with them) or the credit bureau.

[ADulay]

Yeah, I'm one of those 800+ FICO score people and they always want me to open more credit cards "to improve my score".

 

I'll get right on that, sure.

 

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[John Ranalletta]

16 minutes ago, RandyShields said:

Yes, strange.  Never saw advice like that in my years in lending/banking.  I wonder if that came from the credit union (pushing for you to open more accounts with them) or the credit bureau.

It's the credit bureau and Fair Isaac algorithm

[John Ranalletta]

19 minutes ago, Rougarou said:

I'm only 24 points from maxing the Fico

24 pts must be a standard threshold.

[RandyShields]

Very interesting.  May be a new development since I retired.  I am with you guys; don't need any more payments; credit score plenty high enough.

[BamaJohn]

The "NEW NORMAL" is alien to me in a lot of ways.........

[R21A-Bumble]

If you don't need to borrow money who cares what the credit score is? Although once a prospective employer wanted permission to check my credit score. I declined. They asked why so secretive. I said I would not work for someone that nosey. It was a great interview.

[Camhead64]

52 minutes ago, BamaJohn said:

The "NEW NORMAL" is alien to me in a lot of ways.........

Me as well, [censored]'em, I do not bend, I will not compromise.

[BamaJohn]

 

2 hours ago, BamaJohn said:

The "NEW NORMAL" is alien to me in a lot of ways.........

Mea Culpa....Didn't mean to hijack this thread.  

[realshelby]

I will add to this that you don't necessarily want to cancel your credit cards. That can lower your credit score. Credit Cards can show your payment history, which is a BIG part of FICA scores. But they also can show "available credit" in ways that might be derogatory if you have a poor income to debt ratio. 

 

 

[Skywagon]

The only real reason your score matters when you don’t need or want credit is it matters for insurance. Your insurance company adjusts rates based on scores. If you are anywhere in the 800’s you are fine. 
 

I got told by one of the agencies I needed a mortgage. Now that is really funny.