The Big Bad Console Thread - Sway your Station with an Xboner !

Kedwyn_sl said:

Bull shit, people 2 years out of bankruptcy can get mortgages and a decent rate (my idiot brother in law got one for 30 years at 4.5% and given his score is in the shitter from a short sale last year that isn't bad) and same with cars etc. What you need to build credit is something like that and pay it off. Keep your card balances 0 and if you take care of the other stuff that 3k credit card limit will be much higher over time as your score rises and you prove yourself.

Regardless, nearly everyone has student loans. Yet another excellent way to build credit.

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Well ill take your word for it, but if you are advocating dumping credit cards you are wrong

800 Credit Score Myth: To get an 800 credit score, get rid of all your credit cards.

800 Credit Score Fact:

One of the worst things you can do for your credit score is to remove all means of credit. Sure, if you've got six credit cards, get rid of a few, but you need to have some credit or debt just to show the credit agencies you can handle it. Remember, the purpose of the credit score is to assess your level of risk. If you never borrow anything, they will never know how much difficulty you have paying it back.

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I built up my credit score 2 years before I entered college by charging everything on them ,and paying them off at the end of the month. At that point I had a 700+ score

After college, with loans, car payments, and mortgages I am now in the 800+ bracket.

I will always put everything on my credit card, and then pay it off at the end of the month. It has never hurt me at all.

I didn't say dump credit cards.

Account time is a huge part of your credit score.

Kedwyn_sl said:

I didn't say dump credit cards.

Account time is a huge part of your credit score.

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No you are saying keep your utilization low if you are trying to build credit.

Obviously, I could care less about adding to my score anymore, but if you had a person who has super low credit the chances are he cant spend more then 10% of the 3-5k limit anyway every month, and still be able to pay it off.

I'll concede that in there case exceeding 10% is probly not a good idea. I wasn't aware of the lag you claim they have when reporting every month that's its been reduced to 0% after paying it off in full.

Dumping cards keeps your utilization higher by default - if you've got zero cards you're considered to be at 100% utilization in the calculations from how the estimators present it - not to mention duration of accounts as kedwyn mentioned would rate at its worse with zero open accounts.

Having more cards, if you keep up with them actually keeps your utilization effectively lower (unless they're all at $0 already).

Its the balance... 0 balance = 0 utilization

when you pay off at the end of the month it's supposed to return you back to 0. but Kedwyn claims there is a lag in the reporting that doesnt show your utilization as 0 even if you have 0 balance for the month

And if you are over that 10% golden area when that happens, then you are hurting yourself.


This only applies to people trying to up there credit score, for everyone else that is 750+ who gives a shit.

I would be hurting myself not to put everything on my cards. Just my air mileage alone I get free every year is worth it from American Express.

Kedwyn_sl said:

Column, buying stuff and paying it off on revolving debt like a credit card does nothing by itself for your credit. In fact it can hurt your credit if you are buying stuff every month as you're dinging your utilization rate on a card even if you pay it off every month. Mostly because there is a delay in when you pay things off (monthly) vs when its reported. The actual ratio where it starts to ding you is 10%.

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My 20 year old has been on my Discover card for five years. I use it for everything(2k-3k/mo) for the rewards and pay it off each month. His credit score is 810 JUST for being on this card for the last five years, so something isn't right there, Ked.

So I looked at this article that Kedwyn linked later, because the subject interests me now.

http://www.creditcards.com/credit-ca...harge-1267.php

Not all cards report utilization rate.

But if you are still paranoid, you can do what it says ,and pay it off 3 times a month, or whenever you look like you are close to 10%

You just have to be at 0% when they take the snapshot which is the same time every month.

Shock and awe - I say not all report everything and you doubt it... then you find out it's correct... We might have a first folks, Column admitted he was wrong about something.

(Now lets see if he realizes that $0 balance with no credit cards will hurt credit rating a ton because of at least two factors)

Better be careful or Hodj will come in here and start a Credit score thread and then Tarrant will swoop in and infract Column!

Shock and awe - I say not all report everything and you doubt it... then you find out it's correct... We might have a first folks, Column admitted he was wrong about something.

(Now lets see if he realizes that $0 balance with no credit cards will hurt credit rating a ton because of at least two factors)

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God, you are retarded. At no point did I say anything about credit cards not reporting Utilization. Trust me the PSN Visa card almost certainly does.
My guess is that is probly American Express select cards.

These are not normal credit cards FYI, they are charge cards were the balance is due every month in Full.

BTW you should be ashamed that this conversation pretty much revolves around you. A middle aged dude with bad credit..

Column_sl said:

Its the balance... 0 balance = 0 utilization

when you pay off at the end of the month it's supposed to return you back to 0. but Kedwyn claims there is a lag in the reporting that doesnt show your utilization as 0 even if you have 0 balance for the month

And if you are over that 10% golden area when that happens, then you are hurting yourself.


This only applies to people trying to up there credit score, for everyone else that is 750+ who gives a shit.

I would be hurting myself not to put everything on my cards. Just my air mileage alone I get free every year is worth it from American Express.

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There definitely is a lag, but at most it's a temporary decrease in score only until payed off. And unless you are putting 80% utilization on it per month, it's pretty minor.

My Fico score fluxuates between around 810 and 830 every month, mainly due to utilization.

Technically it was no credit - not bad credit. And not quite 40 yet, don't think I'm considered middle aged yet. And if I'd have kept my student loan going instead of paying it off I probably wouldn't have been in a position of building credit - are you honestly saying I'm a bad person for paying off $25k in college debt rather than kiting it out over a billion years? Yes, I didn't pay attention to the "game" of how the system works, it didn't matter to me particularly until I started looking at business loans.

And you said that there is no difference between how good one CC is versus another for building credit in your first retarded statement on the matter - not reporting utilization is a pretty big factor in slowing how credit builds if you're being responsible.

So the best practice for someone building credit on a credit card is to pay off the card 2-3 times a month that way you are never close to being over 10% when they take a snapshot

For people like us in the 800s, it really doesnt matter, our limits are so high to begin with we won't get close to 80% on one card.

And you said that there is no difference between how good one CC is versus another for building credit in your first retarded statement on the matter - not reporting utilization is a pretty big factor in slowing how credit builds if you're being responsible.

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Those are charge cards you idiot.... ones you have to pay off in full every month. Read the link..

Technically it was no credit - not bad credit. And not quite 40 yet, don't think I'm considered middle aged yet. And if I'd have kept my student loan going instead of paying it off I probably wouldn't have been in a position of building credit

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Well according to Kedwyn you should have kept the loan. How do you have bad credit if you are paying off a college loan anyway? Did you miss tons of payments etc

How can you be close to 40 and still be messing around with this shit. Most people at your age are paying off there kids loans

1) I didn't bother with the link, he wasn't using it to refute anything I know - never heard of cards that require being paid off every month. Regardless they're a style that would be worse for building.
2) I paid it off in full after I'd gotten bad credit from poor handling of credit cards during my ramen days in college. You do realize paying off an account is a small bump relatively speaking, right?
3) I don't have kids and won't have kids - I know back in the 70's my parents had to pay over $100k in surgeries during my first years and even after all of that, my health still is awful - I don't desire a kid enough to put myself through that financial burden and them through the pain of my genetics (which have a 50% chance - or if I spend about $200k in in vitro I can do testing and reimplantation to deal with it - but again, not worth the cost to me even before "normal kid" costs which everyone knows can get ridiculous [and remember on the surgery costs that was 1976-78 - and healthcare costs are much higher now than late 70's])

And during my working days before my health really turned south - I was specializing in opening places - so owning a house didn't make any sense, since I was someplace for 2-3 years then I moved for the next opening, over and over. Owning has made sense for 7 years, about a year after it made sense my parents went into the retirement home and gifted me their house.

So you have your answer then, there is no mystical credit card that gives you a better credit score quicker.

Just keep yourself under 10% utilization, and keep up with any other loans you have.

people 2 years out of bankruptcy can get mortgages and a decent rate (my idiot brother in law got one for 30 years at 4.5% and given his score is in the shitter from a short sale last year that isn't bad) and same with cars etc. What you need to build credit is something like that and pay it off.

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"Card issuers report to the credit bureaus in different ways. Some report specific monthly payment information along with account balance and credit limit; others do not. The biggest issue with credit utilization and credit scores is that your score is based on a snapshot of your credit report on a given day. If the snapshot of your credit report is taken before you make credit card payments for the month, you would be over the ideal utilization rate of 10 percent."

Yep, they all report the same... Christ dude.

Reporting the same is meaningless, read the quote you provided

The biggest issue with credit utilization and credit scores is that your score is based on a snapshot of your credit report on a given day. If the snapshot of your credit report is taken before you make credit card payments for the month, you would be over the ideal utilization rate of 10 percent."

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Actually reporting the same is quite important - if you can't see that you're even more foolish than I thought.

If one gives you a credit limit raise that doubles your limit and reports it immediately - and another does the same but waits 3 months to report it - which one is going to improve credit quicker?

da fuq is going on in this thread