Trade Lines / Credit Lines

sagarthakar · Joined: 15 May 2007 Posts: 68 25.93 Dollars($)

Please may I request you to provide me a detail information about what exactly are Trade Lines and Credit Lines.

What is the difference between them !!
How does they affect a Credit History of a borrower.

If anyone has anyother questions which are related to this please spread some light.

Thank You

Sagar

gmakerley · Posted: Mon Jan 14, 2008 9:28 am Post subject:

the terms are used interchangably, sagar. there is no difference except in the usage of the person with whom you are speaking.

your tradelines affect your credit score in a couple of ways. 35% of your score is based on your payment history - how you pay your bills; 30% is how much you owe on your accounts; 15% is length of credit history - how long you have had your accounts; 10% is types of credit in use - instalment loans, credit cards, etc.; and the final 10% is new credit - applications you have made, inquiries to the credit bureaus by creditors.

as you can see, the total of debt and how you repay that debt is almost 2/3 of the scores. so, keep it low and pay it well.

sagarthakar · Joined: 15 May 2007 Posts: 68 25.93 Dollars($)

thank you gmakerley ... anyone else who would like to spread some more light on this topic please.

sara · Posted: Wed Jan 16, 2008 5:30 am Post subject: RE: tradeline vs creditline

Hi,

Tradeline refers to a debtor's account status and activity. It includes:

Names of companies where the applicant has accounts
Dates accounts were opened
Credit limits
Types of accounts
Balances owed
Payment histories

Creditline is an account that acts like revolving credit, that is, you can take out some cash amount, pay it off and then again withdraw cash from the same account. Such an account has a credit limit up to which you can withdraw. A credit line can be unsecured (credit cards) as well as secured (home equity line of credit).

Hope I could clear your doubts

Take Care

gmakerley · Posted: Wed Jan 16, 2008 9:05 am Post subject:

thanks, sara, for chiming in on this one. i absolutely didn't even consider that he was thinking of a credit line in that sense.

sagarthakar · Joined: 15 May 2007 Posts: 68 25.93 Dollars($)

Thanks Sara and George ...

Both replies were good and helpful to me....
If you would like to add anything on the same please do so.

Thanks

Sagar

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