Posted on: 26th Jan, 2010 11:08 am
what is the order that credit is rated? is it car loans, then mortgage, then revolving etc
Hi megregory,
As far as I know, the FICO score is calculated on the basis of the percentage of your total credit that you're presently using. This makes up for approximately 30% of the FICO score. Apart from this, how large your past lines of credit have been (10%), how long have you had the lines of credit open (15%), the types of credit lines (10%) and your number of delinquent payments (35%) make up for the rest of your credit score.
Thanks
As far as I know, the FICO score is calculated on the basis of the percentage of your total credit that you're presently using. This makes up for approximately 30% of the FICO score. Apart from this, how large your past lines of credit have been (10%), how long have you had the lines of credit open (15%), the types of credit lines (10%) and your number of delinquent payments (35%) make up for the rest of your credit score.
Thanks
mortgage loans are the most critical, installment loans (such as for a car) would be next, and revolving credit is the least of these three types you noted here, megregory.
i have found that myfico.com is helpful in educating consumers. you may want to wander around their site to learn more about how to handle credit in the best fashion.
i thought payment history was #1?
either way having a mortgage is the #1 you can have on your credit report
when i worked at bofa, we would approve low credit borrowers for a lot of stuff if they had a good mortgage payment history
either way having a mortgage is the #1 you can have on your credit report
when i worked at bofa, we would approve low credit borrowers for a lot of stuff if they had a good mortgage payment history
banker, i was only addressing the precedence of the types of debt. payment history, is, i agree, the most critical of the elements.
sorry was replying to james. :)