What is the benefit of an 800+ credit score?

[tryan]

Definitely saving on insurance (homeowners, life and car). Then there's the cheap car loan thing.

I have my rental applicants email a screen-shot of the credit karma score. When they can't/won't I drop the ap .... credit must be REALLY bad. It's free!

[athena53]

Quote:

Originally Posted by JonnyM Agree the fanmail from CC companies is ridiculous. Why would I want double digit percentage cards?

DH and I are blissfully ignorant of what the interest rates are on our cards because we pay in full every month. We've gotten some generous sign-on bonuses for cards with steep interest rates but with the first-year annual fee waived. One year American Airlines offered 75,000 miles for signing up for the Visa, another 75,000 for the MasterCard. It was a good year!

[audreyh1]

I'm too nervous to register my sensitive info at Credit Karma.

All my credit cards are offering free FICO scores now.

[ExFlyBoy5]

Quote:

Originally Posted by audreyh1 I'm too nervous to register my sensitive info at Credit Karma. All my credit cards are offering free FICO scores now.

Your info is already out there. There is no inherent risk to accessing information that is readily available to just about everyone. But yes, if you have a CC, odds are you can review the score for free.

In regards to the FICO...there isn't just "one score" or even just "three scores"...there are many, MANY models that are used for different things. Mortgage tri-merge report scores. Auto loan scores. Auto insurance scores. Prospective tenant scores. Our society is now obsessed with this "score." Yes, it's a good idea to keep tabs on your reports but to obsess over a 780 vs. a 850 is ridiculous.

[audreyh1]

Quote:

Originally Posted by FlyBoy5 Your info is already out there. There is no inherent risk to accessing information that is readily available to just about everyone. But yes, if you have a CC, odds are you can review the score for free.

I disagree. I don't know that anyone has compromised my name, DOB, address and SS# as a package, and I'm not going to provide my SS# and DOB anywhere that I don't have to.

[Dash man]

Earlier this year DW and I bought a Florida condo on the beach. The association required a background and credit check on us to approve the purchase. Their minimum score for approval was 760 even though we paid cash for the condo. I suppose it was a combination of ensuring we would pay the quarterly fees and perhaps keep irresponsible people out. Even renters have to be approved, though standards are a bit lower with a 720 score.


Enjoying life!

[ExFlyBoy5]

Quote:

Originally Posted by audreyh1 I disagree. I don't know that anyone has compromised my name, DOB, address and SS# as a package, and I'm not going to provide my SS# and DOB anywhere that I don't have to.

Count yourself VERY lucky, or unaware. Our own fabulous government has been responsible for releasing that very information from several different agencies.

And...I will further pontificate that there are those that HAVE been compromised and those that WILL be compromised.

[audreyh1]

Quote:

Originally Posted by FlyBoy5 Count yourself VERY lucky, or unaware. Our own fabulous government has been responsible for releasing that very information from several different agencies. And...I will further pontificate that there are those that HAVE been compromised and those that WILL be compromised.

Yes, but they generally send you a letter to tell you such information has been exposed.

I'm not going to contribute to additional possible exposure by spreading my personal information around even more.

[Aerides]

I agree Audrey. My data may have been compromised, all or in part, but as of yet I don't have any damage to show (knock on wood). Yes it's always a matter of how much and when, no longer "if" for any of us.

The only thing in my control is to continue to limit incremental exposure of my PII. It's valuable, so I treat it that way.

[jazz4cash]

Quote:

Originally Posted by Dash man Earlier this year DW and I bought a Florida condo on the beach. The association required a background and credit check on us to approve the purchase. Their minimum score for approval was 760 even though we paid cash for the condo. I suppose it was a combination of ensuring we would pay the quarterly fees and perhaps keep irresponsible people out. Even renters have to be approved, though standards are a bit lower with a 720 score. Enjoying life!

I am curious to know exactly how a purchase could be denied based on a score that is generally considered "good", but not excellent. It seems discriminatory if no credit is involved and it's not like a landlord who is putting their asset at risk. I never had 800+ until very recently and I still got lots of offers and never paid more for loans or insurance. I believe FICO is overhyped.


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[Dash man]

Quote:

Originally Posted by jazz4cash I am curious to know exactly how a purchase could be denied based on a score that is generally considered "good", but not excellent. It seems discriminatory if no credit is involved and it's not like a landlord who is putting their asset at risk. I never had 800+ until very recently and I still got lots of offers and never paid more for loans or insurance. I believe FICO is overhyped.

Credit scores are used to discriminate all the time. Condo associations want to be sure the owners can pay the quarterly fees and any special assessments that may be due. It's up to them to decide their standard just as a bank can offer different interest rates based on a credit score or a landlord can accept or reject a tenant based on an arbitrary credit score. In a condo association you agree to abide by the rules of the association, do the seller cannot sell unless the buyer meets the credit and background checks.


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Enjoying life!

[SJ1_]

Quote:

Originally Posted by ejman Like ( I assume) many of the posters at this forum I have an 800+ credit score but I'm not sure what it does (or doesn't do) for me. I never buy anything on credit ( that is, I buy as much as I can on my credit cards and pay the balance at the end of the month). I pay cash for cars since they won't let me pay with my CC without adding a fee. I honestly don't know what good that credit score does for me but I would certainly like to hear from the experts here.

great credit card offers

[akck]

Quote:

Originally Posted by audreyh1 Yes, but they generally send you a letter to tell you such information has been exposed. I'm not going to contribute to additional possible exposure by spreading my personal information around even more.

Yes, but Credit Karma to this point has been a low risk. I use them because I can run a new check weekly. Most credit cards only provide a score each month. In addition, if there is an ill-regularity, I can view my full report on Credit Karma from two of the agencies. From my recollection, credit cards only provide your score and factors affecting your score, not the full report.

[Koolau]

Related in these pages years back, we unexpectedly needed a mortgage in 2010. Our 815 credit score may have been the reason banks were willing to talk to us, but the ONLY thing they gave a good kwap about was our income. (Long-story-short, we eventually got the loan because the IRS said we had a lot of income, not because we actually had a lot of income.)

During our initial bank interview, I nearly lost it and had to go outside the bank to cool off (70 inside, 85 outside - you figure it out.) On the way back in, now cooled off, I saw a big poster on their door that said "Bad credit? No credit? We can help!" I had to take another 10 minutes of 85 degrees to cool down again. YMMV

[jazz4cash]

Quote:

Originally Posted by Dash man Credit scores are used to discriminate all the time. Condo associations want to be sure the owners can pay the quarterly fees and any special assessments that may be due. It's up to them to decide their standard just as a bank can offer different interest rates based on a credit score or a landlord can accept or reject a tenant based on an arbitrary credit score. In a condo association you agree to abide by the rules of the association, do the seller cannot sell unless the buyer meets the credit and background checks. Sent from my iPhone using Early Retirement Forum Enjoying life!

Ok I see it's more like what I would call a Coop. Thing is there are so many things affecting ability to pay that FICO does not include in the credit score formula, you know crazy things like assets and income.


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[Sunset]

Quote:

Originally Posted by audreyh1 I disagree. I don't know that anyone has compromised my name, DOB, address and SS# as a package, and I'm not going to provide my SS# and DOB anywhere that I don't have to.

+1
I agree, and since a couple of CC provide my FICO score I have no need of credit karma.

[Dash man]

Quote:

Originally Posted by jazz4cash Ok I see it's more like what I would call a Coop. Thing is there are so many things affecting ability to pay that FICO does not include in the credit score formula, you know crazy things like assets and income. Sent from my iPhone using Early Retirement Forum

Oh you can be certain they checked everything!


Enjoying life!

[audreyh1]

Quote:

Originally Posted by akck Yes, but Credit Karma to this point has been a low risk. I use them because I can run a new check weekly. Most credit cards only provide a score each month. In addition, if there is an ill-regularity, I can view my full report on Credit Karma from two of the agencies. From my recollection, credit cards only provide your score and factors affecting your score, not the full report.

How do you know they are low risk? Just because no breach has been reported yet? These places are sitting ducks.

I get reports through my Equifax credit monitoring. They already have all my info since they are a credit reporting agency, so I'm not any more exposed. No, it's not free, but I can see all three reports. I don't pay extra for the FICO score.

Credit Karma is free? Then you are the product. I don't see how any free website otherwise would have the funding to maintain adequate security for extremely sensitive personal information.

[Car-Guy]

Quote:

Originally Posted by ejman Like ( I assume) many of the posters at this forum I have an 800+ credit score but I'm not sure what it does (or doesn't do) for me. I never buy anything on credit ( that is, I buy as much as I can on my credit cards and pay the balance at the end of the month). I pay cash for cars since they won't let me pay with my CC without adding a fee. I honestly don't know what good that credit score does for me but I would certainly like to hear from the experts here.

No expert here but I wonder if a great credit score really has any value in my case too. I haven't financed anything in 20+ years and have no intention to do so. (other than credit cards that I pay off each month because I like convenience and the free cash back)

[Texas Proud]

Quote:

Originally Posted by audreyh1 How do you know they are low risk? Just because no breach has been reported yet? These places are sitting ducks. I get reports through my Equifax credit monitoring. They already have all my info since they are a credit reporting agency, so I'm not any more exposed. No, it's not free, but I can see all three reports. I don't pay extra for the FICO score. Credit Karma is free? Then you are the product. I don't see how any free website otherwise would have the funding to maintain adequate security for extremely sensitive personal information.

I used to use Credit Karma.... you do not provide them any info... they get it from the reporting services just like anybody else can...

"You" are the product... they try and sell you loans and CCs... probably more things, but I just ignored all that so I am not sure... however, I did not find that it was accurate once I started to get my score on various CCs... I stopped using them years ago...