Originally Posted by Tadpole
I'm not sure credit scores are predictable after high, medium, and low. When I was nearing retirement I found a house I wanted in the town I now live in. Since my current house had not sold, I needed to temporarily take a mortgage at PenFed. I thought to have a really high credit score you needed to use a lot of credit and show yourself making payments on time. I do not use credit that much and had paid off my house and cars years prior. But my credit score was 840 and my husbands was 832. I can't imagine why the slight difference.
I have concluded that all the talk about how one gets high scores is just not correct. We had even recently been a part of that BoA indiscriminate slash of credit limits on cards and it didn't seem to hurt us to have this decrease our ratio.
My own recent experience is that it may not hurt your credit score to not have revolving debt, but can still effect your availability of credit.
I own my home outright, and have not had any debt since paying it off 5 years ago (except for standard credit card purchases, which always get paid off each month).
Like you, I was buying another home, before selling the first one. I tried to get a HELOC on the existing place as a bridge loan. Should have been easy, I thought. The amount I wanted to borrow was ~30% LTV and less than a years gross income.
My credit score is 809. I got declined. Reason? 'Limited Credit Experience'. I can only guess they looked back 3 years or so, and saw that I had no significant debt in that time frame.
So I end up using a margin loan as a bridge....