For MJ

Discussion in 'Credit Talk' started by Saar, Jan 2, 2001.

  1. Saar

    Saar Banned

    MJ wrote:
    "I disagree. FICO hasn't made their exact formulas public, so I'm guessing that you're guessing."

    Not at all. The above was in response to my assertion that >5 tradelines will hurt one's score. That part of FICO algorithm was made public on July 22, 1999 during a FTC conference.

    For more information, go to

    To see the whole FICO presentation, go to

    Any comments or additional information are most welcome.

  2. Doug

    Doug Well-Known Member

    Have 22 accounts also, once you reached 740 -750 Score Range, it's not much of an impact, depending what's in your credit profile. Payment History is 35%, Total Owed is 30%, Length of History is 15%. 10% is taking on More Debt, also note that if you do not run up the new accounts, you are not adding DEBT,
    and 10% on a healthy mix. So you lose a couple of points on too many new accounts, BIG DEAL, with a score in this range you will qualify for anything.
  3. Saar

    Saar Banned

    Maybe, but the question was asked in the context of credit (re)builders. If one's score still belongs in the subprime market, one can't ignore ANY score factor.

  4. mj

    mj Well-Known Member


    I get your point - and you may be right, but I still hold that you're guessing (unless you work for Fair Isaac and aren't telling us :) .

    The example in the slide presented to the FTC was just that - an example scorecard, NOT a specific "we add/deduct this many points if X..."

  5. Saar

    Saar Banned

    MJ, it was not an example at all. They just use raw scale (0-~240), instead of standardized scale (300-900). I really don't see the "guesswork" aspect here.

    So while we don't have the exact standardized formula, we have much more than an educated guess.


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