Is a 726 fico really below average?

BECAUSE THEY LIE...like ALL the CRA'S they have to PROVE NOTHING!!!

...AND they don't make any company PROVE ANYTHING that they want reported on your credit report!!!

 

I couldn't understand that either. Even when my Eq score was mid 700's I was still "below average". Ridiculous :/

 

Exactly, My dad has a FICO in the mid 700's and they said 40% of the population has a higher score? B.S.

 

Re: Re: Is a 726 fico really below average?

THEY DON'T HAVE TO PROVE IT...AND WHO WOULD MAKE THEM???

There is no TRUTH IN ADVERTISING INVOLVED...

 

Re: Re: Re: Is a 726 fico really below average?

And when you come down to it, does it benefit the customer who they work for (ie NOT YOU) to NOT downgrade your score (or it's meaning) as much as possible?

If the banks could push the subprime cutoff up to the mid 700s (if not higher), don't you think they would?

 

I just checked my FICO on Equifax (783, thank you). The graph appears to show 725 as average. Of course it's not labeled there. I hope this helps.

 

Re: Re: Re: Is a 726 fico really below average?

Maybe not Truth in advertising, but why make up such blatantly false crap?

Most people in this country have some "dings" on their credit. If you don't believe me, ask people who evaluate credit applications for a living.


A friend of mine who was in cellular phone sales told me that 70% or more of the people that applied for service had some issues with their credit.

 

Re: Re: Re: Re: Is a 726 fico really below average?

I HAVE NEVER BEEN ABOVE 739!!!

The EQUIFAX simulator says I WON'T GET MORE THAN 780-810 (or something like that) "IF" I PAY ALL MY CARDS OFF!!!
HOW CAN I EVER GET 850???

NO BADDIES EVER!!!!!!

 

Re: Re: Re: Re: Re: Is a 726 fico really below average?

They took 24 points from me just for having a $650 balance reporting (total utilization 9% among all cards).

 

Re: Re: Re: Re: Is a 726 fico really below average?

I don't believe that there is such a thing as an 850 score. After all, if they gave you an 850 and then your credit IMPROVED, THEN WHAT WOULD THEY DO?

I find it interesting that 726 is good and 728 is excellent. Why?

It would seem to me, from what I've heard, that the vast majority of people in this country are 700 or below. But HOW WILL WE EVER KNOW?

 

Re: Re: Re: Re: Is a 726 fico really below average?

I read somewhere that the vast majority in this country have a score between 450-550. I guess that makes me feel good at 605 TU. Who really knows though?

 

Actually, there has to be a statistical median in order for the score to mean anything to the people who utilize it in order to give you credit.

In short, they wouldn't want to lie to these people where the median lies (I'm not saying that CRA's don't lie, I'm just saying that in this particular case, it wouldn't serve their purpose).

In short, when a bank decides who/what constitutes a low risk and how low of a risk that truly is, they have to have some *relative* idea of what a score means. In theory, the 700 mark is supposed to be the median, where every 10 points higher (or is it 20, I can't remember now) provides an order of magnitude as to the more credit worthy someone to be.

I work with a mortgage broker and we've seen scores over 800. The two of the three I can remember both had former mortgages over $1M, despite Fair Isaac saying that isn't a major factor. I do have a relative with just over 800 on all three bureaus, and they don't have any substantial loans. I believe they have a couple mortgages around $200k, two car loans, and three revolving (for history, not concurrently). On the other hand, they've had the same three credit cards for something like 30 years. Perhaps they start to notice people who are just so stable the likelyhood that they default is even less probable than people who simply have good credit.

None of this answers the poster's original question, which is how a score over 700 is considered under the average. I would just warn one thing - the person who posted above said that 40% of the people had better credit than him, that's absolutely correct for a 720 - so that's no surprise. Perhaps the original poster was also considering the inverse (thinking it was that he was at 40% rather than 60%) or that you're simply going by a FAKO generated on the 'net that isn't entirely accurate.

HTH,
-Rusten

 

I can understand scores over 800, I'm just questioning if anyone ever gets 850, and if they do, where do they go from there (besides down)?

 

I dream about the day I have 726 fico.

 

Well yes, because they take a statistical sampling of everyone and break each of these people into a group - and because the "score" simply evaluates to a percentage of creditworthiness between 0-100 (0 being 450 or whatever it is now, and 100 being 850), then yes, in theory, it exists within about 8 points.

Of course, the scale appears to be somewhat sliding (as it goes up, the tougher it is to get more points) and therefore, my guess would be it is about one tenth of one percent of the population that has the 842+ score. Despite that claim, I've seen about 300 mortgages and have yet to see that 1-in-1000 person who would be between 842-850 - maybe after another 700 I will. Then again, maybe the people in that ballpark don't need mortgages ;-).

 

I wonder if Bill Gates has a mortgage? What would his score be?

 

The guy in the office next to mine has a EQ: 831

He just bought a house. I saw the report with my own eyes.

I was amazed. I have been hitting him up for info about his financial habits.

Has 3 major cards with a total cl of about 40k.

He uses them for everything but gas and food.

Pays all 3 bills in total every month. Never carries a balance.

Credit history is about 12 years. 8 years with 2 mortgages.

 

If he's getting some kind of rewards, he should be charging gas and groceries as well. He pays it every month, so get everything you can. Now, if he carried a balance I'd probably have different advice.

 

I think the gas and food thing is some old saying.
Like "your mortgage payment should not be more then 25% of your take home".

My Dad says the same thing 'Never charge gas or food'.

It think it was some kind of wisdom. If you ever find yourself that you have to charge gas and food, maybe things are not going so well, and to call home.