Theory on too many accounts, you have read 2,3,4, no more 5 accounts for the highest score. Since 35% of your score is on payment history, what is better to evaluate 2,3,4, account with pay history or large number with excellent pay history, I say more points for more accounts. You can't tell me two accounts can score more than 12 for same exact period. 30% is on money owed, Of course if you max out every card, a whole another story.
RE: Theory are too many accoun SINCE F.I.C.O. answers to nobody, and their scoring system is a big "?" (they only let you know what they want you to know), it is hard to say what all the answers are. I'M NOT GOING TO DO ANYTHING EXCEPT...make sure all closed accounts are stated as 1)"ACCOUNT CLOSED AT CUSTOMER'S REQUEST" 2)BALANCE $0 3)NEVER LATE
RE: Theory are too many accoun Doug wrote: "what is better to evaluate 2,3,4, account with pay history or large number". This is mot a matter of opinion, it's a matter of research. If studies show that the likelihood for delinquency of holders of 2 cards is smaller than that of holders of 10 cards, FICO should yield a higher score for the former. The whole idea behind credit scoring is to generate a research-based score, as opposed to leaving the evaluation of credit risk to employees of each lender. Sure, there are still executives in every corporation who are authorized to approve credit application despite computer rejections, but (when it comes to credit cards) that is the exception, not the rule. And even when human discretion is involved, the FICO score has a substential weight in any decision. Saar
RE: Theory are too many accoun "To this day, most consumers have no idea that simply by having too many credit cards they could ruin their credit score." - Senator Charles E. Schumer, August, 2000 "They need to know what the effect of holding too many credit cards has on their ability to get future loans." - Congressman Harold Ford, Jr., September, 2000 Source: http://www.creditscoring.com
RE: Theory are too many accoun Maybe, too many cards can ruin your credit score, but if you manage your credit smartly, would you care what your score is? If you have "too many" cards, you should have enough to make your credit grow without applying for new credit. You should be able to lower your credit costs without asking for them to reduce the interest. Over the years, my experience has been, exercising my credit makes it grow. I currently have over $140,000. FICO can kiss my (_Y_). Use it, don't abuse it. http://www.creditsense.com
RE: Theory are too many accoun He should have said too many accounts "MAXED TO THEIR LIMITS" would ruin your score.
