I just read on another web site that your occupation impacts your credit score. My husband does not have up-to date info on some of his credit reports about his occupation. Will giving them this improve his score? Also I am a SAHM with no employment yet I have fairly decent scores. If I were employed would they go higher. What other non -payment information goes into a score and what can we do about it? Like I have been renting the same home for three years. By staying here another two years before we buy ,will that impact our score even greater in a postive way?
Occupation does not factor into your credit score but it factors into your creditworthiness because it tends to give you better debt to income ratios. Also creditors would more likely take a risk on Dr. John Doe with a high debt to income ratio compared to Mr. John Doe, construction worker. (no insult to construction workers)
Way back in the day when credit was reviewed by a human, time on job, time at residents made a huge difference especially when wavering on an approved or a declined. Creditors want stability, the longer you stay put better you looked in their eyes. As for type of occupation I don't think that places any factors. I know doctors and lawyers making 10 times more then I make a year but have lower scores then me; due to higher debt to income and/or living beyond their means.
According to FairIsaac, your occupation and years on the job actually do impact your score. This FTC website shows FairIsaac "scorecard" slide. Someone here on creditnet posted this awhile back: http://www.ftc.gov/bcp/creditscoring/present/sld008.htm Highest number of points goes to those who have a "Professional" designation (50 points). I always check "other" on everything (22 points). I haven't seen on any of my credit reports, anything concerning employment, other than name of employer, so I don't have a clue how they know what you actually do on the job. If occupation is worth so many points, it must be somewhere in our files, but we're not privvy to this info? For more info on scoring factors, read all the slides on the FTC site. I found them to be pretty interesting. Of course, FairIsaac only provided 49 slides to the FTC. We all know what Secret Slide #50 would be, but I think George is the only one who has actually figured out its contents.
Does this mean if I have 20 addresses listed, but they are really 4 addresses, misspelled and stuff... should I have those corrected? When I called Credit Expert, I was told that addresses and employers do not play into credit scores. Whats the truth people! Thanks, Allen
I know that one of my CRs lists my occupation as student (which was true 3 years ago) and another does list my most recent employer but doesn't list occupation. My friend's CR lists his occupation from 10years ago with an employer from 5 years ago...who knows!! lol
That fair isaac scoring model is years old.. those types of credit scores are not used today... Your job may factor into you internal credit score with a certian company.. take amex for instance.. 1) You apply for a green card. your fico is pulled 655 is your score. 2)you say you own a house on the application amex rewards you with 10 bonus points 3) you have had the same job for more than 5 years. amex rewards you with 10 bonus points 4) you have a checking and savings amex gives you another 10 points on their internal system.. now you have a 685 and you are instantly approved.. while conversely 1) You apply for a green card. your fico is pulled 655 is your score. 2)you say you rent a house on the application amex deducts 10 pts 3) You are in the first year of a new job amex deducts 10 pts 4) you only have a checking account amex gives you 5 points Now you have a 640 and you are denied because you did not meet their score model criteria.. REMEMBER this is only hypothetical but many companies have internal scoring systems that may or may not be similar to this... But most take your fico score plus your info on an application and then decide.. but if your scores are over 720 you will usually get approved no matter what.. But the botton line is that the job listed on your credit report does not affect your fico score... kev
The one FTC slide I saw was very enlightening. What criteria do the powers that be use to determine who is a professional ond who is not? Also, would this mean that missing any recent occupation information on a credit report mean a reduction is score? There seems to be some disagreement here about that.
I would dispute them allen because I've seen creditor copies of the reports with both dates and whether or not you own or rent associated with the addresses. Once on one of my reports two addresses were listed right after one another with nothing different between them. I'd bet money the difference between them was the unreported info, otherwise the computer would have automatically combined them. Essentially they are trying to figure out how long you have lived at your address with this info(goes back to stability)
