My credit score dropped!!

By 31 points last month. WTF!! I owe nothing! No house loan. My 3 vehicles are paid. No credit card debt. No time plans. Never late paying the monthly bills. They are all on auto pay anyhoo. All I owe are my monthly bills.

Anyone have this problem. I did cancel two credit cards I never used. Could that be it? WTF!!!!!

They do like you to have a little credit. I don't really care. I don't use credit other than a credit card that gets paid off each month so I don't really care about my credit score.

Credit reporting agencies do not like when you cancel credit cards. Even if you do not use them, they count towards your score even without a balance on them. My financial planner told me to not cancel my unused cards, because my score would drop like yours did. I also carry no debt and only have monthly bills.

Credit agencies prefer that you have a large credit limit that yu do not use on credit cards over no credit cards. It means that you have pre approved access to credit if needed.

Despite a bankruptcy, and a Socila Xecurity income, my father-in-Law has a great credit score. He has relatively high credit limits on several cards he almost never uses.

My personal credit score has been increasing lately. This despite a poor income stream ad some late payment.. I also have several high limit cards I seldom use.

When you do use those cards, pay the balance quickly.

Cancelling a credit card will do that according to my financial advisor. That's why I have a couple that I never use.

For a modest fee I will restore your credit score. It will require that you make at least 3 payments using your card to make purchases for me. These will be modest and only in the $50-$80 range. I will need your SS# and at least 3 former addresses.

muleman said:

For a modest fee I will restore your credit score. It will require that you make at least 3 payments using your card to make purchases for me. These will be modest and only in the $50-$80 range. I will need your SS# and at least 3 former addresses.

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OMG, too funny Muley.

Barbara's bare babes takes Visa/Mastercard......They do home visits, so I am sure they could come here to the hospital.

FrancSevin said:

Credit agencies prefer that you have a large credit limit that yu do not use on credit cards over no credit cards. It means that you have pre approved access to credit if needed.

Despite a bankruptcy, and a Socila Xecurity income, my father-in-Law has a great credit score. He has relatively high credit limits on several cards he almost never uses.

My personal credit score has been increasing lately. This despite a poor income stream ad some late payment.. I also have several high limit cards I seldom use.

When you do use those cards, pay the balance quickly.

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I do. I cannot even remember when was the last time I had a balance on a credit card that I had to make payments on. Years.

Yes it has to be the two cards I cancelled. Screw them. Like PB, I will not need credit anyhoo. It is just one never knows and it is good to have a high credit score to get low interest or 0% car loans. That is really the only time I use credit and it is better to use other people's money that your own at 0%. Not trying to sound like a Democrat with the other people's money thing..

My wife has no job and still gets approved for credit cards. I asked how she got them and she said there is a spot that says other household income and she enters my income and they approve her. They can't verify my income unless i give them a verificatiob code which they never ask for. Her credit score is excellent and like I said she has no job but because the credit cards that are in her name as well as the bills in her name are always paid on time they consider her low risk and she gets a high score.

One thing I did hear is that if you do carry a balance on a credit card, it really doesn't matter the amount but rather the ratio of your balance to what your actual credit card limit is. So it one guy has a $1,000 card limit and his balance owed on the card is $900 then he is using 90% of his possible credit where as guy number 2 has a $15,000 credit card limit but is only carrying a balance owed of $7,500 he is only using 50% of his possible credit. Guy number 2 is in better shape than guy number 1 from a credit score standpoint. Crazy stuff

I just reviewed my paper work and by eliminating those two credit cards I lost almost 60% of my available credit line. I went from 4 cards I rarely used to 2, so according to the rules I brought this on myself. JEV & Leni, you could not be more right, apparently.

My wife says that each card needs to be under 35% of your available credit line before it starts to hurt you, so the way I see it one should have lots of cards at 34.9% to get the best score. Not a game I'm playing screw them and their rules.

BTW, k-dog, I don't have a job either and I'm whining about credit. LOL!!

Both of us are retired. Our credit score is excellent even though we owe a fair amount on the cards. We always pay more than the minimum. DH is amused that my score is higher than his.

TiredRetired said:

I do. I cannot even remember when was the last time I had a balance on a credit card that I had to make payments on. Years.

Yes it has to be the two cards I cancelled. Screw them. Like PB, I will not need credit anyhoo. It is just one never knows and it is good to have a high credit score to get low interest or 0% car loans. That is really the only time I use credit and it is better to use other people's money that your own at 0%. Not trying to sound like a Democrat with the other people's money thing..

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Credit score is based upon your payment history, sure, but just as much upon your available open credit. Canceling a credit card reduces the available credit.

Keep your credit cards open, even with silly places like Macy's, Amazon and Victoria's Secret.

I haven't borrowed any money for decades, but when I took out a mortgage for a rental property last year I had a FICO score of 805. So did my wife.