If your credit is less than amazing, but that new car is just so shiny, what do you do? Well, if you really have to own it, what options do you have? You can always appeal to the almighty consumer finance companies in the United States. In a good ten to twenty years, you too can be the proud owner of that shiny new car. Continue reading
Credit
Too Many Accounts Recently Opened
Credit bureaus penalize consumers who have had too many accounts recently opened. If you have been denied credit due to an excessive number of credit accounts opened in the last 12 months, this is a warning sign that you are taking on too much credit. Continue reading
New Credit Can Sink Scores Whether or Not You Open the Account
New credit is a classification of inputs in the credit scoring formulas developed by Fair Isaac Corporation. This component of credit scoring impacts about 10% of the scoring formulas. Continue reading
Too Many Recent Inquiries in the Last 12 Months
Some consumers find that their applications for new credit are denied due to having too many recent inquiries in the last 12 months. If you have been denied credit for this reason, there could be a couple of underlying problems causing the lender to deny your application. Continue reading
Credit Mix is a Ten Percent Factor in Credit Scoring
One of the least understood components of credit scoring is the 10% of the formula that is dedicated to credit mix. Fair Isaac rewards consumers who maintain an ideal mix of credit accounts. Continue reading
Banks Respond to CARD Act with Tougher Terms
In recent months, credit cardholders with good credit histories have found their rates climbing and their lines of credit reduced. Issuers have either remained silent, or claimed that this is just a standard procedure. Continue reading
Account Payment History Too New to Rate
Many consumers that are new to consumer credit find that it is hard to open new accounts when they have a limited credit history. Lenders really want to see that you have an established credit history as proof that you can be trusted to maintain a new credit account in good standing. Continue reading
Too Many Consumer Finance Company Accounts will lower scores
Finance companies provide higher cost loans to those left out of mainstream banking. It serves an important role in extending credit to consumers who may not be eligible for traditional bank or credit union loans.
You may think that you are building your credit history by taking out a loan with a finance company. If you have no credit, then that may be one way to show activity. The problem with this approach is credit bureaus may actually punish you for taking out loans through finance companies. This may be true even with a perfect repayment history. Continue reading
Too Many Accounts with Balances is a credit killer
You might think that you have been managing your credit well by juggling balances on several credit card accounts. Given the complexities of keeping up with so many accounts, you may have indeed managed them well.
The problem with carrying balances on so many accounts is that FICO credit scoring formulas deduct points from your scores as a penalty. It may seem counterintuitive to punish you for managing so many accounts without fault. Continue reading
Credit Card Bubble
Let’s review some recent financial history: Continue reading
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