May 18
I’ve got a AAA credit card and just got a GM card last month…the only 2 i am getting. Over the history of the accounts I have every single bill in full on time and never spent money I didn’t have. Over the last year or so, my credit score has been hovering around 740. I just bought a new car (3 yrs at $180/mo, which is a pittance for a car payment) and about $4900 of car loan remaining. If i got perfect finances as compared to most people (i’m only 24 yrs old), and my score has been hovering around 740 for the longest time, what can help raise my score on top of that? Any other advice?
Why do you care? Stop worrying about some number. Quit worshipping the mighty FICO.
I think your only shortcoming is your limited credit history. Only time will add to your score.
Paying off the car will add a few points.
Your\’re the man!!
740 is great….don’t worry….The factor that is keeping the score from going higher is the one that you cannot control: the length of your credit history….which is a BIG part of the FICO equation. For young adults with short credit histories, this will keep your score lower…Don’t worry….time will remedy the situation.
Pay your bills on time. Delinquent payments can have a major negative impact on your score and the longer you pay your bills on time, the better your score. For example, someone with an average credit rating of 707 can raise their score by as much as 20 points by paying all their bills on time for one month.
Keep balances low on credit cards. High outstanding debt can affect your score. Maxing out your credit cards could lower your average score by as much as 70 points.
Don’t open a number of new credit cards that you don’t need. New accounts will lower your average account age, which could actually lower your score by up to 10 points.
Have credit cards – but manage them responsibly. In general, having credit cards and installment loans (and making timely payments) will raise your score. Someone with no credit cards, for example, tends to be higher risk than someone who has managed credit cards responsibly.
Closing an account doesn’t make it go away. A closed account will still show up on your credit report and may be factored into the score.