How is my credit?

Question

I am 21 years old. I work full time. Not a home owner. I have carried at least 5 major credit cards and 5 store cards but only have 1 store card and 1 major card now with a balance of 2500. I pay 4 times the minimum every two weeks instead of monthly. I also have a car loan that is about a year old. I never make late payments. Never have. Never have been one to only pay the minimum either. How is my credit? Still limited?

Answer 1

Overdrafting and how much you make DOES NOT factor into your credit rating. It does factor into loan applications, like mortgages, as they look to see that you're maintaining a positive balance.

Your credit is probably fair to good....beucase it sounds like you've opened and closed accounts a lot in 3 years. HISTORY is important-- you would hav been better off to keep 3-5 of your major cards and the same of the store ones and pay them off but keep them on your report-- if you canceled them, you're losing valuable history. I'm hoping that you the one you kept is the first one you opened, and not the last. And your loan is new too.. .... So the history portion--- a significant factor-- is not in your favor.

I'd guess upper 600's. Keep those accounts open even after they are paid off and it will help.

Answer 2

You need to view your credit report in full, with a credit report to see where you stand. You should make sure that all of your open accounts are reporting back information building a payment history for you even if you are not currently carrying a balance on those cards.

As for a couple of answers given regarding this question:

1) Income has NOTHING to do with your credit report or score
http://www.experian.com/ask_max/max022305d.html

2) Just because you live with someone that may have poor credit, it would not affect your score or report unless you specifically have joint accounts or are listed as an authorized user

3) The amount of your payment would not matter, just that the minimum payment was made within the billing cycle.

4) Credit rejections by themselves do not hurt your score, but the number of hard pulls on your credit will affect it. If you apply for credit more than 2 times for the year, it can start to affect your score. So keep applications to a minimum if you can help it.

There are positive things that you can do for your credit in general, like:

Making sure your payments are always at least the minimum, and on time.

Keep your balances below 45% utilization (below half your limit).

Make sure that the information on your report is always accurate on all three reports.

Keep the number of hard inquires down to below 3 for the year (although muliple pulls for a single purchase like a house, within a 30 day period only counts as one pull).

Keep accounts open as long as you can, as the length of your credit history helps you build your score as you go along. Closing your oldest tradeline can often hurt you more than help.

Answer 3

Your credit is good for what you have going right now...but your credit can only be as good as your assets. Having a car is a big boost. Also, opening up lines of credit like at furniture stores and paying off the whole limit immediately is good too. Stay away from store credit cards...those are marks against you. When you take out a home loan, your credit will skyrocket. Keep it up with the on-time payments and you'll be good.

Answer 4

Depends on:

1. How much you earn.

2. If you have ever gone overdrawn.

3. If you have ever missed a payment, ever..

4. If you have been defrauded or had your ID stolen.

5. Not many people realise this, but members of your family (including legal ones like your lawfully wedded hubby, for example) living at the same address will ALSO affect your credit rating. If they have a sh*t credit score, it will AFFECT yours too.

6. FULL CC payments each month would be deemed better than part payments.

7. Any credit rejections (i.e. turned down credit cards, loans AND mortgages) will affect your credit rating for the worse..

8. More than one credit card balance transfer will harm your credit rating. Any more than TWO will begin to SERIOUSLY f*ck up your credit rating.

Answer 5

If you're being honest about your payment history and have never been late on payments, you are probably in the upper 700s or even 800s. Basically, you should have excellent credit. Most states let you check your credit one time per year for free. Do not check it too often though, or your credit score will decrease.

Answer 6

The best way to find out what your credit looks like is to pull a tri-merge credit report. It is your credit profile from all 3 of the major credit bureaus. you will see 3 scores on that report, and the middle score is the one that counts ( towards buying a home).If your score is above 700, you have excellent credit. Get your FREE report at www.freecreditreport.com.

Answer 7

Probably in the 600's. Only because of your age. I used to be a Mortgage Loan Processor, and have seen all types of credit. Keep up the good work... I know several peeps that would love to have your score.

Answer 8

I dont think so someone that pays their bills on time it should be ok. A car loan is almost like a house payment.

Answer 9

Go here and look around >> http://www.daveramsey.com/
Lots of good advice concerning money

Answer 10

Sounds pretty good. Depends how old your open accounts are.