how do i increase credit score to buy a house. my bankruptcy rolls off my credit next month ,score is only624?

Question

i have paid 17 installment loans off early. paid a 19,000 morgage on a mobile home in two years. i have one credit card. i pay in full each month. (it has a 250 limit) i have never been late one time on any accounts. i have three debts in collection paid off that I didnt know about. I owe 1200 on a student loan, 14,000 on a jeep liberty. I have 2,000 in savings. My score is only 620. what am i doing wrong.

Answer 1

You can go to www.myfico.com and order an updated credit report and get your credit score. It will include a score simulator and you input certain factors such as paying off debt, it will tell you what your score would increase to.

Answer 2

From what I see here you do not have enough current OPEN accounts. Your loans are paid off, your mortgage is paid off, you have a $250 card you don't keep any balance on. You only have a small student loan and a vehicle loan? The scores are low because the level of activity has dropped off. You have 1 account over $2000. Lenders will look for 3 active accounts with a limit of $2000. This is what has your scores in a questionable area. There is not enough data that qualifies for inclusion in the scoring models.

Here is some additional info. Hope this helps.

Answer 3

Your credit score has nothing to do with your income. The fact is that credit reporting agencies have no idea what your income to debt ratio is...that's up to the lenders to find out with your applications...CRA never know your income...your credit score is based on your ratio of credit lines, your utilization of credit (the cushion between your balances and your credit limits), installment loans, and any negatives...plus a few other ingredients.

One thing that counts on your score would be that you don't have a variety of credit...you don't have enough trade lines open...this is not a bad thing in reality...but for your credit score it takes a ding for this.

Also another thing I see is three collections. Showing paid off helps somewhat but still reports as a negative on your score. It takes 7 years for this to fall off your report...

Also any late payments go against your credit score!

Are you paying your student loans back?

When your Bankruptcy falls off and your three collections fall off you'll see a significant rise in your score...however with few tradelines open you wont see a huge rise since I'm sure most of these collections/bankruptcy are aged and don't effect your score considerably!

I would not suggest just opening tradelines to raise your score...but to get the highest score possible you'd need at one revolving account, one installment account, a mortgage loan, and a store card...

Lenders like to see people can manage a variety of credit...but if you are doing fine without all these loans then don't go out and take out loans simply to increase your score...that would be crazy!!!!

Just make sure you keep paying your bills on time...and when your negatives drop off you'll see a difference!!!

Good Luck

Answer 4

Much of your credit score has to do with your incoming money as opposed to your outgoing amount needed for bills each month. Also it sounds like you have a great deal of different types of loans and the collection doesn't help. Honestly you are just somewhat below average for a nationwide credit score. The average is around 675.

Answer 5

your credit score is a measure of your willingness to stay in debt.
don't fall for that crap.
find a bank that does manual lending....they look at you, not your credit score. get rid of all credit. you will lose in the long run if you stay in debt. not smart. go to daveramsey.com and learn.






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Answer 6

Don't expect your bankruptcy to just fall off. You have done all you can on your own. I recommend letting a credit repair company carry the ball the rest of the way.

www.totaldebtsolutionsllc.com credit repair link