I had 2 cards get close to their upper limit and my credit score dove 40 points! I have never missed a payment ever!!!!
2007-12-04 04:15:03 · 7 answers · asked by funkybass4ever! 5 in Business & Finance ➔ Credit
Cancel all the credit cards and really stick it to the man!
Don't worship at the alter of the almighty fico score.
Banks spend millions brainwashing people into thinking they need a credit card and a high I love debt score to make it in todays world.
Not true. Pay as you go and live on less than you make and you will have money.
Just look a Spifiman. He is a slave to the credit card. Every month!!
admission to your addiction is always the first step!
Once you use a credit card your in debt. If an emergency comes up and you can't pay off your card at the end of the month next month your farther behind.If you Play the credit card game sooner or later you will get behind and lose. It may not be today. It may not be tomorrow. But, it will happen.
As far as the cash back goes. Your gonna spend more on the card to get the cash back.
Would you like a hot apple pie with that sir? NO THANKS!
Debt free is the way to be!
2007-12-04 05:57:55 · answer #1 · answered by heybulldog 5 · 1⤊ 1⤋
I may be able to clarify some things for you and others. Every credit active person gets a credit score. If only say 20% of this population have any delinquency, then how do you rate the other 80%?
Looking at it the other way, I see a lot of people who think only delinquency can effect a score. Not true.
For the 80%.... high utlization and multiple inquires will reduce credit scores.
As for the protest, go for it, but it is a bit ironic that you are only interested in not using cards after yours are maxed out.
I assume you have already called to close your accounts, right?
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2007-12-04 04:27:19 · answer #2 · answered by Gatsby216 7 · 1⤊ 0⤋
That is because you almost max out your credit limits on both cards. Credit score do take that into consideration...of course no balances is the best, but not you should keep it below 35% of your credit limit. Once your balances go down to under 35% of your limit, your credit score will go up. Good luckj! Oh, I am agree with not charge any Christmas (or any) shopping to a credit card, only cash. I don't pay interest on credit cards...
2007-12-04 04:29:07 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Your score went down because thats how it is calculated. You should have known that before using them.
Besides that, online store orders need a credit card. If you pay the bill in full before the next billing cycle with the cash you have in hand, there will be no rise to your limit.
2007-12-04 04:44:56 · answer #4 · answered by KathyS 7 · 0⤊ 0⤋
If a person has a hard time budgeting their holiday spending, paying cash is always the best way to do.
I use my cards all the time, but I pay them off monthly. I don't know about your 40 points, I've never been close to my limits.
2007-12-04 04:25:16 · answer #5 · answered by J M 4 · 0⤊ 0⤋
Your score always goes down when you exceed 30% of your credit limit, you have done this on both of your credit cards. The fault lies with you the user not the credit card companies.
Debt to credit accounts for a full 30% of your score. Never, never exceed 30% usage.
As far as not using credit cards this Christmas, it makes no difference to me because I pay mine off in full every month.
So according to Haybulldog I am a slave to credit cards, lets see yes, I do use them every month and pay them off in full every month, never pay interest, have a paper trail of my spending, get cash back, airline miles, don't have to carry large amounts of money around and use someone elses money for a month. If that makes me a slave I'm in.
What a moron.
2007-12-04 04:49:05 · answer #6 · answered by ? 7 · 4⤊ 0⤋
Cash only
and negotiate a 10% discount !
Many places refuse cards now.
2007-12-04 04:28:24 · answer #7 · answered by Anonymous · 1⤊ 2⤋