A different sort of challege.

[biogeek]

Re: A different sort of challege.

Erin, that is confusing! Darn credit scoring. LOL I'm glad you're with us with all your financial background!

In our situation, we pay off our credit card balances in full each month. Have done this since we've been married almost 15 years ago. Whenever we go to a bank to get an IRA, we ask them to give us a credit report. Almost always they say it's the highest score they've ever seen. So, if paying off the balances each month hurts, it must not be very much. That's just my experience though.

I'm hoping that everyone here has checked their credit score???

[Erin68]

Re: A different sort of challege.

lol.. told ya it gets confusing and makes very little sense in many situations.

If you pay your balances monthly, it will effect your score, BUT if you have other debt such as a mortgage, home eq loan or auto / student loans etc that carries a balance monthly those can offset that. Too much debt is bad, too little debt is bad.. hard to win huh?

Credit scores range from 300 up to 900 (900 being high - good credit).

35 percent of the score is based on your payment history
30 percent of the score is based on outstanding debt.
15 percent of the score is based on the length of time you've had credit.
10 percent of the score is based on the number of inquiries
10 percent of the score is based on the types of credit you currently have

[biogeek]

Re: A different sort of challege.

The only debt that shows up is my step-daughter's student loans. I co-signed for her b/c her mom couldn't (yep, bad credit). We own our home outright as well as our cars. Everything else on the credit report are credit cards, most of which we don't use. I won't check my credit score again until April, so we'll see how that has changed from last year.

Thanks for listing those percentages. I've cut & pasted them!

[Atkid]

Re: A different sort of challege.

One of my credit cards that I pay online provides you with your monthly credit score. During the past two months each month the score slipped 5 points. Can't see why it would do this since I have not added, removed, paid late, etc. Hopefully it will not slip anymore. My number is decent but don't we all want perfect, ya know.

[biogeek]

Re: A different sort of challege.

That's curious! Kinda makes you wonder what the heck is going on. What creeps me out about the credit report is seeing all the different companies that "peek" at you to see if you're worthy of getting a credit card offer. I don't have a Capital One cc, but they've checked on me every month on the credit report! grrr!

[sadie147]

Re: A different sort of challege.

Capital One drives me crazy! I swear I get a 'you've been pre-approved for a $5000 card' once a week. I get more junkmail from them than anyone else. They are the reason I bought a paper shredder. Im' so paranoid those applications will fall into the wrong hands.

[biogeek]

Re: A different sort of challege.

We're paranoid, too. Anything that has any identifying info gets shredded!

[Lisa M]

Re: A different sort of challege.

Oooohhh...I just have to say how excited I am to find out that we have some great financial wizards here on the board. Who said Atkins isn't good for you? Not only are we getting healthy mind, body, and soul...but financially, too! (okay, so I'm a little excited this early in the morning...I've been up since 4:30, what do ya expect? LOL).


Credit card offers are shredded here too. I read the back of their "free postage" return envelopes to see if I can send back the shreds to the company; and so far I've only be able to mail back one. Darn bar codes that supposedly have my mailing information . Well, at least that's one going back better than it came! Woo hoo!


We've always been told by a couple of creditors that if you have credit balances it's not a good thing because it goes against your debt percent based on your income when you try to attain a car or mortgage loan. <shrug>

I don't know, but it sounds quite confusing when it comes to having credit, getting credit, and not wanting credit. Sometimes I wish we could go back to bardering and trading with shells, rocks, furs, etc....maybe I'd get more exercise lugging that stuff around. LOL....

Thanks for everyone sharing! I'm learning a lot and looking forward to savings even more.

[Lisa M]

Re: A different sort of challege.

Hi, Lisa - I'd definitely pay off the higher rate debts before anything else, and be sure to consider any yearly fees affect on that rate in light of the remaining balance. In other words pay off the small balance card with a yearly fee, even if it's a higher rate than the card without one at the same rate.

Yep, DH thinks it's a great idea to pay off the truck first before the studnet loans. The percent on the truck is just, well, every embarrasing, but that goes with the territory of filing bankruptsy and rebuilding credit. We're looking into refinancing this coming spring since we've made timely payments for a year.

We don't have any credit cards anymore (thank God!) and totally agree that on the paying the highest interest rate off first. It drives me batty when DH sits and ponders how much savings we can have if we didn't have the high interest rate that we do on the truck; he thinks what he can do with the excess and hunting equipment, I think about paying off my student loans and then starting a new job with a trip to another country to celebrate being debt free! LOL...live and dream.

[biogeek]

Re: A different sort of challege.

Lisa, I always get excited about finances!!! LOL It doesn't matter what time it is.

[Lisa M]

Re: A different sort of challege.

LOL...I get more excited when I find loose change on the ground. "Woo hoo! Free money!" Yeah, I feel bad for the person who lost it, because I've lost some cash in the past (hey, that rhymed!). But reality is, it's there when you least expect it and nobody claimed it since you stepped on it. Suddenly I'm picturing people nose diving for pennies and nickels on the ground. LOL...

[biogeek]

Re: A different sort of challege.

LOL I haven't found any money on the ground lately. Maybe I'm not looking down often enough?

[Miss Phode]

Re: A different sort of challege.

I literally just now found out that I am the victim of identity fraud!

[Miss Phode]

Re: A different sort of challege.

OMG, I think I'm going to flip. Someone is opening additional phone lines on my phone and charging them to my bank account.

[biogeek]

Re: A different sort of challege.

OMG!!!! That's horrible!!! Get to work on that ASAP!!!!!!