General Discussion

Ruby the Liberal

(26,665 posts)

3. Credit scoring isn't that black and white.

Mon May 7, 2012, 03:04 PM

May 2012

If your credit is repeatedly checked by people who send you unsolicited credit offers, that is no ding, but if you initiate requests for credit, it is. Same for employers checks, utility checks, etc - not you initiating, so no adverse effect.

Same difference when looking to buy or refinance a house. If you start making requests, those are negative UNTIL you complete the transaction, then they are noted as 'rate shopping'.

Credit also looks at outstanding credit vs credit limits - so yes, closing unused credit cards can have an adverse effect on that ratio. I have one card with a $15,000 limit that I haven't used in 5 years, but will not close for that reason - it does help that portion of the score.

Late payments (and missed payments) will kill a credit score in a nano-second. Faster than you can say "what happened", but changing apartments (or jobs) and their related checks do not factor in.

Edit history

Please sign in to view edit histories.

Recommendations

0 members have recommended this reply (displayed in chronological order):

90 replies

= new reply since forum marked as read

Highlight:

What you may not have known about Credit Checks and Credit Ratings. MUST KNOW AND SCREAM ABOUT [View all] Justice wanted May 2012 OP

credit pulls FOR CREDIT are different than other credit pulls. unblock May 2012 #1

They aren't suppose to affect your credit but what I've been hearing is that they are affecting Justice wanted May 2012 #2

that sounds like a company lawyer's response. unblock May 2012 #4

I do understand what you are saying that it isn't suppose to affect credit but I'm saying companies Justice wanted May 2012 #7

i agree that credit scores are chock full of errors and the accuracy standards suck unblock May 2012 #8

This is why I posted this. Credit checks shouldn't affect people but they are. Credit Reports Justice wanted May 2012 #10

yowza, hope all the medical problems are behind you. unblock May 2012 #28

Thank you. Justice wanted May 2012 #29

I was talking to a mortgage guy ashling May 2012 #9

Credit scoring isn't that black and white. Ruby the Liberal May 2012 #3

Yes, I realize late payment and missed payment affect credit BUT The first example I gave of my Justice wanted May 2012 #6

Sorry, but there is no possible way a FICO score would move 650 points due to inquiries. bluesbassman May 2012 #11

He can't image what else other than inquieres did that. He was always on time with payments-usually Justice wanted May 2012 #16

Something is certainly wrong then. He should contact the Credit Bureaus to investigate. bluesbassman May 2012 #22

A judgement against him, perhaps? Stargazer09 May 2012 #80

I had a foreclosure and owe a CC company about $1000.. tridim May 2012 #70

i'll agree that credit pulls for employment is a poor boss's crutch. unblock May 2012 #13

unsolicited credit offers ashling May 2012 #12

unsolicited lenders are allowed to use a limited credit pull that doesn't affect your score unblock May 2012 #15

You have the right to block them. Ruby the Liberal May 2012 #26

I'm not talking hundreds of points, ashling May 2012 #33

Sorry - was referring to the original comments Ruby the Liberal May 2012 #36

What's the saying, if you owe the bank $150,000 they own you, ashling May 2012 #43

Yeah, it is - and when you have that kind of cash Ruby the Liberal May 2012 #55

You can go to the FTC website and opt out of unsolicited offers. Fuddnik May 2012 #40

I'll certainly follow up on that, ashling May 2012 #46

double kick!!! Liberal_in_LA May 2012 #5

Great bullshit post joeglow3 May 2012 #14

I AM NOT MAKING THING UP! Justice wanted May 2012 #18

Yeah. He went from 100% perfect score to the only person 100 points below the minimum. joeglow3 May 2012 #27

No, but this story is wrong or missing MAJOR details REP May 2012 #62

"I AM NOT MAKING THING UP!" A-Schwarzenegger May 2012 #77

No fair! sibelian May 2012 #83

I will gladly A-Schwarzenegger May 2012 #86

I agree guardian May 2012 #32

My understanding is that all 3 use the same basic FICO model joeglow3 May 2012 #37

I think there are some differences. guardian May 2012 #42

While the poster, or the poster's friend, obviously got the numbers wrong, Egalitarian Thug May 2012 #50

We know the poster was discussing the impact of credit checks joeglow3 May 2012 #87

There is a woman Control-Z May 2012 #17

hmmm, Maybe this is something my friend should into if someone has a name similar to him OR Justice wanted May 2012 #19

I hate seeing threads like this that spread misinformation. slackmaster May 2012 #20

I am not misinforming people. Your credit score is affecting you more than you THINK! Justice wanted May 2012 #21

I am sure my credit score impacts much more than I am aware of, bighart May 2012 #24

I'm very well aware of how Bank of America has messed up my credit scores through false reporting slackmaster May 2012 #25

The story you're telling is missing details and is wrong in others REP May 2012 #64

That is not how credit scores work. First there is a difference between hard and soft credit checks WhollyHeretic May 2012 #23

I have no data to back this up but I strongly suspect that credit ratings are jimlup May 2012 #30

Not Capitalism. The problem is Fascism. slackmaster May 2012 #34

Corporate and state rule magic59 May 2012 #82

I agree. There is also a very insidious use here as well Horse with no Name May 2012 #31

The OP is urban myth and hysteria guardian May 2012 #35

Pretty much. 850 score, for one, is suspicious; 850 to 200 from score being alone pulled is fantasy REP May 2012 #61

Divorce itself can be a major "event" that affects credit scores SoCalDem May 2012 #38

Hello Consumer Financial Protection Bureau bl968 May 2012 #39

Such a rule already exists. See � 614 of the Fair Credit Reporting Act. slackmaster May 2012 #44

If employers didn't find useful information, they would not pay to do the credit check FarCenter May 2012 #41

"irresponsible in one aspect of their life is likely to be irresponsible in other aspects" guardian May 2012 #48

and for financial companies, a good credit rating is an indication of "something left to lose" magical thyme May 2012 #56

Then maybe it would be wise for all potential employees to do a credit check blackspade May 2012 #57

That's a very good idea FarCenter May 2012 #59

Maybe not? guardian May 2012 #66

Well thanks! blackspade May 2012 #74

I don't disagree. guardian May 2012 #78

Nice job pissing on the working class there. Zalatix May 2012 #67

Your credit score is an indicator of how valuable you are to a creditor. rucky May 2012 #75

I imagine Bernie Madoff and Ken Lay had outstanding credit ratings... LanternWaste May 2012 #84

While I agree that Credit Checks are a Problem, OP is Incorrect on One Point Indykatie May 2012 #45

How about either requiring credit rating agencies to publicize their criteria Egalitarian Thug May 2012 #47

Their criteria are published and well-documented. Their specific algorithms are proprietary. slackmaster May 2012 #49

No they aren't. What is "public information" are vague guidelines with no specific Egalitarian Thug May 2012 #51

The courts have ruled that credit agencies and lenders CAN have private actions brought against them slackmaster May 2012 #53

I've been down that road myself, I can certainly understand your dilemma. Egalitarian Thug May 2012 #63

Bank of America is clearly in violation of the California Civil Code in my case, but I doubt... slackmaster May 2012 #65

I'm afraid you can "bank" on it. Too many of "our" representatives have made fortunes Egalitarian Thug May 2012 #89

The worst case for me is the fraudulent derogatory credit ages off slackmaster May 2012 #90

Orange Julius used to play for the 76ers. Major Hogwash May 2012 #52

I've often wondered why a credit check negatively affects the credit score. KansDem May 2012 #54

People who have made numerous application for credit are statistically a bit more likely to default slackmaster May 2012 #58

Thanks KansDem May 2012 #79

You don't go from 850 to 200 from having your credit score pulled REP May 2012 #60

I run credit ratings every day. The op is bs. NCTraveler May 2012 #68

YOU KNOW FOR ALL THOSE PEOPLE WHO CLAIM I AM TALKING OUT OF MY ASS I WILL TELL YOU Justice wanted May 2012 #69

I used to work Credit and Collections for SWBell. Credit reports don't work that way. REP May 2012 #71

RE post 69: "I AM TALKING OUT OF MY ASS" guardian May 2012 #72

Sounds like post hoc ergo propter hoc slackmaster May 2012 #76

This thread is exemplary of something I see often. lumberjack_jeff May 2012 #81

Its definitely a reflection of the power the private sector can wield. napoleon_in_rags May 2012 #73

I pay for monthly credit reports on myself mainer May 2012 #85

Get it out of employment...Period!! Left Coast2020 May 2012 #88