Multiple hits on credit is no longer that bad issue it once was. There are circumstances where it is like if they see you applying for too many credit cards etc. Having said that now adays just about any large purchase you make there is the availability of competing loans. SO when you apply for a mortgage or whatever there are multiple hits.

The reporting agencies have much better algorithms now so they are able to differentiate between someone "begging" for credit and someone being sensible and looking for a better deal.

I have outstanding credit and always "shop till I drop" when applying for it. A basis point here or there matters over the long run and I figure since I have worked hard to maintain perfect payment history I might as well make them "beg" me by giving me lowest rates possible.

Also make sure you loan doesn't have early payment penalties and everytime you have extra cash lying around make extra payments OR save it for a rainy day. When you look back on your life you'll be surprised how many rainy days come along. I typically throw an extra 100 or 200 into my payment since it is through my bank. You'd be surprised how fast that gets you above water.

I know I'll get thrashed for it but at 24 discipline is important and mods and play pretty stuff on your Corvette should be the LAST thing you do with extra cash.

 

 

well i just pulled my credit.

Experian score was 735
Transunion was 710


I couldnt pull equifax because for some reason it wouldnt let me.

I have no past due payments or anything listed as being potentionally negative on my reports, however i do have open accounts on my credit report that i have no clue what they are. My guess is that they are credit cards i open up years ago(when i was 18) that i used and payed off, then never used again.

The accounts are in good standing, but there hasnt been activity on them in years. I only have 2 cards now that i currently use.

Anyways, i'm not sure if i should go ahead and get all those other accounts removed, or just leave them on there. They are not hurting me now, but my concern is that if i lost the card or something along those lines, i dont want it falling into the wrong hands and having someone going on a shopping spree completely ruin my credit.

Aparently i have 6 open accounts, and as you can imagine, i was shocked because i only literally have 2 credit cards.

Advice?

 

I also look around a lot for the best rates and it hasn't hurt my credit score. Get the car, enjoy it and leave it alone. There are much better places for your money than mods.... but I think a vette at your age is a very

 

On the service you pulled there should be a form to fill out to contest or have credit issues looked in to. I BELIEVE you can also have them contact and cancel those LOCs (lines of credit) if you have 6 active accounts and only use two if you close down the other 4 your score should rise dramatically. The 735 should become 750 or better and the 710 should be above 730. TransUnion is the tougher of the two in their modelling and I understand is often the most relevant. Unused LOCs are big time points. Generally though you seem to have really good credit but cancel those before you make any deals. If you can get it raised a bit it will save you some money.

You definitely want to either use a form if available to concel or look on the sheet it should have contact numbers for those issuers either way get rid of them. You also want to ensure they are in fact your accounts and not ID theft. If you find out it is ID theft or suspect it is PM me I investigate a lot of ID theft cases so I can point you in the right direction to fix it.

 

I deal with this all day. Equifax is the major credit reporting agency first off. Second you need to have open a minimum of three lines of credit on your credit report and all must be in good standing. Your credit score is excellent so have no worries with that. Now that you have paid off your cards, leave them open. Your credit score will go up even more because you will now have a lower debt to income ratio and your revolving account balances will be at a minimum. Leave them open...i repeat. I'm 24 also, make great money on commission in the banking industry and support your decision to get a Vette. I love my C6 and have absolutely no regrets.

 

so leave those accounts open or closed? i'm getting mixed opinions here....

 

IMHO...leave them open and use them a little bit. Just pay off what you use. An active account with little or no balance is better then a closed account or an open account with no activity!

 

^-----Exactly right !

Leave them open with a little or no balance. They will bring your credit score up higher than if you just close them out.

 

Go to your bank or CU and get pre-approved for a loan.

See is the dealer's finance guys can beat the rate you received.

Take care not to pay any placement fees, orig fees, or application fees. They can obscure the true APR by adding that crap on.

Send me a PM for more help

 

AS YOU SHOULD..... Do not close an account just because you are no longer using it that is a NO NO If the account was a LOAN it will be closed anyway as paid as agreeded.... REVOLVING CREDIT like credit cards will post everymonth as paid as agreeded and if you have a zero balance they will still do the same..... TO GET GOOD CREDIT YOU MUST USE IT.... Get back and read about credit basics.... They will tell you do not close the accounts.... Just keep in good standing.... Look at it this way..... You have several open accounts (5) and they see your balances as zero and you pay on time great, the other guy they look at has 20 open accounts in the same position..... they can see that the other guy is has a lot going on there and is keeping up with his/her payments.... I am not saying go open up a ton of credit lines.. but a FACT

On revolving credit cards do not get close to your maxium limit..... The more you have available that you DO NOT USE THE BETTER.....

result is REVOLVING CREDIT the more you use to your max limit the harder it will hurt you score....

THE LONGER YOU HAVE ESTABLISED CREDIT WITH ANYONE THE BETTER.... Even if you do not use it..... keep the open accounts that you do not use and if you will look at them they are posting PAID AS AGREEDED each and every month and that is what you want.... 1 credit card that has a limit of 5k for example and you have 4k charged to it VS 2 credit cards with the same limit but 2k on each will will affect your credit score the least..... Sometimes getting another credit card will increase your score.... do not do anything like close these accounts they are your friend..... take the time and read like on aol the credit basics and you will learn a lot.... You have good scores... The average American credit score is 678 or so..... You should be in the 15% of probable default and when you get to 725 and above I think it moves to 5% of probable default on a loan or a late payment.... There are a lot of factors that make up your score, types of credit used,length on job, length of credit history, How much you use on your cards every month vs credit available to you. Some people think just because they pay everymonth is ok and it is but bu the time the creditor post the account you may have charged close to maximum every month and you always show a balance.... No one see's that you paid every month the whole balance cause you are always using it.... You say one score is 735 and Trans union is 710 find out why trans union is different... You will probably find that they do not show 1 account that the other is using.... I do know that more times than not trans union will usually show a lower score.... If you dispoute 1 error from Experian for example you must do the same to the other three or 1 may come off and the other 2 will stay on... Well enough of me rattin on here but take your time get information and apply what you have learn young grasshopper....

Credit is hard to get but easy to lose......

 

ok guys thanks for the advice. i will leave the accounts open. 6 cards seems like a lot to me though. I thought if you had more then 3, regardless of wether you were on time with your payments and had zero balances, it still affected your credit.

I guess i'll have to call these creditors and have them send me new cards so i can at least have them and use them once in awhile for small purchases then pay them off right away so i get more of the positive affects of having open accounts that are active with little to zero balances.

 

Use credit to gain credit!
Show that you pay your cc bills on time and that will get you a better score.
Now go out and get a credit card and pay it off every month, and don't be late!

 

Hey boss go research this for yourself. I have and trust me having open LOCs that are not used potentially will be counted against you. This is how they will view it. They will look at worst case scenario. If you have 6 LOCs and each has a 5K limit and you make 40K a year. Guess what they will see you as a potential problem. They are not going to say oh lookie he has 6 cards low balances, he is good to go. They will say ok he has low balances (good) BUT if he goes nuts and spends crazy what will his ability to pay us back look like. If you have 6 cards and when maxed out you are not making enough and have a car loan etc. they will consider you a risk to default.

Length of credit is the least considered of the 3 things they look at. And credit history over 2 or 3 years if it is flawless will be pretty good at least enough to keep that part of the equation low. If I remember correctly you have more than 2 years with credit cards. Remember the TOTAL of your lines of credit is what REALLY matters not how many cards you have. Your ability to pay back all creditors on time when maxed out is what they consider the most.

I have excellent credit and have two credit cards. I personally don't see a need for 6 cards and I think according to your last post you know that too.

Ultimately go read up on it. Credit is one of the more important things an adult can have it is good to get it right the first time. Remember they don't give credit to be nice they do it to make money and are risk adverse, so they are looking for any excuse they can to boost your percentages by a few basis points here and there. Good luck