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Post by mightyme on Jul 14, 2014 22:36:27 GMT
Anyone have any experience with credit, insurance scores? The more credit cards you have. The higher your credit score, but lower your auto and homeowners insurance score.
I applied and got a low available credit, card. My credit score jumped 15 points. But my auto insurance score dopped 43 points. Home owners insurance dropped 4 points. This is so ridiculous.
how do you balance them? For those with a lot of credit cards. I would assume your insurance scores are low. Even though your credit score may be high.
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Nink
Pearl Clutcher
Posts: 4,955 
Location: North Idaho
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Post by Nink on Jul 14, 2014 22:45:02 GMT
I hear ya. I have 4 credit cards, no house payment (I rent) or car payment. But I get dinged on my credit score because I have so few credit cards. I have 100% of on time payments. Isn't that what they should be looking at. It gave me a graph of how other users compared to me and the ones that had the highest credit scores had 21 or more lines of credit open.  |
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Post by mightyme on Jul 14, 2014 22:59:04 GMT
I hear ya. I have 4 credit cards, no house payment or car payment. But I get dinged on my credit score because I have so few credit cards. I have 100% of on time payments. Isn't that what they should be looking at. It gave me a graph of how other users compared to me and the ones that had the highest credit scores had 21 or more lines of credit open. yes, I saw that if you have 22 or more cards it was an a+. REALLY?!? Some credit is good, that much is to much . IMO I really would like to see what some with 22 credit cards. what their insurance scores are. |
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Deleted
Posts: 0
Oct 5, 2024 13:23:57 GMT
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Post by Deleted on Jul 14, 2014 23:05:16 GMT
Your insurance scores because you reduced the average age of your accounts and you sought new credit. Insurance scores are affected more significantly by those factors than your credit score. The insurance score will rebound quickly.
Just be prudent with your credit - pay your bills on time, have a mix of accounts (credit cards and term loans), and don't let your utilization on your revolving credit get above 30%. Don't obsess about your score. If you do those things, your credit and insurance scores will be fine. It's common for them to fluctuate month to month.
22 lines doesn't mean 22 credit cards. It can also be mortgage, auto loans, student loans (which often report as multiple separate accounts), etc..
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Nink
Pearl Clutcher
Posts: 4,955
Location: North Idaho
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Post by Nink on Jul 14, 2014 23:38:33 GMT
I hear ya. I have 4 credit cards, no house payment or car payment. But I get dinged on my credit score because I have so few credit cards. I have 100% of on time payments. Isn't that what they should be looking at. It gave me a graph of how other users compared to me and the ones that had the highest credit scores had 21 or more lines of credit open. yes, I saw that if you have 22 or more cards it was an a+. REALLY?!? Some credit is good, that much is to much . IMO I really would like to see what some with 22 credit cards. what their insurance scores are. Agreed. That would be way too much in my opinion. heck, I wouldn't even be able to keep track of the due dates for that many cards. Crazy. |
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Post by mightyme on Jul 15, 2014 1:17:49 GMT
Your insurance scores because you reduced the average age of your accounts and you sought new credit. Insurance scores are affected more significantly by those factors than your credit score. The insurance score will rebound quickly. Just be prudent with your credit - pay your bills on time, have a mix of accounts (credit cards and term loans), and don't let your utilization on your revolving credit get above 30%. Don't obsess about your score. If you do those things, your credit and insurance scores will be fine. It's common for them to fluctuate month to month. 22 lines doesn't mean 22 credit cards. It can also be mortgage, auto loans, student loans (which often report as multiple separate accounts), etc.. Actually it said credit cards. The loans actually decreased credit score. But i forgot that Kredit karma score isnt the actual Fico score. So i wonder if the insurance scores are even correct. The problem is getting a ding on insurance scores when trying to increase credit score. How long does it take insurance scores to go back up? is it from the credit card or that they ran a credit check? |
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Post by mightyme on Jul 15, 2014 1:18:18 GMT
Your insurance scores because you reduced the average age of your accounts and you sought new credit. Insurance scores are affected more significantly by those factors than your credit score. The insurance score will rebound quickly. Just be prudent with your credit - pay your bills on time, have a mix of accounts (credit cards and term loans), and don't let your utilization on your revolving credit get above 30%. Don't obsess about your score. If you do those things, your credit and insurance scores will be fine. It's common for them to fluctuate month to month. 22 lines doesn't mean 22 credit cards. It can also be mortgage, auto loans, student loans (which often report as multiple separate accounts), etc.. Actually it said credit cards. The loans actually decreased credit score. But i forgot that Kredit karma score isnt the actual Fico score. So i wonder if the insurance scores are even correct. The problem is getting a ding on insurance scores when trying to increase credit score. How long does it take insurance scores to go back up? is it from the credit card or that they ran a credit check? I know right. LOL |
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