Comments on: FICO Risk Factor Reason Codes

By: jojo

jojo — Tue, 17 Jan 2012 20:57:54 +0000

I hope you can help explain my reason codes. Reason codes 2 through 4 makes no sense to me for my credit history. I understand #1 as it is due to a foreclosure of a rental property. Even with the foreclosure we have a credit score of 724.

#2. “The age of accounts in your credit file.” I have over 30 years of credit history and the oldest shown is an installment loan opened in 1994 and closed paid off in 2005. At least half are current revolving accounts.

#3. “There is insufficient information, or no account history, for mortgage accounts.” While we are currently mortgage free and own our home outright, we have mortgage history showing on our report as recently as 2009.

#4. “The length of time there has been account activity in your credit file.” We use credit cards daily.

Do the reporting companies always use four reason codes, even if they don’t really affect the score?

By: CL Jones

CL Jones — Sun, 21 Aug 2011 15:03:58 +0000

Also people remember the “Mark of the Beast” referred to in christian teachings? FICO, Experian, Equifax, Transunion and other affiliated groups are gathering more and more into this paradox by simply forcing them to continue support of the Scoring System which dictates how much and if a person can purchase in the USA and other countries.

“He causes all, both small and great, rich and poor, free and slave, to receive a mark on their right hand or on their foreheads, and that no one may buy or sell except one who has the mark or the name of the beast, or the number of his name.” Revelation 13:16-17

Consider,while you are not to know what does credit scoring imply if you allow it to continue?

By: CL Jones

CL Jones — Sun, 21 Aug 2011 14:58:02 +0000

Strangely society has allowed credit repositories and FICO to control their lives by placing them in a proverbial caste system.

Employers pay substandard wages and inflate prices that literally force potential negative acts among conumer purchase.

Example:

Home Purchase = $100K
Interest 6% (Compounded)
Mandatory Insurance Products (inflated in favor of merchant and disfavor consumer)
Auto Purchase price (Outrageous)
Auto Usuary interest paramounted to 21% or more driving up cost and hurting economic conditions with a flood of subprime lending products.
Education Loans are out of sight, with average student debt exceeding $35K
Health Insurance out of the park
Auto Insurance – Mandatory and inflated by greed by forcing credit scoring as a tool
Rental rates exceeding 60% of the average workers income – driven by greed.

What happen to the American economy where people believed in people and not computer generated scores that make a few rich and devestate the American economic system?

Force them out of business stop buying on credit, stop purchasing their products (i.e; reports, scores, protection…)they only produce these products to favor their benefit not the consumers.

It is time for America to take control of its own finances and drive greedy credit and predatory practices out of the game.

By: Beth

Beth — Thu, 20 May 2010 22:33:15 +0000

im trying to build my credit. any tips on how to do it?

By: Beth

Beth — Thu, 20 May 2010 22:29:07 +0000

So I have to wait 7 or so years to get a credit card? I do have a bank loan with my husband.

By: Jim

Jim — Tue, 18 May 2010 02:29:04 +0000

#1 won’t go away for 7 years and it can’t be because someone wrote you a bad check, it has to be because you borrowed money and failed to pay it back. #2 means you don’t have any recent bank loans and #3 simply means you haven’t had a long history of credit.

By: beth

beth — Mon, 17 May 2010 22:08:33 +0000

I just applied for a credit card and got denied. These were the reasons i got denied.
1. derogatory public record or collection filed
2. lack of recent bank revolving information
3. length of time accounts have been established.
The reason for the collections is because someone wrote me a bad check and it went to collections. How long will that go away? What do 2-3 mean. Im new to credit cards. I thought that since I had loans out, my credit was good. confused**

By: LD

LD — Mon, 12 Oct 2009 01:06:01 +0000

thanks a lot for the info. that will came in handy for me.

By: nick

nick — Mon, 24 Aug 2009 01:22:15 +0000

i guess since you are in a payment program you better pay down those as promised.

By: Cathy

Cathy — Mon, 24 Aug 2009 00:55:36 +0000

When i got into a jam with credit card debt and the amounts they wanted to catch them up went up daily, I entered payment programs with some of them to get set automatic payments and lower interest. As a result they closed the accounts. I have recently gotten a non secured personal loan and would like to consolidate most of my accounts. Does it help my score more to pay off the closed ones to reduce the number of accounts or pay down the open ones to increse my available credit?

By: Jean

Jean — Tue, 18 Aug 2009 14:22:58 +0000

Thanks for responding, Equifax will not move my HELOC to mortgage spot instead of revolving credit. The part that bothers me it’s not descripitive that’s it’s for my home because I don’t have a mortgage on it. It looks like I have a credit line of 175,000. and no home to back it up.It must lower a FICO instead of a mortgage listed on the report. Anyone know? Thanks.

By: Jim

Jim — Tue, 18 Aug 2009 14:07:50 +0000

You should try to consolidate the cards if you have multiple cards from each issuer, that could reduce the number of credit cards you have but should not hurt your score (as long as you consolidate newer cards into older ones).

By: ellen in VT

ellen in VT — Tue, 18 Aug 2009 14:02:34 +0000

I have a fico score of 790. But my car and home owner’s insurance company charges me extra because of my credit report. (They include a notice of adverse action with the bill.) The reason – I have too many credit cards (even though most aren’t used).

By: nick

nick — Mon, 10 Aug 2009 04:24:59 +0000

i dont think there is an optimum number. i would think that it’s more of flag to see how thick your credit file is. for eg if the number of established accounts is 0 (or 1) then you are considered new to credit and would be ‘priced’ (apr,credit limit etc) accordingly.

By: Mike

Mike — Mon, 10 Aug 2009 00:57:40 +0000

Some in the list are obvious, but others like:

Number of revolving accounts
Number of established accounts

are not so obvious. Do these mean too many, too few? What is the optimum number of accounts?