UnThreaded | Threaded | Whole Thread (12) | Ignore Thread Prev | Next
Author: y00perman One star, 50 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 308858  
Subject: Impact of a derogatory-FICO Date: 10/28/2003 12:29 AM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 16
I did not realize, until I pulled credit scores for both my wife and myself, the impact that ONE derogatory factor can have on a FICO score. We have 8 joint accounts(CC), besides the mortgage, and all showed up on both of our reports. I have 2 other accounts, one which is paid off monthly and another which is a 0% balance transfer for 50% of my credit limit and will be paid off before it expires.Her FICO score was 761 and mine was 679. I believe that the difference was the one negative factor that is on my report but not hers. That was a $97 veterinary bill that was not paid for 6 months due to a conflict between myself and the doctor about the pet treatment. He reported the nonpayment but I paid it off the next month after it went to collections. That was in 1997. It will remain on the report until 12/2004. A difference of 82 points for one negative! For all of you newbies on this board please make sure you avoid the derogatories. It really hurts your FICO score. I would also like to report that since I joined this board in early 2001, I have reduced the $41,000 CC debt to $23,000 so far. I have also established an E-Fund that was $0 in 2001 to $14,300 as of today. That might seem like an E-Fund that is excessive but once I started it I could not not stop. I know I could wipe out a lot of the debt with it but I am reluctant to do so because my APR's are so low. Average APR on all CC's is 1.79%. My highest is 4% and my lowest is 0%. I owe it all to you people on this board. You are all intelligent and well-versed in financial matters and I have listened to everything that was important. Yes, I have a good paying job, but I have had one for 20 years! I can't believe I wasted 18 years of my life wasting money! Anyway, I have a question for anyone that is still reading this. My E-Fund is spilt 90%-10% between ING-Direct and Virtual Bank at 2% and 2.2% respectively. Should I take a chunk of the E-Fund and really cut into the debt or keep the E-Fund stable and redirect the savings I put away each month($500)towards the debt? I am having a very hard time NOT adding to the E-Fund! Maybe I should just be doing a happy dance. I hope this board never dies while I am alive. Thanks for your replies in advance.
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (12) | Ignore Thread Prev | Next

Announcements

TMF Credit Center
The Motley Fool Credit Center arms you with real tools and simple messages, that will help you in every credit situation.
Pencils of Promise - Back to School Drive
"Pencils of Promise works with communities across the globe to build schools and create programs that provide education opportunities for children."
Post of the Day:
Value Hounds

Considerable Headwinds for Profire Energy?
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement