Managing Your Credit Scores

July 27, 2021 Posted by Andre Hemmersbach

Managing your revolving accounts is a tricky situation as it relates to your credit scores. For example, you may think it impresses the FICO scoring algorithm to max out your credit cards/store cards and to make your payments on time. That action will cost you interest and crush your scores.

The reality is you get penalized if you are using them too much (FICO penalty code 10); you get penalized if you don’t have any (FICO penalty code 15 & 16); you get penalized if you have them but are not using them (FICO penalty code 24); you get penalized for having too many or too few (FICO penalty code 3, 4 & 26) and you also get penalized by using a few of them at once even if it’s not very much (FICO penalty code 5).

Call me to set up a no obligation consultation to discuss what steps you need to take to increase your credit scores in preparation for purchasing your dream home.

About Andre Hemmersbach

Andre Hemmersbach has been working in the mortgage banking business for over 30 year helping people successfully finance their real estate holdings. He can be reached at (310) 540-1330 #137.

Leave a Reply

Your email address will not be published. Required fields are marked *

*