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A new study from credit analytics company SubscriberWise revealed that less than two tenths of one percent of the scorable population achieved the highest possible Fico score.

So just who are these consumers with 850 Fico scores anyways?

Well, the company found that the median age of these credit-elites was 61, having a birth year all the way back in 1950.

The oldest person to achieve credit score-perfection was born in 1922, while the youngest was born in 1967.

In other words, it takes a while to achieve a perfect credit score, even if you’re doing everything right.

This probably has to due with the fact that credit scoring takes into account the length of a consumer’s credit history, including the age of their oldest account on their credit report, whether it’s opened or closed.

So you really need to build your credit history early on to ensure you have excellent credit in the future.

Simply paying bills on time, keeping balances low, and applying for new credit sparingly won’t be enough for that perfection you seek.

Some gray hairs also seem to be a necessity…

For the record, the SubscriberWise study was based on data from a quarter of a million credit reports, so it seems pretty thorough.

Tags: Fico Score, Possible Fico, Possible Fico Score, Score

If you didn’t already know, there are five main factors that determine a Fico score.

They include:

- Payment history – Amounts owed – Length of credit history – New credit – Types of credit

Now that we know what’s in a Fico score, let’s find out more about “what’s NOT in a Fico score.”

Your race, ethnicity, national origin, sex, and martial status do not affect your credit score, per the Consumer Credit Protection Act.

Your age is also not a determinant of a Fico score, though other types of credit scores may use it.

Your salary, occupation, title, and employer are included in your credit report, but do not affect your actual Fico score.

However, banks and lenders may use this information against you as part of their own underwriting decisioning.

Additionally, a Fico score does not take into account where you live, the interest rate being charged on your accounts, or any items reported as child/family support.

Rental history doesn’t affect Fico scores either, but now affects VantageScore.

Finally, certain types of credit inquiries don’t count against you, such as those initiated by you and those initiated by employers and insurance companies (will a credit check lower my score?)

And as a rule of thumb, if it’s not on your credit report, Fico doesn’t use it.

It will look like you’re attempting to obtain credit and as a result, could lower your credit score.

Get all 3 credit scores instantly for free for 30 days without worrying about a credit score ding.

Tags: Fico Score, Score

I recently took a closer look at the so-called “Fico Score Simulator” offered up by Fico, founder of the all-knowing and all-powerful Fico score.

The tool essentially allows consumers to determine which actions will improve their credit score the most, instead of simply guessing.

You can gain access to the Fico Score Simulator if you purchase your credit report from the company, but they offer a sample to give us some insight.

Their sample went with a base 707 Fico score, which I consider “good credit” in my credit score range.

But suppose you needed that score to be higher to qualify for a mortgage or obtain auto loan financing.

Well, the Fico Score Simulator says your best course of action would be to pay down 90-100% of your credit card balances over the next 24 months to raise your credit score to between 757-777.

This action would help you in two ways – you’d have lower credit utilization and deeper credit history on the associated account(s).

But two years is a long time to wait for such an improvement. The simulat

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Tags: Fico Score, Fico Score Simulator, Score Simulator, Simulator

There is some confusion with late mortgage payments and how they affect credit report and FICO score. You have to understand that if a payment has not been received by the due date, mortgage is technically considered delinquent, but a late mortgage payment is not going to harm either your credit report or your checkbook, as long as you are late within 15 day grace period. While all mortgage payments are paid in rears and due on the first of the month, e.g. your February payment is due March 1st, the lender does not do anything if payment is received by March 15.

If you are late on your payment by more than 15 days but less than 30, a late charge of 5% of the payment will be assessed if provided for in the mortgage note, and every mortgage note I have seen had such a provision. So if you make a late February mortgage payment of $1,000 on March 18, you will get a $50 late charge. Nothing shows on your credit report and your credit score does not suffer.

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Tags: Credit Report, Fico Score, Late Mortgage Payment, Score