Girl Claims She Can't Buy A House After Getting A Home Depot Credit Card

[JOSweetHeart]

Go here for the story. Forgive me for my lack of experience, which could very well be a good thing maybe, but what is it about these department store credit cards? If her new card was never once used, what gave it the ability to make her credit score take such a hit?

God bless you and the girl always!!!

Holly

 

[Meister]

Too many open credit cards?

 

[Canon Shooter]

Opening a new credit account can certainly hit your credit score. By how much? I dunno'.

The story is a bit confusing, though. I get the impression that she was buying some paint, and may have used a Home Depot card to do it. That's how it reads to me, anyway. If that's the case, she would've received a bill. If she neglected to pay that bill, I've no sympathy for her...

 

[Dont Taz Me Bro]

Too many open credit cards?

Having too much available credit won't hurt your credit score. It's how much of it you've used to overextend yourself.

 

[Meister]

Having too much available credit won't hurt your credit score. It's how much of it you've used to overextend yourself.

Without knowing all the facts, I do know that having too many open credit cards that are recently
opened does have impact on the score.

 

[woodwork201]

When I bought my last truck on 0 percent interest, my credit score dropped 100 points from 820 to 720. It went back up gradually over two years. Since I don't depend on credit to live I also didn't really care about the drop; I knew it would go back up but I will admit, I was very surprised at the big drop.

 

[Slade3200]

When I bought my last truck on 0 percent interest, my credit score dropped 100 points from 820 to 720. It went back up gradually over two years. Since I don't depend on credit to live I also didn't really care about the drop; I knew it would go back up but I will admit, I was very surprised at the big drop.

You took on a pretty big liability and depreciating asset with the truck. Makes sense that your score would drop, right?

 

[Dont Taz Me Bro]

Without knowing all the facts, I do know that having too many open credit cards that are recently
opened does have impact on the score.

Credit inquiries have a negative effect on your score, but it's so small it's insignificant. It certainly isn't going to prevent someone from buying a home. From what I gathered reading the article, she opened a credit card at Home Depot, bought a $9 dollar can of paint, and then completely forgot about it and never paid her bill, so she defaulted. There is no explanation as to why she forgot her bill, if she never got it in the mail or never paid attention to the email that it was due, but nonetheless it was her own fault.

 

[Harpy Eagle]

When I bought my last truck on 0 percent interest, my credit score dropped 100 points from 820 to 720. It went back up gradually over two years. Since I don't depend on credit to live I also didn't really care about the drop; I knew it would go back up but I will admit, I was very surprised at the big drop.

The whole thing is one of the biggest scams going. How did we the people ever agree to give so much power to private, for profit, entities over our lives?

 

[petro]

Funny thing about credit scores. Sometimes they rise with a long term loan.
When I paid off my vehicle early a couple years ago it dropped nearly 80 points. Just got a new loan on a camper and it just jumped up 60 points.

 

[Harpy Eagle]

You took on a pretty big liability and depreciating asset with the truck. Makes sense that your score would drop, right?

Not really, as long as he is paying his bills. Why should using your credit harm your credit? Makes no sense at all

 

[justinacolmena]

Having too much available credit won't hurt your credit score. It's how much of it you've used to overextend yourself.

Bullshit. If you're on the federal gun ban list, you don't get credit at all. "Thin file" or poor credit if you have any accounts open at all. Mostly medical debts to pay the shrink-head psychiatrist who went to court to revoke your gun rights and the cops want a share of your income, too, since you depend so much on them.

 

[woodwork201]

You took on a pretty big liability and depreciating asset with the truck. Makes sense that your score would drop, right?

Absolutely. The purchase tripled my total credit lines and brought my used credit up from basically 0 to 2/3 of my credit line, all in one fell swoop. When you think about it by the numbers, the way credit reporting companies do, it makes sense.

So even at zero interest, you have to think about the effects of buying something on credit.

 

[Meister]

Bullshit. If you're on the federal gun ban list, you don't get credit at all. "Thin file" or poor credit if you have any accounts open at all. Mostly medical debts to pay the shrink-head psychiatrist who went to court to revoke your gun rights and the cops want a share of your income, too, since you depend so much on them.

What???????

 

[westwall]

You took on a pretty big liability and depreciating asset with the truck. Makes sense that your score would drop, right?

No, it doesn't. Your credit rating shoukd be based on how well you pay yoyr bills.

 

[Slade3200]

Not really, as long as he is paying his bills. Why should using your credit harm your credit? Makes no sense at all

Higher liability means higher risk

 

[Meister]

No, it doesn't. Your credit rating shoukd be based on how well you pay yoyr bills.

Welllll, I had some big ticket items that I used my airline CC instead of my debit card to get the mileage, and it took 15 points
off of my FICO score. I paid it off the next month and the score went back up. I have and always had excellent credit, I'm in the
800+ range. So it does have impact from the balances.

 

[woodwork201]

The whole thing is one of the biggest scams going. How did we the people ever agree to give so much power to private, for profit, entities over our lives?

I would say that they have no power if you don't buy on credit but that's not true. I have to agree to a credit check to get a job. I hate to say it but I have forgotten where else. I had to agree to a credit check for something else in the last couple of years and I don't remember why.

Credit scores are key to many aspects of modern life.

I look at why I can't get my credit score up to the max of 850. The number 1 suggestion on the credit reporting sites for increasing my score is to have a recent history of real estate purchase - my house has been paid for for 25 years. If you don't participate in the financial arena in the way that those companies want you to, you're not going to participate in society at all, if they had their way.

Edit: Oh, I remember the other place I had to have a credit check: changing my car insurance. Expensive advertising costs money, even when the star is a lizard. They need to be sure you can pay. In fact, the price of my insurance was related to my credit score. Luckily, I had this insurance before I bought the truck and, as far as I know, they didn't check it again when adding the truck.

 

[Harpy Eagle]

Higher liability means higher risk

If one has not missed any payments or gotten behind, there is no higher risk. We should not be punished for using the credit we worked hard to cultivate.

 

[Slade3200]

No, it doesn't. Your credit rating shoukd be based on how well you pay yoyr bills.

How well you pay your bills is a factor but not what the entire score is based upon. The amount one is leveraged is also a significant factor