FICO/credit scores after retirement?

[RealAvalon]

A couple of notes as this is a hobby topic of mine:

 

• Even if you were to close every credit account you have, it would continue to report on your credit report for up to another 10 years. (Bad info such as late payments have to be removed after 7.5 years.)
  
• You can view your credit report for FREE and without any impact to your score by visiting www.annualcreditreport.com and requesting a report from each of the big 3 bureaus.
  
• In terms of scoring, various behaviors represent how many points you have (or not awarded). Details can be found at: https://www.myfico.com/credit-education/whats-in-your-credit-score
  
• For MAXIMUM scoring in the "Amounts Owed", you would want to have each revolving trade line (such as a credit card) report a $0 balance except for ONE which would report less than 10%. (The statement should be generated at $0. For the statement generating with less than 10%, you can immediately pay it off after it reports and not incur interest). This technique is referred to as "All Zero Except One".
  
• If you're trying to maximize your score, you should have at least 3 revolving accounts reporting. (Having at least three accounts gains a few extra points which tend to be more than penalties associated with lowering the Average Age of Accounts and the inquiry ding).
  

Doesn't your score go down if it is being checked frequently (e.g. shopping around at mortgage renewal time)? I know this is just a blip in the score probably, but you seem like you might know stuff like that.

[+ sniper]

People checking their own score does not count as a "hit" - the inquiries that are counted are when borrowers look to process an application.

[+ BenjaminNicholas]

People checking their own score does not count as a "hit" - the inquiries that are counted are when borrowers look to process an application.

 

Correct. It's known in the industry as a soft-pull.

 

(I'll wait for the snickering to die down)

 

Credit scoring is confusing and secretive because it makes the Big Three a lot of money. A shit ton, actually. In turn, they lobby politicians for a mostly hands off approach unless it's flagrant things like the 2017 Equifax breach.

 

Even then, they ended up skirting major sanctions and paid out $425 million to a fund that will mostly be drained by class-action attorney's fees.

[RealAvalon]

Correct. It's known in the industry as a soft-pull.

 

(I'll wait for the snickering to die down)

in case it comes up, 'soft-pull' is 'puxar suavemente' in Portuguese

Edited June 12, 2020 by RealAvalon

[leeper]

I took an early retirement offer over 10 years ago and haven't had a paycheck since then, living off savings and investments. My FICO has been consistent over that time. I use my credit cards, but pay them off in full prior to the payment due date. Some of the cards have fairly sizable credit limits which I never come close to using, since I always want to be able to pay the balance in full each month. This leads me to believe that the mere fact that one retires has little, if any bearing on the score.

[Beancounter]

Perhaps some members, like @latbear4blk are much more concerned about BLM and possible police over reaction than a question about FICO sometime in the future.

 

 

Couldn't this question have waited?

Except that this is The Lounge part of the Forum.....A place to gather and exchange ideas. NO politics. NO religion. NO War. I’ve read @latbear4blk’s comments on BLM and they’re exactly where they should be...in the political forum. @Unicorn ’s post is where it should be....in the lounge.

 

You insinuate that a discussion on FICO scores is silly and trite in these trying times and then try to pit two Forum members against each other. This country has one bully. We don’t need another one.

[thickornotatall]

I took an early retirement offer over 10 years ago and haven't had a paycheck since then, living off savings and investments. My FICO has been consistent over that time. I use my credit cards, but pay them off in full prior to the payment due date. Some of the cards have fairly sizable credit limits which I never come close to using, since I always want to be able to pay the balance in full each month. This leads me to believe that the mere fact that one retires has little, if any bearing on the score.

Same with me..I took an early retirement buyout in 2003...I have not had a paycheck since...Through good investments ..owning my own home...I have made more than if I had worked....I am frugal...but travel to Europe often and stay in great places..I can change cars every few years (always preowned)

….If only my friends had listened to me when I said..don't go out to eat so often..You don't need an expensive wardrobe...buy on sale...so many ways to build retirement....I will never spend all my savings..unless I have a catastrophic illness...( I doubt that)..

[Beancounter]

@Unicorn .... your FICO score should be fine in retirement. Continue to practice sound financial principles and your FICO score will take care of itself. Make payments on time. Limit personal debt to a manageable level. Pay off credit cards in full monthly, if possible. As many have indicated before me, FICO scores are more concerned about debt management than personal income.

 

Credit scores are a fact of life in this country. Love them or hate them they’re not going away.

[Guest]

Apparently, not Unicorn. My guess is the critical comments are partly about over sharing other personal information as well.

As one of the oldest members of this forum, you could have presumably answered constructively, such as @leeper, to help address the concerns I expressed in my original post. If you aren't interested in my posts, ignore them. There's even an ignore feature (at least there was prior to the upgrade--I'll assume it's still available) you could avail yourself with. People on this forum often express concerns or questions regarding all sorts of issues from travel, to financial, to health, to sex, to shopping, and more. If I feel I have something constructive to add, I may add my 2 cents. If I don't, I just pass. I don't know why you feel a need to add snarky comments so often. There was nothing insulting or degrading about my OP, and it gets tiring to constantly have to put up with your cranky, negative attitude and comments. If you don't have anything constructive to add, please keep your comments to yourself.

[+ sniper]

Credit score doesn't care about your income. just your history of repayment and balances/available credit, along with some other variables you may or may not have any influence on that have been shown to have a statistical relationship to the probability of default. They know there are plenty of people with credit cards who have other people paying the bills, so they have no interest in missing out on the opportunity to make money by denying those people credit.

[+ WilliamM]

but somehow in this thread you put the OP @Unicorn on trial instead of answering his question or simply not posting.

Unicorn posts enough, @marylander1940.

[Guest]

Unicorn posts enough, @marylander1940.

Wow. Look who's talking....

[+ BenjaminNicholas]

in case it comes up, 'soft-pull' is 'puxar suavemente' in Portuguese

 

If you keep speaking to me in Portuguese, not only will it come up, but will also definitely require a hard-pull

 

[Scorpio]

Unicorn posts enough, @marylander1940.

Pot/kettle. Glass houses/stones

[+ Keith30309]

As Warren Buffet is alleged to have said regarding old age and money “I want the last check I write to bounce.”

 

I’m just getting a head start.

[+ GregM]

Moot point. @latbear4blk is currently on hiatus.

 

~Boomer~

 

Did he get a time out?

[Beancounter]

Did he get a time out?

Political Forum, BLM is racist thread, posts 151and 152 may answer your question.