How to Reach a Perfect Credit Score
To be very honest, getting a perfect credit score is not easy. Even if you have a perfect credit behavior, you could still get a score that is shy of the magic number 850. Considering the fact that we don’t know the exact FICO formula, the only way to get a perfect credit score is to learn from someone who got it. There was an article about the president of Subsciberwise, David Howe reach 850 FICO score on all three bureaus. He said a perfect credit score needs a “perfect storm” in credit strategies and other life situations. This shows that it doesn’t only depend on just keeping a low balance and paying up bills.
When Howe achieved a perfect credit score, he had not opened his credit card in 10 years; there was no inquiry on his good credit report, and only small balances on his accounts which were a credit card and mortgage. He also had information on when his credit card statements closed and reports their balances and also when his account will be updated by each bureau. Howe also explained that having no credit card debt at all can affect your chances of getting a perfect credit score.
Getting a perfect credit score is not really necessary. With credit score at 850, you will surely impress anyone who checks it but won’t get you a better interest rate that the people with a credit score of 800 or 760. Once you can achieve a credit score of about 760, this will put you in the top-tier when applying for loan or mortgage. But it is very important to always watch your credit score, make considerable decisions which will help increase your credit score and also stay away for everything that will reduce your credit score. Actions such as application for a new credit and also collecting a new loan can reduce your credit score by a certain amount that is why it is very important to make sure your credit score is high enough to absorb these when they occur and still remain above 760.
In a situation when you call your credit card issuer to raise your limit, this will greatly improve your “amounts owed” category which is relative to the credit available. There are also some suggestions that will help you improve your score. The most important thing is that it’s possible to get a perfect credit score but you shouldn’t focus only on getting this perfect score. With a score above 750 or at 800, you will be able to get the best available interest rate. Many people overlook while a lot of people do not understand the impact of retirement savings. Some know little about the “social security secrets” that could boost retirement income. This trick could give as much as $15,834 or even more each year on your social security bonus. It is very important to make best use of your social security benefits so that you can retire with your mind at rest.