Yeah, I know that's how it works, I just think it's a stupid way to do it.
The ONLY indication of whether I can "shoulder the load" of the debt, should be whether I pay them off in a timely manner. If I'm rich as shit, and want 100 different debt's open at once, but I manage to pay all of them off...why should my score have EVER go down? Because they EXPECTED me to default on a few of my open debts? Come on. If my history is CLEAN, then all expectations on my open debts should also be "clean". Know what I mean? On Thu, Jan 6, 2011 at 3:49 PM, Justin Scott <jscott-li...@gravityfree.com>wrote: > > > I heard that the "no payments for a year" store offers > > hurts your credit. You just confirmed it. > > ANY new account opened on your credit report will hurt your score in the > short term. Brings the average account age down and increases your debt > used vs. debt available ratio, both of which will impact negatively on your > score in the short term. As the debt is paid and the account ages the > score > will recover. The theory is that you just added a bunch of new debt to > your > account, so you're less likely to be able to shoulder even more in the > short > term, so the score goes down to reflect that. As you show that you can > handle the additional load (by paying down the balance on time and aging > the > account) the score will go back up. > > > -Justin > > > > ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Order the Adobe Coldfusion Anthology now! http://www.amazon.com/Adobe-Coldfusion-Anthology/dp/1430272155/?tag=houseoffusion Archive: http://www.houseoffusion.com/groups/cf-community/message.cfm/messageid:332984 Subscription: http://www.houseoffusion.com/groups/cf-community/subscribe.cfm Unsubscribe: http://www.houseoffusion.com/groups/cf-community/unsubscribe.cfm
