Credit Score Myths
News Flash From my Favorite Lender thought you would like to see it:
"Looking to buy? Make sure you know what will truly hurt and help your case with lenders and don't fall for misinformation.
There is a lot of misinformation being propagated about what does and does not hurt your credit score, and much of it is coming from sources who should know better: Mortgage Lenders
Closing accounts can help your score: NO…it can never help and may even hurt. It is true that having too many accounts can hurt your score, but once you have opened them, you have done the damage. You can't repair it by shutting down the account, you may actually make it worse.
The credit score looks at the difference between your available credit and what you are using. Shut down accounts and your total available credit shrinks, making your balances loom larger, which typically hurts your score.
The score also tracks the length of your credit history. Shutting down older accounts can also make your credit history look younger than it actually is, which can hurt your score.
Rather than closing your accounts, pay down your credit card debt. That is something that can actually improve your score.
Coming next week: Checking your FICO score can hurt your credit.
Hope you find something valuable in this for you and your borrowers."
Pati
Patricia M. Patrick
Home Mortgage Consultant
Mortgage One
An Affiliate of Wells Fargo Home Mortgage
M6871-011
2800 West Market Street
Akron, OH 44333
330-835-5669 Direct Line
888-689-7900 Toll Free
330-289-0529 Cell Phone
866-359-7989 Fax Number
Patricia.m.patrick@mortgageoneohio.com
www.patipatrick.com