Edit to the credit

Some of you know I’ve been on a crusade to get the best credit score I could after arriving here in the US and getting refused a cellphone because I had a -3 rating, ie not-known, does not exist. Over 4-years I managed to get my credit rating to 730, and over the last 2-years I managed to get it up to 781.

One thing they tell you in all the credit score get rich quick schemes is that your credit score isn’t a measure of how much money you have, it’s the ration of debt to credit and your ability to pay. So paying off your mortgage, you’d think, would be a big ticket item in the rating, but apprently not the one I expected.

I paid off my mortgage last month, and this month saw the first report that included, or rather didn’t list my real estate debt. Guess what? My credit rating went down 10 points, to 771.

I guess it’s understandable, but it shows a massive flaw in the credit rating system. They don’t know how much I earn, they also don’t know why I no longer have real estate debt. So from that basis, I could be broke and homeless, just not using credit. By the end of the year I may make that illusive 800 mark, I have two hard inquiries on my record which will both age out after late Sept./Oct.

Author: Mark Cathcart

Formerly an Executive Director of Systems Engineering and a Senior Distinguished Engineer at Dell. Prior to that, an IBM Distinguished Engineer working for the Systems Group in NY and Austin. I'm currently "retired until further notice".

1 thought on “Edit to the credit”

Leave a Reply