vania-janet/multiturn-rag-retrieval-data huggingface dataset:
First, you need to be aware that the credit score reported by Mint is Equifax Credit Score. Equifax Credit Score, like FICO, Vantagescore, and others, is based on a proprietary formula that is not publicly available.  Every score is calculated with a different formula, and can vary from each other widely.  Lenders almost exclusively only use FICO scores, so the score number you have is likely different than the score lenders will use. Second, understand that the advice you see from places like Mint and Credit Karma will almost always tell you that you don't have enough credit card accounts.  The reason for this is that they make their money by referring customers to credit card applications.  They have a financial interest in telling you that you need more credit cards. Finally, realize that credit score is just a number, and is only useful for a limited number of things.  Higher is better to a point, and after that, you get no benefit from increasing your score.   My advice to you is this: Don't stress out about your credit score, especially a free score reported by Credit Karma or Mint.  If you really have a desire to find out your score, you can pay FICO to get your actual score, but it's not cheap.  You can also sometimes get your FICO score by applying for a loan and asking the lender.  I last saw my FICO scores (there were three, one from each credit bureau) when I applied for a mortgage a couple of years ago, and the mortgage rep gave them to me for free.  But honestly, knowing your score doesn't do much for you, as the best way to increase it is to simply make your payments on time and wait. Don't give in to bad conventional advice from places that are funded by the financial services industry.  The thing that makes your credit score go up is a long history of paying your bills on time.  Despite what you commonly read about credit scores, I'm not convinced that you can radically boost your scores by having lots of open credit card accounts.  At the time I applied for my last mortgage, I only had 2 open credit cards (still true), and the oldest open account was about 1.5 years old.  The average of my 3 scores was just over 800.  But I've been paying my bills on time for at least 20 years now.  Only get credit cards that you actually want, and close the ones you don't want.
IIRC it's not a FICO score, as mentioned here, too. That said, apart from borrowing money to optimise your credit score as a hobby, my understanding is that once you're above a FICO score of 750, it pretty much doesn't matter how close to 800 you get.
I would recommend you look at Credit Karma and assess your situation. The site is free and will offer a score similar to your FICO score enabling you to best judge when to apply. They advertise, like any web site, and will offer credit card signups, which is how they make money.  Disclaimer - I am a blogger and have written about Credit Karma, but no payment from them. I've actually been out drinking with their marketing team, but that was it. Nice bunch.
K, welcome to Money.SE.  You knew enough to add good tags to the question. Now, you should search on the dozens of questions with those tags to understand (in less than an hour) far more than that banker knows about credit and credit scores.  My advice is first, never miss a payment. Ever. The advice your father passed on to you is nonsense, plain and simple. I'm just a few chapters shy of being able to write a book about the incorrect advice I'd heard bank people give their customers. The second bit of advice is that you don't need to pay interest to have credit cards show good payment history. i.e. if you choose to use credit cards, use them for the convenience, cash/rebates, tracking, and guarantees they can offer. Pay in full each bill.  Last - use a free service, first, AnnualCreditReport.com to get a copy of your credit report, and then a service like Credit Karma for a simulated FICO score and advice on how to improve it. As member @Agop has commented, Discover (not just for cardholders) offers a look at your actual score, as do a number of other credit cards for members.  (By the way, I wouldn't be inclined to discuss this with dad. Most people take offense that you'd believe strangers more than them. Most of the answers here are well documented with links to IRS, etc, and if not, quickly peer-reviewed. When I make a mistake, a top-rated member will correct me within a day, if not just minutes)
An inquiry to your credit report is a slight ding and lasts 2 years. I'd suggest that if you are playing the bonus game you watch your score closely, and if it drops below the level you'd like to maintain, hold off a while. Credit Karma offers a good simulation to show the impact of inquiries, utilization, new accounts, etc.
"First I would like to say, do not pay credit card companies in an attempt to improve your credit rating. In my opinion it's not worth the cash and not fair for the consumer. There are many great resources online that give advice on how to improve your credit score. You can even simulate what would happen to your score if you did ""this"". Credit Karma - will give you your TransUnion credit score for free and offers a simulation calculator. If you only have one credit card, I would start off by applying for another simply because  $700 is such a small limit and to pay a $30 annual fee seems outrageous. Try applying with the bank where you hold your savings or checking account they are more likely to approve your application since they have a working relationship with you. All in all I would not go out of my way and spend money I would not have spent otherwise just to increase my credit score, to me this practice is counter intuitive. You are allowed a free credit report from each bureau, once annually, you can get this from www.annualcreditreport.com, this won't include your credit score but it will let you see what banks see when they run your credit report. In addition you should check it over for any errors or possible identity theft. If there are errors you need to file a claim with the credit agency IMMEDIATELY. (edit from JoeT - with 3 agencies to choose from, you can alternate during the year to pull a different report every 4 months. A couple, every 2.) Here are some resources you can read up on: Improve your FICO Credit Score Top 5 Credit Misconceptions  9 fast fixes for your credit scores"
I would say you are typical.  The way people are able to build their available credit, then subsequently build their average balances is buy building their credit score.  According to FICO your credit score is made up as follows: Given that you had no history, and only new credit you are pretty much lacking in all areas.  What the typical person does, is get a card, pay on it for 6 months and assuming good history will either get an automatic bump; or, they can request a credit limit increase. Credit score has nothing to do with wealth or income.  So even if you had 100K in the bank you would likely still be facing the same issue.  The bank that holds the money might make an exception. It is very easy to see how a college student can build to 2000 or more.  They start out with a $200 balance to a department store and in about 6 months they get a real CC with a 500 balance and one to a second department store.  Given at least a decent payment history, that limit could easily increase above 2500 and there could be more then one card open.   Along the lines of what littleadv says, the companies even welcome some late payments.  The fees are more lucrative and they can bump the interest rate.  All is good as long as the payments are made. Getting students and children involved with credit cards is a goal of the industry.  They can obtain an emotional attachment that goes beyond good business reasoning.
I never give advice but I will now because you are getting poor advice.  I run between 820 and 835 for a FICO score and have for years.  I have a Discover, AMEX, VISA and MC.  I have over 200,000 dollars of credit and I never EVER pay interest.  I pay off the cards every month.  So, does it matter how much credit you have or can you have too much?  NO!  Bank of America gave me 40,000 dollars credit and I don't even have an account with them except the card.  Banks like people who pay their bills on time.  Well, the computers at the banks do.  LOL...DON'T be afraid of asking for more credit.  Your score may drop for two months but that is it.  Good luck with your money
"1 - yes, it's fine to pay in full and it helps your score. 2 - see chart above, it's calculated based on what the bill shows each month.  3 - answered by chart. 1-19% utilization is ideal. 0% is actually worse than 41-60% Note: The above image was from Credit Karma. A slightly different image appears at the article The Relationship Between Your Credit Score and Credit Card Utilization Rate. I don't know how true this really is. Since writing this answer, I've seen offers of a true ""FICO score"" from multiple credit cards, and have tinkered with my utilization. I paid my active cards before the reporting date, and saw 845-850 once my utilization hit 0. Credit Karma still has me at 800."
"I strongly suggest you look at CreditKarma and see how each aspect of what you are doing impacts your score. Here's my take - There's an anti-credit approach that many have which, to me, is over the top. ""Zero cards, zero credit"" feels to me like one step shy of ""off the grid."" It's so far to the right that it actually is more of an effort than just playing the game a bit. You are depositing to the card frequently to do what you are doing. That takes time and effort. Why not just pay the bill in full each month, and just track purchases so you move the cash to the account in advance, whether that's physical or on paper?  In your case, it's the same as charging one item every few months to keep the card active. If that's what you'd like to do, that's fine. I'd just avoid having the card take up too much of your time and thought.  (Disclaimer - I've used and written about Credit Karma. I have no business relationship with them, my articles are to help readers, and not paid placement.) mhoran's response is in line with my thinking. His advice to use the card to build your score is what the zero-credit folk criticize as ""a great debt score."" Nonsense. If you use debt wisely, you'll never pay interest (except for a mortgage, perhaps) and you may gain rewards with no cost to you."
I think the biggest reason is price; it's a lot cheaper now than it was to offer these.  That's because for the most part, when you get a credit score for free, you're not getting a true FICO score.  You're getting instead a VantageScore. VantageScore was created by the three credit bureaus, and as such they can offer it without paying Fair Isaac a licensing fee.  That makes it a lot cheaper to offer, and while it's not absolutely identical to FICO (or more accurately to any of the FICO provided scores) it's close enough for most peoples' purpose. And of course undoubtedly Fair Isaac has some price pressure on their side now that Vantage is big enough that many people see them as fungible.  As such they've had to make it easier, or they'd lose business - no longer being a monopolist. The other relevant piece here is that probably in many of these cases they're really just offering you what Experian would give you directly - so it's just a cross-marketing thing (where Experian, or perhaps another bureau, gets access to you as a customer so they can up-sell you ID theft insurance and whatnot, while the bank gets to offer the free score).
One reason why keep my DCU account active.  Free fico credit scores! https://www.dcu.org/electronic_services/index.html but specifically this page https://www.dcu.org/electronic_services/FICO.html By signing up to receive your FREE credit score in PC Branch you'll be   able to monitor your credit score, receive two reasons why your credit   score is not higher, and learn how to take positive steps towards   improving your score. Other services such as this may cost you more   than $165* annually. Through DCU you can receive your Equifax FICO   Credit Score via PC Branch under Account Manager in your Inbox once a   month FREE as part of your Checking Plus or Relationship Checking   benefits. ... Digital Credit Union
"Credit Unions have long advocated their services based on the fact that they consider your ""character.""  Unfortunately, they are then at a loss to explain how they determine the value of your character, other than to say that you're buddies & play pool together so they'll give you a loan. Your Credit History / Score is as accurate a representation of your character in business dealings as can be meaningfully quantified.  It tracks your ability to effectively use and manage debt, and your propensity to pay it back responsibly or default on obligations.  While it isn't perfect, it is certainly one of the best means currently available for determining someone's trustworthiness when it comes to financial matters."
"If you look around online and read about credit scores, you'll find all kinds of information about what you should do to maximize your credit score.  However, in my opinion, it just isn't worth rearranging your life just to try to achieve some arbitrary score.  If you pay your bills on time and are regularly using a credit card, your score will take care of itself. Yes, you can cut up the card you don't like and keep the credit card account open.  The bank may close your account at some point in the future because of a lack of activity, but if they do, don't worry about it.  You have other accounts that you are using.  Personally, I don't like having open credit accounts that I'm not using; I close accounts when I'm done with them.  I realize that it goes against everything that you will read, but my score is very high and my oldest open credit card account is 2 years old.  Don't let them scare you into credit activity that you don't want just to try to ""win"" at the credit score."
"FICO 08, a newer fico formula that many lenders are simultaneously switching to now, ignores artificially lengthened credit history/score by piggybacking. So don't feel left out in that regard.  Average age of accounts is affected when closed accounts fall off your credit report, which can take 7 years, not just by closing them. But I'm not familiar with the latest ""weightings"" of these things, so its tough to say how significant it will be when that happens. There are also newer FICO formulas, that may become relevant 7 years from now, so it is definitely something to be conscious of but they aren't immediately consequential, since you can do other things to improve your credit worthiness in the near term."
"FICO SCORING http://www.pbs.org/wgbh/pages/frontline/shows/credit/art/chart_fico.gif This is from the PBS Frontline show ""Secret History of the Credit Card."" Getting rid of one card won't immediately trash your score, nor will it be by the full impact (15%) of credit history. If there's no fee, I'd buy gas once per quarter with it. If there is a fee, I'd check my FICO score and if I can afford to lose 20 or so points for a time, I'd go for it."
I get my credit scores from all three bureaus for free - no gimmick.  I use a combination of banks that offer this service to get my scores.  I wrote about this sometime back in my blog. For credit report, the only place to go is AnnualCreditReport.com.  I space it out so that I get one every 4 months since there is a once a year restriction per bureau.
"Curious, why are you interested in building/improving your credit score? Is it better to use your card and pay off the bill completely every month? Yes. How is credit utiltization calculated?    Is it average utilization over the month, or total amount owed/credit_limit per month? It depends on how often your bank reports your balances to the reporting agencies. It can be daily, when your statement cycle closes, or some other interval. How does credit utilization affect your score?  Closest to zero without actually being zero is best. This translates to making some charges, even $1 so your statement shows a balance each statement that you pay off. This shows as active use. If you pay off your balance before the statement closes, then it can sometimes be reported as inactive/unused. Is too much a bad thing?  Yes. Is too little a bad thing? Depends. Being debt free has its advantages... but if your goal is to raise your credit score, then having a low utilization rate is a good metric. Less than 7% utilization seems to be the optimal level.  ""Last year we started using a number, not as a recommendation, but as a fact that most of the people with really high FICO scores have credit utilization rates that are 7 percent or lower,"" Watts said. Read more: http://www.bankrate.com/finance/credit-cards/how-to-bump-up-your-credit-score.aspx Remember that on-time payment is the most important factor. Second is how much you owe. Third is length of credit history. Maintain these factors in good standing and you will improve your score: http://www.myfico.com/CreditEducation/WhatsInYourScore.aspx"
Credit in general having no significant change between an income level or net worth is due to the economic reciprocity principle inherent in many societies. Although some areas of credit may be more admirable to those who aren't as well-off, such as car loans, the overall understanding of credit is a trust agreement between someone getting something (e.g., credit card user) and someone giving something (e.g., bank or company). Credit doesn't have to mean just money -- it can be anything of value, including tangible materials, services, etc. The fact is that a credit is a common element in most economical systems, and as such its use is not really variable between income levels/etc. Sure, there is variance in things like credit line amounts and rewards, but the overall gist is the same for everyone -- borrowing, paying back, benefits, etc. All of these exchanges form the same understanding we all know and follow. Credit brings along with it trust -- the form represented in a score. While not everyone may depend entirely on credit, and no one should use credit as a means of getting by entirely (money), everyone can understand and reap the benefits of a system whether they make 10K a year of 10M a year. This is the general idea behind credit in the broadest sense possible. Besides, just because one has or makes more money doesn't mean they don't prefer to get good deals. Nobody should like being taken advantage of, and if credit can help, anyone can establish trust.
"It depends on your definition of ""inactive"". If you have credit cards open and do not use them at all for a period of time, some lenders will not update your usage to the credit bureaus while some will close your account in which will definitely hurt your credit score. But since you use your card once in a while and pay them off, you should be good. Lenders like to see some activity rather than no activity. If there are great offers out there by credit card companies, then why not take advantage of them? The only downside may be the annual fees if there is any but with your credit score, it implies you are financially responsible so there should be no 'compelling financial reason' to not open more cards. In fact, the number of credit accounts you have open can play a role on your score. Essentially the more the better. According to Credit Karma, 0-5 credit accounts is very poor, 6-10 is poor, 11-20 is good, 21+ is excellent."
Is it possible for the card issuing banks to check my score without my permission? As far as I understand these things, that is exactly the whole purpose of these sorts of credit-rating institutions. The banks and other financial businesses are their customers. They exist to serve those customers. Their relationship, if any, with a consumer is probably secondary to that. When you apply for credit, you give that business any permission needed.
"Your total debt is equal to your total non-credit debt (student loans, car loans) + your total available credit.   This is the truth of the ""low balance"" fear from lenders that you had heard about. Your credit utilization is across all of your cards.   So if you have two cards, both with 15K limits and one is maxed out and one is empty, that is 50% utilization.   If you have both cards with 7.5K balances, that is also 50% utilization. For the 8 cards that are paid off and still open, after you buy a house, I'd close any cards you aren't using.  Not everyone will agree with this. If possible, I would close the 8 cards now and pay off the 15K balance before buying a house.  If it's hard to pay it off now, it will be harder when you have a mortgage and home maintenance costs. If you want to buy the house before you pay off all of your credit card debt, I'd still close the 8 cards that are already paid off and pay down your last card to 4K (or less) to get under 25% utilization. The credit rating bureaus do not publish exactly how a different utilization rate of credit will affect your score, but it is known that lower utilization will improve your score.  FICO calls this ""Proportion of credit lines used (proportion of balances to total credit limits on certain types of revolving accounts)"" Also, the longevity of your credit history is based on type of account (credit cards, car loans, etc.) so if you keep one credit card open, you still keep your long ""history"" with credit cards on your credit report.  FICO calls this ""Time since accounts opened, by specific type of account"""
I disagree with the reply.   Your both impressions are correct. -   Do not close old credit cards because they keep your credit rating high (fico score) -   Also low utilization that credit cards report to credit rating companies, improves your rating.
I just opened and received my first credit card - Discover IT - I'm a student. How do I do my best with this card? I plan to only use it for gas and groceries and to pay it off every month by the due date. Is this all I need to know to be successful?  Also I got a report with it that said my current credit score is 665. I don't know how I have a credit score, all I've ever paid with is cash and my debit card. Can anyone enlighten me? Thanks!
"Your credit-score is concerned with your current credit accounts (credit-cards, HELOC, loans, mortgage, et cetera) - your Current/Checking bank account is not a credit account so it is not reported to the credit agencies. Granted, being overdrawn is effectively the same as having a very expensive loan from the bank- however banks do not routinely report these to the credit-agencies - and of course, if you fail to pay overdraft fees in a timely manner then your bank will take it to collections or possibly even get a judgement against you, and that will be reported in your credit report (under the ""Derogatory remarks"" section). I cannot find any sources as to whether repeated but always-paid overdrafts will be reported - but certainly your bank isn't complaining because they'll be making lots of money from you. (Via https://www.thebalance.com/will-a-bank-overdraft-hurt-my-credit-score-960554)."
You can check your score through your discover card account (only credit card)  2 month difference   Nothing has changed. Have gone about regular business with no dramatic increase in spending  I'm 21 and I'm almost exactly a year into my first card
Credit Sesame monitors your credit score for free.  My understanding is that they make their money off of credit card referrals.