I receive a quarterly report of my credit record as rated by Experian, Equifax, and TransUnion. My credit scores are fairly good, but the "score factors" provided by the Big Three provide for entertaining reading.
- Insufficient number of real estate loans: That would be none. As a never-married woman living on a single income I could afford to do one thing. I could buy a house or condo, or make car payments, or travel, or shop, or own a horse, or.... Since I didn't want to be owned by a house and had no one to travel with, I selected horse ownership.
- Insufficient number of bankcard accounts never delinquent: Silly me. I thought it was good thing to pay on time.
- Total account balance excluding mortgages is too high: I have one Visa card and a Nordstrom card. I generally use the Nordstrom account for gifts and it is currently paid off. The balance on my Visa has been steadily declining.
- Length of time retail accounts have been established is too short: This one is a real hoot, since I probably opened a Meier & Frank charge account in the early 1970s. My Nordstrom account would have followed shortly thereafter. Heck, I'm old enough to remember when Nordstorm's was strictly a shoe store before the merger to become Nordstrom-Best. But apparently my Nordstrom account was closed due to lack of activity so I had to open a new one about 5-6 years ago. And, of course, Meier & Frank is now history.
- Total account balances are too high in proportion to credit limits: Another factor worth a guffaw. My outstanding balance on my one and only Visa account is 6 percent of the total credit line.
It's all very amusing at this point, since I'm not applying for a home or car loan. But in reality the random explanations for my credit scores are a bit troubling. I thought I was being responsible by limiting the number of bankcard accounts and paying them on time. Apparently it's my fault that their credit records don't go back 40 years.
It's a bit frightening to think a program developed by a computer geek controls my credit rating.