Wednesday, June 24, 2009

The Credit Scores You Don't Get to See [Credit Report] . You have a right to see your credit score once a year, but that's not the only credit knowledge lenders and sellers base their decisions on. MSN Money runs down eight "secret scores" that the credit world keeps on you. Photo by TrinityCreditServices. These non-FICO scores don't factor into that seemingly all-important trio of credit bureau numbers, but they do affect how credit issuers and contracts will be negotiated. Besides looking at credit histories to determine if a borrower is likely to be late or go bankrupt, credit histories allow companies to fine-tune their marketing to you, even if you've been strong-willed in the past: Attrition-risk score: Attrition risk refers to the likelihood a user will stop using a card, and attrition-risk scores are typically used in combination with other scores to determine what to do next if you look ready to bolt. If your account generates a lot of revenue and is deemed at low risk for default or bankruptcy, for example, the issuer might aggressively try to keep your business by jacking up your credit limit, lowering your rate and pelting you with convenience checks. If your account isn't that profitable or is deemed risky, on the other hand, the issuer might just let you go. Hit the link to see seven other "secret" scores the junk mailers and lenders of the world are looking at. 8 secret scores that lenders keep [MSN Money via Get Rich Slowly] [Lifehacker] 10:14:24 AM

© Copyright 2009 Jocelyn Shaw. Last update: 7/7/2009; 3:37:47 PM. Photo curtesy of Marjorie O'Brien