Your Purchases Can Affect Your Credit Score, Too

While the FICO score is still used by many mortgage lenders to determine how “credit worthy” you are, many other companies, banks and creditors are coming up with increasingly complex methods of determining a score (although not *the* score) that indicates your credit worthiness. And often, these scoring methods are proprietary.
One of the most alarming trends in this new era of determining credit worthiness is the habit some companies are making of looking at your purchases and lifestyle choices in addition to such items as repayment history, length of credit history and debt-to-income ratio. Granted, this is just information that …read more