Credit Limit

bargains83

Moggles wrote:

The calculator is a useful indicator, but it's intended as a guide only.

That's all it can be, because scoring systems vary and lenders score applicants slightly differently.

I dont feel it is very accurate at all, the score fluctuates heavilly if you change the values to 'having children' and being 'married'. The majority of credit card companies don't ask for this information so its pretty much irrelevant. In addition it gives me personally a 'poor' rating which is definately wrong, as there was a free website once which actually looked at your credit file and asked you questions to estimate a score. I ranked above average on this one. Not sure if this site is still around but it also had something to do with allowing individuals to sell loans to other individuals online.

M_Thomson

bargains83 wrote:

I dont feel it is very accurate at all, the score fluctuates heavilly if you change the values to 'having children' and being 'married'. The majority of credit card companies don't ask for this information so its pretty much irrelevant. In addition it gives me personally a 'poor' rating which is definately wrong, as there was a free website once which actually looked at your credit file and asked you questions to estimate a score. I ranked above average on this one. Not sure if this site is still around but it also had something to do with allowing individuals to sell loans to other individuals online.

Pretty much every lender or bank will ask wether you are married. Married people tend to be given more points when credit scored by banks.

YorkshireBoy

Moggles wrote:

The calculator is a useful indicator, but it's intended as a guide only.

That's all it can be, because scoring systems vary and lenders score applicants slightly differently.

It's always 'interesting' to test out these calculators. However, I have to agree with the others, in that this one is pretty well useless in my opinion (sorry Moggles!).

For example, last month I was carrying a stoozing 'debt' of £52,900 - which gave me a score of 755.

Having just paid off 3 cards, my 'debt' has fallen to £16,400. The calculator now reports my score as 752 - 3 points worse!!!!

Moggles_2

I confess I'm not a great fan of these calculators myself. The chief reason for post #4 was to address the OP's original question. All the same, mention of the calculator has raised one or two important points.

I dont feel it is very accurate

It's not intended to be. It's a guide. That's all these calculators can be, because scoring systems vary and lenders score applicants slightly differently.

the score fluctuates heavily if you change the values

What would be the point of scoring systems that produced the same results when different values were entered?

The majority of credit card companies don't ask for this information so its pretty much irrelevant.

As noted in post #13, the applicant's marital status is obligatory on all applications for credit. Granted the question of family size is now less common on credit card applications, which have been streamlined recently.

last month a stoozing 'debt' of £52,900 gave me a score of 755... my 'debt' has fallen to £16,400. The calculator now reports my score as 752 - 3 points worse!!!!

Playing with fictitious sums, I found debt relative to available credit turned out to be more significant than absolute figures. All the same, that score wants some explaining!

It's always 'interesting' to test out these calculators.

Yes. Have you found a better one?

There was a free website once which actually looked at your credit file and asked you questions to estimate a score. I ranked above average on this one.

It's really important to realise, there is NO universal credit score applicable to all lenders and all products. For more explanation, please click on *Credit Rating* in the blue box at the top of this board.

JollyNolly

I've done some investigations on the calculator, and had some interesting results:

Age - seems to like me to be older (11 points down for 10 years younger, 15 points more for 10 years older)

Marital status - lose 5 points for not being married

Children - lose 26 points for no kids

Residential status - lose 59 points for being a tenant

Postcode - lose 3 points for moving from Birmingham to the East End

Years at address - lose 44 points for only living here for a year (instead of 18)

Electoral roll - lose 112 points for not being on

Landline - lose 38 points for not having one

Gross income - lose 16 points for earning 20K less, gain 29 points for 20K more

Time with employer - 85 more points for being with employer for over 5 years than being the new boy

Time with your bank - 69 points if you've been with your bank over 10 years

Number of credit cards - 38 points better if you have one card rather than 10

Available credit - GAIN 3 points for having 20K available credit

Outstanding debt - GAIN 5 points for having 20K debt

Current account - lose 40 points for not having one

CCJ - lose 140 for having one

CC a/c conduct - lose 110 for missing payments sometimes

...however, the results do seem to be a bit hit-or-miss - keep hitting the calculate button without changing anything and your result will fluctuate by 3 or 4 points either way.

Moggles_2

Thank you for sharing this with us. Were you surprised by any of these results?

For me the positive weighting for debt was unexpected, but on entering two or three fictitious sums, I found debt in relation to available credit and income more significant than the actual figures.

JollyNolly

I was particularly surprised at how little difference any amount of debt or available credit seemed to make on this model. Vastly more difference was made by being on the electoral roll, as you will see.

Moggles_2

Vastly more difference was made by being on the electoral roll

If the calculator highlights this vital factor, that's no bad thing, IMO.
There's no quicker way to trash your credit score than to move house and neglect to register!