Credit Cards

[shane3fan]

I have several credit cards. I use different ones for different things. The thing they have in common is that they are all paid off at the end of the month.

I have a Visa card that gives 3% back for food and fuel purchases. I have an Amazon card that gives points for every Amazon purchase and I have a Master Card for everything else that gives 2% back.

Pay for everything with the cards, pay off the balance at the end of the month and don't buy more than you would if you were paying cash.

My wife and I both have credit scores over 800

 

[paulkish]

One thing confuses me, maybe someone can explain how paying off our mortgage decreased my credit score by 5 points?

It reduced the amount/quantity of different types of debts you were successfully paying on.
Taking out a mortgage should raise your credit score a point or two.

At our age, Bob having a high credit score is more of a fun thing to do and have than something needed.
Fico credit checking will probably give the highest credit score with others probably a lower score.

 

[Cope1]

Thats the dumbest stuff I ever read, the food is long gone but youre still paying for them?
My wife would of saved more than 10 with coupons, and no interest to pay on the 1000

Jamie you missed where he pays it off every month so it isn’t dumb it is a savings of 1 percent.

 

[Cope1]

I'm thinking that Cope1 means that he pays the card balance off every month.
Of course, the credit card discount rate is built into the price of everything in every store, so if you pay no interest, you might as well get the cashback.

My credit score has stabilized at 817 for several years now. One thing confuses me, maybe someone can explain how paying off our mortgage decreased my credit score by 5 points?

As stated you are not using any credit so it went down. You lost that payment history of on time payments from your credit report. The credit agencies want to see people use their credit but be smart with it. If you have a credit card that you never use you are hurting your score. Get a tank of gas once a month with it and then pay it all off each month or leave a balance of one dollar so they can see that you are able to manage your credit. Using your credit will increase your score if done correctly.

 

[Bob Evans]

We use the hell out of the credit card, but I typically pay it off at least once a week.
We're debt-free, have been for quite a few years now, and I like it that way.

 

[paulkish]

Growing up this was our credit card at the neighborhood store. ...

Put it on the tab, Sam. ...

 

[Cope1]

We use the hell out of the credit card, but I typically pay it off at least once a week.
We're debt-free, have been for quite a few years now, and I like it that way.

I would guess the reason it went down then is because you lost most likely quite a few years worth of on time payment history being that it was a mortgage. This happened to my teammate when the credit card he was on with his mom was cancelled by his mom after around twenty years of on time payment history. His went down much more than than a few points though because his credit history is only about 3 years worth without that card.