Credit Report Card: C (ouch! definitely thought I'd do better than that!)
Credit Score: 686 (double ouch)
That score represents an almost 80 point drop from where I was at this time last year. I believe when we started prepping to buy our home, my score was in the 740-750 range. This was the initial kick in the pants I needed to reign in my spending and reverse the downward trend. Checking back in is definitely the boost of motivation I need to keep up the plan.
There's not much I can do about the "length of time" my accounts have been open, save for not opening any new accounts. I'll have to keep watch over the accounts I do have to make sure I'm not charged any kind of inactivity fees - or worse - have cards closed for inactivity. According C.K. accounts open for 8 years or more is what I'm aiming for. Additionally, with the passage of time, the "hard inquiries" on my credit report will disappear as well.
The big area to work on is my utilization ratio. The sweet spot is 20% or less. Now that I have a plan, that number will, hopefully, be achievable in the near future.
What was really cool on the website was the Credit Simulator - Essentially, you can plug in different scenarios and see how it reflects your credit score. For example, if I pay off my credit card debt, my score would rise to 755. If I obtain an auto loan for $12,000, my score drops three points. If I do both those things, my score still rises to 729. Pretty cool.
Has anyone else used Credit Karma (or a similar website)? Raise your hand if you'll have Karma Chameleon stuck in your head the rest of the day. Yep, me too.
Day Twenty Five Spent:
$1.00 vending machine chips
Day Twenty Five Saved: $0.00