New Credit Score Rules

FICO 08 are the new guidelines that refer to the new credit scoring. Already, 2 of the reporting agencies, Equifax and Trans Union have started using the new reporting.

The impact of the changes for someone with good credit could be a slight increase in score, if you have some problems your score could drop. Small collections under $100do not count on your score, and some late payments will not hurt you as much if you have other accounts that are current. Like the old system a lot of late payments will drop your score.
As a Realtor I see a lot of credit scores that need work, the way to keep your score in good shape, check your reports at least once a year and twice is best. Pay all bills at least on time and at best early. Do not carry a lot of debt, if you can't pay off a credit card DON'T use credit until you can. Inability to pay off credit cards monthly is a big red flag that you are living over your means and when you do that you are headed for trouble.
Watch for a change in your credit card billing the end of February 2010, and already in effect banks can not give you less than 45 days notice if your interest rates are to change and all credit card statements must be mailed to you at least 21 days before your payment is due.

Credit Score Hit - 30 points every time!

I learned something interesting at our MLS meeting last Wednesday, a lot of people are paying other bills before they are paying their mortgage. I can't imagine their priorities, cell phone - some where to live? When a mortgage payment is 30 days late it drops your critit score a full 30 points - it doesn't take too many late mortgage payments to devestate your precious credit score!
With the increase in the required credit score to be able to get a mortgage or qualify for PMI it is not ever a good idea to be late on your mortgage. Pay your mortgage as your first bill, and skimp on other things like cable, highspeed, entertainment, eating out, cell phone, gasoline etc....