NDSU Extension Service - Ramsey County


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The Worst Credit Score Ever

The Worst Credit Score Ever


          Credit scores can range from 300 to 850 -- the higher, the better.  Higher credit scores translate into lower interest rates on everything from car loans to mortgages to credit cards.  Lower interest rates in turn mean you pay less money in carrying charges.  If you are looking to save money, you’ll want to avoid the following behaviors which can earn you the worst credit score ever.

          1. Don't pay your bills.  The most important part of your credit score is your repayment history, so if you want to have terrible credit, don't pay your bills.  By refusing to pay even the minimum monthly payment, you guarantee that the repayment history on your credit report will look terrible, showing that you have bills you haven't paid for 90-plus days.  Eventually, your account will go to collections and perhaps even bankruptcy, making your score plummet further.         

          2. Charge past your limit.  Another important factor of your credit score is how much you owe. So if you want to ruin your credit score, make sure to max out all of your credit cards or even charge past your limit. And then remember our first suggestion - don't pay your credit card bill – ever and move straight into bankruptcy. 

          3. Open all things new.  Up to 10% of your credit score is based on how many new accounts you have applied for recently. So if you want to impact this component of your score, fill out a multitude of new credit card application as often as you can.

          4. Borrow from only one source.  Your credit score tends to be higher if you use a mix of different types of credit, such as credit cards, store accounts, an auto loan and a mortgage. The mixture of credit sources shows you can be relied on to repay a variety of types of debt.  By using only one type of credit – especially only store credit – you display a lack of history of reliable repayment.

          5. Never seek help.  Avoid budgets, financial counselors, your local financial institution and your creditors at all times.  They have reliable advice and tools you could use to improve your credit, but you want to go it alone. 

          The North Dakota average for credit scores is 719.  Your choice – aim high or fall low.



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