Did you know a high FICO score means you are a debt-a-holic?
Most people are stuck in the matrix where the myth that the FICO is important.. The FICO is one of the banks most successful marketing lie. It was created to scare people into handing over their wealth.
The FICO goes up with two things. Going deeper into debt, and how on time you pay the big banks.
Person A: 2 Auto loans, boat loan, 3 credit cards, mortgage. Makes payments all on time. FICO 750
Person B: no debt, no payments, uses cash, owns home, auto, and everything else. FICO 400
Person A = desperately in debt, making banks rich. Will pay on average 2.6x as much for everything
Person B = wealthy
People with real wealth have no FICO because they don't use debt, so guess what? They don't care about the FICO. We don't need it, use it, or care.
Believe it or not you can live without ANY credit. The entire world did up until 1980...work, save, bargain, buy.
Myth: everyone needs a credit card to build credit - WRONG. Credit = debt = slave = no wealth
Myth: you have to use financing for a car - nope, you just have to ignore the absurd and shallow commercials which are designed to make you think you deserve more than you earn, or that there is something wrong with people who drive a used car.
Myth: using a credit card for points, miles, or cute photos is smart - just the opposite. It's like gambling.
Myth: nobody pays cash for a home - almost every did before 1970
Myth: I outsmart the most profitable corporations in the world with my credit card by paying it off every month. HA! only 2% actually do this, but in the end trust me, the banks are not idiots, you don't trick them.
It is sooooo very sad to see people work so hard, only to send all their wealth to a bank. If you make $3000 month, and spend $1000 on payments instead of using cash let me show you where your wealth goes.
Year 1 $12,600.00
Year 2 $25,830.00
Year 3 $39,721.50
Year 4 $54,307.58
Year 5 $69,622.95
Year 6 $85,704.10
Year 7 $102,589.31
Year 8 $120,318.77
Year 9 $138,934.71
Year 10 $158,481.45
Year 11 $179,005.52
Year 12 $200,555.79
Year 13 $223,183.58
Year 14 $246,942.76
Year 15 $271,889.90
Year 16 $298,084.40
Year 17 $325,588.62
Year 18 $354,468.05
Year 19 $384,791.45
Year 20 $416,631.02
Year 21 $450,062.57
Year 22 $485,165.70
Year 23 $522,023.99
Year 24 $560,725.19
Year 25 $601,361.45
Year 26 $644,029.52
Year 27 $688,830.99
Year 28 $735,872.54
Year 29 $785,266.17
Year 30 $837,129.48
Year 31 $891,585.95
Year 32 $948,765.25
Year 33 $1,008,803.51
Now you see why banks have the largest buildings in every major city. When you send that $1000 to visa, mastercard, GMAC, etc. you are giving away your wealth. This is only $1000 a month, with average market gains of 5%. This is what the banks turn your money into, on top of the 30% interest.
If you chase the FICO, you will never have wealth!
- AcheliosLv 77 years agoFavorite Answer
you said: Person B: no debt, no payments, uses cash, owns home, auto, and everything else. FICO 400
---- you are wrong... unless this person has at least 3 bank "items" they will have no credit
the only other way is to have bad credit (then, even only 1 "item" will generate a report & score)
- 7 years ago
Is this a question or an answer? A400 score means they missed a lot of payments.