1. Your credit score drops if you inquire about your credit. That is called a “soft pull” and has NO AFFECT. Inquiries by lenders could slightly lower your score.
2. You should close old or inactive accounts to help your score. This could shorten the measured duration of your credit history. BAD MOVE.
3. Paying off a negative record means that it is taken off your record. FALSE, it normally stays on seven years.
4. Co-signing doesn’t mean that you are responsible for the account. This is FALSE.
5. Making on-time rental, utility and cell phone payments helps the credit score. Not at this time as they are not considered; a bill has been submitted in Congress, but it is not moving.
6. Your credit score reflects changes or trends in your payment behavior. Credit scores are only a moment-in-time glimpse at consumer risk.
These answers are from an article in a California Assoc. of Realtor’s publication.
courtesy of: Duane Gomer Newsletter