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Question for the Money Doctors

Question submitted on Jan 1, 2011.

Question

Last year I purchased my credit score. This year it has dropped by 14 points. I have three store credit cards. The last one opened over two years ago. One I rarely use. The other two I use more frequently but, I always pay the balance in full each month. It''s never late and I never come close to my credit limit. I have not applied for additional credit.I have not closed any accounts. There are two adverse items on my credit report that will be removed in a year. I have a check/debit card.No overdrafts or insufficient funds charges. What would cause my score to drop? Do you think a credit card would improve my credit score?

Answer

The fact that you rarely use one of your cards...is not helping your score...so you might want to cancel that one.  The fact that you have two adverse items..is most likely the reason for the lowere score.  Once the adverse itmens are remeoved..in a years..your score should start to improve...provided nothing negative happens..this year.


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