Credit score metrics

Try and get a loan or lease, and your credit score is going to come up. Credit scores take a bunch of inputs, crunch the numbers and spit out a single number that determines your interest rate.

But you know what doesn’t factor into your credit score? Your income. Your savings.

Credit scores are totally opaque, and they are often include inaccurate or outdated information.

No one can get a perfect 850. If you close a credit card you aren’t using, your credit score often suffers (temporarily). On the other hand, I once opened a new credit card to give my credit score a boost.

Steer clear of credit score metrics. Use the raw numbers and transparent calculations. There’s no need to make metrics complex in order to make them look simple.