Hi! I have no debt and save regularly. I own my home outright & I use my credit cards but pay off monthly. According to my Discover card, I have a 834 score. Since I have no debt and am considering a new car with 0.9% rate available, I am wondering if I should take the loan and leave my money in savings which is earning 2.25% semi-annually. I haven’t had a loan since 2002 and since I am 55, I am thinking it may be time for some “recent history”. Your thoughts?
If you can earn 2.25 and pay .9, the math alone would suggest borrowing the money is a smart idea.
Sorry, I wasn’t clear. My real question is on my credit rating. Is it bad to not have had a loan in so many years? Especially since I am considering an early retirement. I want to be able to maintain a good credit score even if I stop working and therefore I thought recent history might help.
I published a story yesterday you should read: http://www.moneytalksnews.com/ask-stacy-need-mortgage-have-good-credit/
The short answer, however, is not to worry about your credit score. If you’re paying your bills on time all the time, your score will be fine.
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