Managing a Credit Score

All over the web there are tips and tricks for gaming your credit or FICO score. Shifting balances around different credit cards; opening up new lines of credit that you have no intention of using; adding your name to someone else’s credit line.

I hate them all. First, they have only marginal impact on your credit score; second, you are likely to create accounts that you will forget about; these are the most ripe for potential thieves. Third, and worst of all, they miss the point that the best way to manage your credit score is the most obvious: pay down your debt, and pay it on time. It is the most boring advice I can imagine when it comes to credit management. Unfortunately it is also the most effective.

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