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Cash is the use of paper money or coin currency in an exchange of goods. Over the ages, this has evolved into the big one, Plastic cards and credit. In scanning the relevent material concerning credit and scoring, one thing stands out. The scoring is convulated and can be riddled with errors. The errors, for whatever reason are applied to a person's credit score. Then it is up to that person to correct the credit score. Then it should be called a scouring.
Understanding a credit score and fixing the errors can be frustrating. So, if the system that scores a person's credit is the problem, then why is it that the person has to do the corrections and go through all the frustration and wait? How is it that since it is obvious that there are problems that the people who propagate the problems don't fix their erronous input?
Stepping back and looking at the Big Picture, you can see that unless you need a loan for a house, car or education, there aren't too many things that you need. The question then becomes, you may want but do you really need those items? If you don't use credit to buy but cash, the credit score then goes down. The stated reason for the credit score going down is that you don't use that plastic and/or don't close out an old credit card account that you haven't used for a blue moon. Another catch is that credit card companies are charging you for not using their plastic borrowing method. You know the old saying, add insult to injury thing.
The Scoring system seems to have also evolved into everything that you pay on, up to and including your electric bill, cellphone bill, medical bills and employment past or present. There is an explanation for this but it too is consider by many as getting into itty bitty details that shouldn't really have anything to do with Real Credit borrowing. It is a wonder that whether you take the trash out on time for the local pickup time or whether you have the oil changed in your car at 3,000 miles is considered for your credit score.
It is an obvious Catch 22. You have to use the plastic or your credit score goes down. The only people that benefit from this scenerio are the Credit Card Companies and the Credit Scoring People. The general public does not benefit from borrowing beyond their means of repayment. The general public does not benefit from having a scoring system that has errors and no overall correction of the process of errors by the scoring people.
Kowtow to the Myth of Credit and Scoring, the people who perpetuate this myth are benefitting very well. After all it is a job to them and a bonus.
CoH even though it may be difficult when considering your own personal adventure with a credit card company or scoring that you have.
