The Credit Scoring Site A bleak account 

False information published by CBS News, Part 1

Credit Score Myth 7 and misidentification of some guy they call a senior analyst

| By Greg Fisher

CBS News published false information about credit scoring.

In 2018, Kate Gibson wrote, "Credit utilization, or the percentage of available credit borrowed, makes up 30 percent of a FICO score."

That is not true and is Credit Score Myth 7.

Any such percentage is only part of the category named Amounts Owed – one that makes up 30 percent of Fico credit scores. According to Fair Isaac ("FICO"), "Credit utilization ratio on revolving accounts" is one of five factors in Amounts Owed. Another of the five in the same category, for instance, is "How many accounts have balances." So if what the CBS News story says were true, then that one and the other items in the category would be zero. In other words, at 30 percent, "the percentage of available credit borrowed" would take up the entire 30 percent category and that is nonsense.

This is third grade math. See "Credit score utilization ratio misinformation" written in 2009.

In the same article, "Millions mistakenly carry balances to improve credit scores," Gibson also falsely wrote

Carrying debt means many are needlessly paying interest, or, as Matt Schulz, CreditCard.com's senior analyst put it: "Americans are essentially attempting to pay their card issuers to improve their credit scores."

A report released Monday by CreditCard.com found lower-income holders of plastic more likely to believe that revolving debt helped their credit standing, while 30 percent of those earning less than $50,000 acted on that view, compared to 19 percent of those making more.

That is two errors in two consecutive sentences and paragraphs. Matt Schulz is not with creditcard.com, he is with creditcards.com. Today, there is no website in the internet domain creditcard.com. The link on the word report in the second sentence is to the domain creditcards.com (creditcards with an s) not creditcard.com (without an s).

This is another moderately deep dive into how, in its megalomaniacal zeal to mass-manufacture more and more information, mainstream media make a major mess of things.

#falseinformation #falsity #truth #CreditScore #Myth7 #GetsTheLink #TheCompanyHeKeeps #1807x #n9108

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