Tuesday, June 30, 2009

Capacity Cure

Every now & then an article comes across my Google alerts that catches my attention and I felt like sharing... Banks Cut Credit Lines

Historically if any creditor felt insecure in your ability to repay a debt they would close down your line and your lower score was earned; usually fueled by late payments or changes in spending habits. However this article raises some good points... What could FICO do to fix this since obviously these cases are indicative of current times and are not caused by the borrowers actions. Perhaps they ought to not update the credit companies with the lower limit or give them a grace to pay down their balance?

Cash is King :)