Citi to Offer Free FICO Score to Cardholders in January. News from wallaby card.
This news is kind of a love/hate thing.
I used to view FICO score as a school grade. The higher mine was, the better and smarter person I was. Really it just means I was good at borrowing $-
really good at it.
But now, with one last part of a ranch mortgage to go, I’m nearly done being slave to any lender.
I never made $ on my 3 previous properties with the needed upgrades and commissions, I broke even on the first, lost $42,000 on the second that I couldn’t afford in the first place, and was made whole by my company, during a transfer, when my Dallas condo didn’t sell and was taken over by the bank.
I had to use my Citibank credit card to close on the sale of that second house.
There, I said it.
I’m standing in my pitiful truth.
Back in Houston, I rented for a while.
Renting is patience.
And rent goes up 20% every year as it should because when people are clamoring to live in your building, you can do that.
The condo property was a risk; low market, only 2 buildings in which one could buy in Midtown, the midst of a lawsuit; I knew it was a bargain. The first lender pulled out days before closing because, well,
when you are the bank, you can do that.
Another lender came along and was willing. The loan was then sold twice,
because banks can do that.
They probably projected that they could make a lot more $ off me.
In fact, We might well have just thrown $5/day out the window.
That’s what they were getting from us.
If you have a Citibank card and plan to own a home someday (I don’t recommend any other debt besides a 15 mortgage) and even then, have just a 15 year that you pay off in 7.
If you reeeealy must take out a mortgage, here’s what I would do:
Use my credit card sparingly. Just $10/mo. or so if, and only if you see the need to have a mortgage.
Make sure my credit reports are accurate at annualcreditreport.com
Figure out how much house I can really afford (no more than 25% of TAKE HOME pay. 10% towards taxes, insurance, utilities, repairs).
Yesterday, I cut in half my citibank card that I had been using for eons. It was hard. It felt weird.
But I’m glad I did.
I know they will start sending me letters, begging me to use the card again. Won’t that be fun to have them beg ME instead of the other way around?