I'm trying to figure out why everyone wants to work on their scores. There are obvious benefits to having a good score, but under what circumstances are the benefits significant. These are the obvious that come to mind:

Lower rates on a mortgage, car loan or CC
Greater availability to acquire more credit
Higher self-esteem

Now, what I am really looking for in this thread are some real-life experiences and anecdotal conclusions that our more experienced members can share.

For example, 720 - 750 fico = 5.75%, 750+, 5.5% mortgage, told by mortgage broker.
Another example, Reduced mortgage down payment for scores over 720 or "no doc available" for score over 750
Another example, HR says must have 600+ and no BK for new hire for loan officer.

Obviously this is dynamic, but some snapshots my prove interesting when comparing the changes in the lending environment.

Also, I see a lot of people lately asking if it will "hurt" their score and I'm wondering where some thresholds are where a decrease begins to "hurt".

Please leave speculation and snide remarks to the side as we have plenty of dear abby threads for that kind of behavior.

n/m

If you're applying for a new job and they do an extensive background check, including a credit check. Shows responsibility.

I use it for bragging to friends:

"My score is BIGGER!!!"

OR

"What do you mean you don't know your score???"

*Sorry, couldn't resist*

Seriously, for me the reasons are 2-fold:
When younger (MANY YEARS AGO), If it took a dime to go around the world, I couldn't go around the corner... had WAAAAYYYYY too much debt (and debt to CL ratio was near peak, 90% on some lines)... I learned the hard way what LOW SCORES did... low lines, higher APR, no new lines. end of reason 1.

2. Although I like to game, I stay within reason... I did an AOR (before the term was invented), and paid off my huge debt. Similar to IBJANKY, but without support of any community. The first time I asked for an APR reduction, CSR laughed at me.... but I had a prime MINUS card application in the process somewhere else... it cam through, I paid off "Laughing CSR CARD", and never looked back. I watch (and improve scores) now, so that if an emergency pops up, I can borrow CHEAPLY, rather than bust an investment.

Both are based on adages from my dad, who is STILL very credit averse.... those that need credit can't get it, those that don't NEED it get tons of offers / opportunities to get it!

Actually, I am proud of my sub 700 score and $460K in BT money. The interest checks that roll in every month are well worth the shame I feel for a low score.

Don't forget all the free stuff, even outside the AOR game.

Free flights, luxury hotel nights, and large points/cash bonuses from signing up for cards. Most of these cards are for people with good-to-better credit ratings only.

With a good credit profile, you'll get solicited juicier pre-approved's than are generally available to the public.

A couple good examples I just took advantage of:
* Capital One, Miles rewards, 30k CL, and no annual fee.
* Chase, Free Cash Rewards, with 12-mo 0% APRs, and zero BT fees.