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Imogene52

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Why do Credit Reporting companies penalize a person's credit score for not having lots of debt?
I worked long and hard to not have a mortgage, own 3 vehicles with no auto loans and only 3 credit cards. AMEX is Cash Back, Capital One is 5.44%, and Home Depot which get paid off every month. So sad that debt is encouraged to get a better score.

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Sounds like you did not read the articles that are presented on this site.  That is sad since the focus of Credit Karma is to teach how credit works and how to build a good credit score.  I used to think that a primarily cash only lifestyle was best but it is noit practical in today's society.  But, that doesn't mean being in debt (though few of us can save enough to pay cash for a new car), but by learning to use credit wisely.  That was a real education for me and I have a degree in accounting. 

By reading the articles presented here, I learned how to clear up the negatives on my credit report and soon was able to do a 'balance transfer' to consolidate my high interest cards to a 0% interest for 12 months card.  No, I didn't get that paid off fully, but sure made a big dent in it and am still on the way with another balance transfer offer helping.  And I am on a fixed income.  I have more available credit now $20,000 approx) than I had even when I was married.  I just bought a new car at an under 3% interest rate through my credit union. That is something I wouldn't have dreamed of ten years ago when I took what was remaining from the sale of my house and bought a nice used car so I could have reliable transportation while caring for Dad in his last years.  It's the amount of credit you have available and how you use it that helps your credit score, as explained so clearly in the articles.  Please take the time to read them and utilize the financial tools also providedon this site.  The knowledge you gain and the confidence that knowledge helps build  is so valuable,

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