Originally Posted by
jimmy28303
Actually you do not need credit to make a purchase, I have not used credit in 5 years. If you want to make a big purchase like 350,000 for a house then they will do underwriting if you have not credit. they simply look at your debt to income ratio and your acct history with your bank. We have never had a prob. we just bought a 2009 Tahoe and when the lady ran my credit my score was low 500's because we dont use credit. Now, although we paid cash for it, they still offered to finance it because they saw that the reason for the low score was because of lack of use. I am not preaching on how to live your life but if you think about it, when you use credit, you are actually paying someone else to use money that you will have anyway.
98% of the population could never pay cash for a 2009 Tahoe (or Cobalt for that matter). If it were not for credit, GM, Ford, Dodge, Toyota, etc would have closed up shop 25 years ago.
As far as lowering limits go, I'd be pissed too. I tried refinancing our home a few months back with a score of 750. Was denied the teir 1 rate due to high CC balances compared to available credit. Woke me up and I started paying them off. 3 cards down 2 to go. My balance to available credit is growing by leaps and bounds each month. But all my prudent CC management to qualify for teir 1 refi status will be for nothing if the companies I paid off lower my available credit.