Question

Reese has a credit score of 789. Which action will lower Reese’s credit score?

paying his bills on time

applying for three more credit cards

contacting a debt relief agency

keeping a low debt-to-credit ratio

Answer 1

well, think of it this way

you know Reese, he's a good buddy of yours, you rate him as very reliable and he asks to borrow $50 from you. What if you find out from his sister that he's been:

paying his bills on time

applying for three more credit cards

contacting a debt relief agency

keeping a low debt-to-credit ratio

would you loan him the $50, or you'd just tell him that you can't?