Will the Fiscal Cliff Impact your FICO Score?

iStock_000021830077XSmall

Right now, everyone is talking about the “fiscal cliff” - the potential crisis that will occur if our elected lawmakers are unable to extend tax cuts and avert millions of dollars in spending cuts that will take effect in the New Year.   As the deadline approaches, you may be wondering what impact, if any, would the fiscal cliff have on your FICO Score?   The good news is that there is no direct effect on the score associated with the main factors driving the potential fiscal cliff.  Your income and the amount of taxes you pay are not considered in the calculation of your FICO Score.   However, the failure to extend the tax cuts and/or avert spending cuts could have a negative indirect effect on credit scores.  Most experts agree that just about every … [Read more...]

Disclaimer: This content is not provided or commissioned by a credit card issuer. Opinions expressed here are the author's alone, not those of a credit card issuer, and have not been reviewed, approved or otherwise endorsed by a credit card issuer. This site may be compensated by credit card issuers mentioned on the site by such companies.