When is your US credit score first established

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Discussion Overview

The discussion revolves around the establishment of a US credit score, exploring when it is first created and the factors that contribute to its development. Participants consider various triggers such as social security numbers, tax payments, and initial credit interactions, as well as the role of utility and service providers in reporting to credit agencies.

Discussion Character

  • Exploratory
  • Debate/contested

Main Points Raised

  • Some participants propose that a credit score may begin with the issuance of a social security number or the first credit interaction.
  • One participant shares an experience where adding a spouse as a 'responsible party' on a credit card helped establish credit, suggesting that borrowing money may be a key factor in establishing a credit score.
  • There is a discussion about whether utility companies and service providers report to credit agencies, with some participants asserting that they do report payment habits, while others argue that only certain circumstances, such as non-payment, lead to reporting.
  • One participant recalls vague statements in service contracts regarding the reporting of payment habits, indicating potential confusion about which companies report to credit agencies.
  • Another participant speculates that regulation may affect whether certain companies can report credit information.

Areas of Agreement / Disagreement

Participants express differing views on the role of utility companies in credit reporting and the conditions under which a credit score is established. The discussion remains unresolved, with multiple competing perspectives presented.

Contextual Notes

Limitations include uncertainty about the specific conditions under which credit scores are established and the varying practices of different service providers regarding credit reporting.

Pythagorean
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Does it come with your social security number as soon as you're born? When you first pay taxes? You're first credit interaction?
 
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Pythagorean said:
Does it come with your social security number as soon as you're born? When you first pay taxes? You're first credit interaction?

Interesting question. My wife came from another country and we made sure that she got added as a 'responsible party' to my credit card in order to establish credit (not just adding her name). When we bought a house several years later, her credit score was higher than mine (800+). My mother-in-law lives with us now and I can't even get a report from Transunion, Experion, or Equifax about her. This leads me to believe that it starts after you actually borrow money for the first time (or some other trigger).
 
Last edited:
Utility companies (gas, electric, water, etc.) and service providers like cable, internet, etc. report to credit agencies. If you pay bills which are under your name then I would assume this would be applicable to your question as well. Late or missed payments are reported as such.
 
Dembadon said:
Utility companies (gas, electric, water, etc.) and service providers like cable, internet, etc. report to credit agencies. If you pay bills which are under your name then I would assume this would be applicable to your question as well. Late or missed payments are reported as such.
Utility companies do not report to credit agencies and it won't help you establish credit. The only time you might find a rating from a utility is if you are disconnected for non-payment and the amount is turned over to an outside credit agency. The credit agency then reports the debt they bought to a credit reporting agency.

An independent ISP or cable company might, but not the public utilies (governed by the PUC or PSC such as gas, electric, & phone).
 
Evo said:
Utility companies do not report to credit agencies and it won't help you establish credit. The only time you might find a rating from a utility is if you are disconnected for non-payment and the amount is turned over to an outside credit agency. The credit agency then reports the debt they bought to a credit reporting agency.

That makes sense.

I just remember reading a vague statement in most service contracts containing something similar to "We report your payment habits to _____." It is likely I'm just getting this situation confused with my ISP or cable company contracts, though.
 
Dembadon said:
That makes sense.

I just remember reading a vague statement in most service contracts containing something similar to "We report your payment habits to _____." It is likely I'm just getting this situation confused with my ISP or cable company contracts, though.
I think it's only if they are regulated that they can't report you.
 

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