Misinformation spread by LearnVest.com

Zounds.

According to the New York Times in 2013, LearnVest "raised $16.5 million, which comes on top of the nearly $25 million raised since its inception."

(But that report comes from an organization run by a man who can't even get American history right.)

Employers do not use credit scores. A 2012 piece from Credit.com on LearnVest.com (apparently, merely hyperlinking to the original document is gauche) correctly states: "Remember, the employer can’t see your score. The bureau only provides a version of your report."

On the other hand, using the I-Got-25-Years-inna-Bidness method of substantiation, another Credit.com "expert" stated, in error, "If you’re applying for a job that requires a background check (credit bureau report, FICO score)... "

In 2011, the Wall Street Journal stated, "A credit score also is used when you apply for an apartment lease and even for some jobs."

Asked about the claim, the writer replied, "A number of sources, including Alexa von Tobel from personal-finance website LearnVest.com, had mentioned that some employers check your credit score."

(Then, again, that writer is in an organization run by a man who can't even get America history right.)

Credit Karma gets the link

Now, on von Tobel's LearnVest.com, it states, "Combining the balance on the 0% retail card with my 'standard' credit card spending, the amount of my total credit I was using (known as my 'credit utilization') was almost 70%, exorbitantly higher than the 30% recommended by FICO."

What, in the world-- ? You get a $10,000 credit card and you can't use even half of it for fear of a secret credit score? Certainly The Wizard would not have said that.

@leahmanderson Where can I read about "30% recommended by FICO"? @LearnVest #creditscore
— Greg Fisher (@creditscoring) March 24, 2014

@creditscoring I don't remember the first place I read it, but here's a link from @creditkarma on the subject https://t.co/h88D2SoDSM
— Leah Manderson (@leahmanderson) March 25, 2014

The page the author refers to is not one by Fair Isaac, the FICO score company. It is by Credit Karma (mentioned in the article, too) and states, "Experts recommend keeping your credit card utilization below 30 percent on each card and collectively."

A couple of things: a) There is no such thing as credit karma, and b) Those experts are not named.

See Myth #4.

Update goes here.

An update

March 27, 2014

Elsewhere, another person writes, "Aim to keep that ratio below 20 percent to 30 percent."

The big question is Whose advice is that?

Your word is plural, but I'm feeling generous today. Name one, @BethBrav. #JustOne. http://t.co/6eeyMEwGYI #Experts
— Greg Fisher (@creditscoring) March 26, 2014

And, even the federal government gives the 30 percent solution: "Experts advise keeping your use of credit at no more than 30% or less of your total credit limit."

@CFPB You're Contestant #3! Name #2Experts. http://t.co/NIXTtGOnBW @CAFLM #attribution
— Greg Fisher (@creditscoring) March 24, 2014

Update goes here.