Do you agree that the credit score system is very flawed?

the credit score system is now used to judge personal character instead of financial management. I often hear some companies say, “your credit score tells what kind of character and morals you have” Credit score checks are used to decide if person should be hired or not, even though the job has nothing to do with finances. A lot of bad loans were issued to people who could not pay mortgages, and the lender ignored their bad credit. Also your income is not even considered a part of your credit score. You can be poor and still have excellent credit and you can be very rich but still have poor credit. The amount of income should be big factor in credit score. For example if you make more than double the median income, i.e. beyond $ 90K an year then your credit score should increase. And if your job is minimum wage, your credit score should decline. If you pay off an entire loan for car or mortgage, your credit score still goes down. If you close a credit card, your credit score goes down even though closing credit card is a good thing because it makes you debt free. Clearly the credit score system is very flawed. You only have good credit score if you have revolving debt — that is you keep paying the debt regularly but are never 100% debt free. If you keep paying your full balance each month, credit card companies don’t like you and do not send good report when they report to credit bureau. But if you keep paying minimum balance always or little over minimum, credit card companies send favorable report when they report to credit bureau and your score actually goes higher.
also often people tell you, “you should take loans and credit cards, because that will build a good credit for you”.
also i have heard, “loan and credit card is excellent opportunity to build good credit”
if you are always debt free and never took any loan or credit card, you are categorized as risky borrower, and you would be denied any kind of loan or card.
also another very big flaw: you file bankruptcy and your credit score is destroyed. However, you become debt free which is a very good thing. Being debt free itself should INCREASE your credit score.
peanut butter: why isn’t income a part of your credit score? is it okay to have minimum wage worker with 800+ credit score and a person with $ 100,000+ income a credit score of 400? Income determines how likely you are to pay your debt. Why is it irrelevant in credit score?
peanut butter: if your income is 0, how long would it be before you fall into delinquincy? your credit is good directly because of your income. no income or little income is why people can’t pay their debts and they default

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