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Contributor
Posts: 140
Registered: ‎01-01-2013
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AAoA and closed accounts

Am I correct in my belief that closed accounts do not factor into AAoA? 

I have some old student loans that I'd love to have removed- several 90 and 120 day lates.  They were closed in 2008.  I'm hoping that removing them has a significant increase on my score and am therefore planning to GW the dickens out of DLSC/USDOE.  However I'm worried about the AAoA dropping my score. 

If I'm wrong about them factoring into AAoA, surely it would still do less score harm to lose some length of credit history than it would to have all those lates, correct? 

Thanks in advamce for any input! Smiley Happy

***9-4-13: TU 602 EQ 663 EX 626***
***6-13-13: TU 558 EQ 642 EX (yay to MyFICO for no more FAKO!!) 620***
5-31-13: TU 558 EQ 642 EX FAKO 643 * 1-24-13: TU 611 EQ 621 EX FAKO 643 * 1-21-13: TU 513 EQ 621 EX FAKO 643 * 1-3-13: TU 513 EQ 583 EX FAKO 643 * 1-1-13: EQ 568 EX FAKO 643 TU 513 * 12-22-12: EQ 558 EX FAKO 586 TU 525 * 11-15-12: EQ 554 EX FAKO 565 * 9-9-12: EQ 525 EX FAKO 574 TU (Lender pull-auto) 433
Moderator Emeritus
Posts: 32,869
Registered: ‎08-04-2007
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Re: AAoA and closed accounts

All OC accounts, whether opened or closed, good or bad, charged-off or not, are factored into AAoA as FICO reads it. In other words, ALL of your accounts listed within the Accounts page of your FICO report are included in AAoA.

 

There are some FAKOs and CMSs that list AAoA and most of them exclude closed TLs, which is why they should be ignored, IMO.

 

FICO weighs length of history and AAoA fairly heavily. It's possible to lose points when removing a charge-off, for example. Sometimes the length of history helps more than the baddie hurts. If your SLs were closed in 2008, then I'll have to assume that the lates began prior to 2008? If so, the CRTP might be up fairly soon, or at least inside of 2 years. Sometimes a baddie like this will drop the lates off each month as each hit 7 yrs and report as a positive beyond that. If that happens, there's a significant risk of prematurely deleting a positive account. Something to consider. Conversely, the lates will drop at 7 but once it hits 7-7.5 yrs from the DOFD (prior to 2008), then the whole TL could delete.

 

If I had that I would probably test the waters. I guess it would depend on when they opened, but I'd try GWs on a couple of the newest baddies just to see what might happen.

Valued Contributor
Posts: 2,689
Registered: ‎06-05-2008
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Re: AAoA and closed accounts


bmblbg wrote:

Am I correct in my belief that closed accounts do not factor into AAoA? 

I have some old student loans that I'd love to have removed- several 90 and 120 day lates.  They were closed in 2008.  I'm hoping that removing them has a significant increase on my score and am therefore planning to GW the dickens out of DLSC/USDOE.  However I'm worried about the AAoA dropping my score. 

If I'm wrong about them factoring into AAoA, surely it would still do less score harm to lose some length of credit history than it would to have all those lates, correct? 

Thanks in advamce for any input! Smiley Happy


AAOA includes both open and closed accounts.  If the loans closed in 2008, how old are the lates?  Once the lates are past reporting period the accounts will go to a positive status.  They will likely stay on your report as positive until 2018, or possibly even longer.  Before you try to get rid of them, look at when they will become positive accounts.

3-26-15: FICO EXP: 828 - EQU:820 - TRAN: 828 - AVG: 825 +275 points from JUN 2008 - MY CREDIT JOURNAL

Contributor
Posts: 140
Registered: ‎01-01-2013
0

Re: AAoA and closed accounts

Ok- so I had it figured all wrong! 

On one account the DoFD was 9/2006 and the other was 11/2007. 

***9-4-13: TU 602 EQ 663 EX 626***
***6-13-13: TU 558 EQ 642 EX (yay to MyFICO for no more FAKO!!) 620***
5-31-13: TU 558 EQ 642 EX FAKO 643 * 1-24-13: TU 611 EQ 621 EX FAKO 643 * 1-21-13: TU 513 EQ 621 EX FAKO 643 * 1-3-13: TU 513 EQ 583 EX FAKO 643 * 1-1-13: EQ 568 EX FAKO 643 TU 513 * 12-22-12: EQ 558 EX FAKO 586 TU 525 * 11-15-12: EQ 554 EX FAKO 565 * 9-9-12: EQ 525 EX FAKO 574 TU (Lender pull-auto) 433
Valued Contributor
Posts: 2,689
Registered: ‎06-05-2008
0

Re: AAoA and closed accounts


bmblbg wrote:

Ok- so I had it figured all wrong! 

On one account the DoFD was 9/2006 and the other was 11/2007. 


DOFD is when you had your first late, and is relevant to accounts that went to collections or charged off.  Did these do that, or did you subsequently catch up on your payments and pay the loans off?  

 

If they were paid off, the important date is the most recent late payment.  Once that ages away, the account will move to a positive status.  Are there on time payments showing after the lates?

3-26-15: FICO EXP: 828 - EQU:820 - TRAN: 828 - AVG: 825 +275 points from JUN 2008 - MY CREDIT JOURNAL

Contributor
Posts: 140
Registered: ‎01-01-2013
0

Re: AAoA and closed accounts

They went to internal collections, and then were consolidated 4/2008.

***9-4-13: TU 602 EQ 663 EX 626***
***6-13-13: TU 558 EQ 642 EX (yay to MyFICO for no more FAKO!!) 620***
5-31-13: TU 558 EQ 642 EX FAKO 643 * 1-24-13: TU 611 EQ 621 EX FAKO 643 * 1-21-13: TU 513 EQ 621 EX FAKO 643 * 1-3-13: TU 513 EQ 583 EX FAKO 643 * 1-1-13: EQ 568 EX FAKO 643 TU 513 * 12-22-12: EQ 558 EX FAKO 586 TU 525 * 11-15-12: EQ 554 EX FAKO 565 * 9-9-12: EQ 525 EX FAKO 574 TU (Lender pull-auto) 433
Contributor
Posts: 140
Registered: ‎01-01-2013
0

Re: AAoA and closed accounts

There were never payments made.  However after the lates, they went into forebearance and so it shows "OK" for the subsequent months.

***9-4-13: TU 602 EQ 663 EX 626***
***6-13-13: TU 558 EQ 642 EX (yay to MyFICO for no more FAKO!!) 620***
5-31-13: TU 558 EQ 642 EX FAKO 643 * 1-24-13: TU 611 EQ 621 EX FAKO 643 * 1-21-13: TU 513 EQ 621 EX FAKO 643 * 1-3-13: TU 513 EQ 583 EX FAKO 643 * 1-1-13: EQ 568 EX FAKO 643 TU 513 * 12-22-12: EQ 558 EX FAKO 586 TU 525 * 11-15-12: EQ 554 EX FAKO 565 * 9-9-12: EQ 525 EX FAKO 574 TU (Lender pull-auto) 433
Valued Contributor
Posts: 2,689
Registered: ‎06-05-2008
0

Re: AAoA and closed accounts


bmblbg wrote:

There were never payments made.  However after the lates, they went into forebearance and so it shows "OK" for the subsequent months.


Perfect.  If there are months that say "OK", then 7 to 7.5 years after the month that shows late this account should go to a positive status.  Positive accounts can stay up to 10 years.

 

What is the month/year of the most recent late on each account?

3-26-15: FICO EXP: 828 - EQU:820 - TRAN: 828 - AVG: 825 +275 points from JUN 2008 - MY CREDIT JOURNAL

Contributor
Posts: 140
Registered: ‎01-01-2013
0

Re: AAoA and closed accounts


p- wrote:

bmblbg wrote:

There were never payments made.  However after the lates, they went into forebearance and so it shows "OK" for the subsequent months.


Perfect.  If there are months that say "OK", then 7 to 7.5 years after the month that shows late this account should go to a positive status.  Positive accounts can stay up to 10 years.

 

What is the month/year of the most recent late on each account?


11/06 and 3/08.  Smiley Happy

***9-4-13: TU 602 EQ 663 EX 626***
***6-13-13: TU 558 EQ 642 EX (yay to MyFICO for no more FAKO!!) 620***
5-31-13: TU 558 EQ 642 EX FAKO 643 * 1-24-13: TU 611 EQ 621 EX FAKO 643 * 1-21-13: TU 513 EQ 621 EX FAKO 643 * 1-3-13: TU 513 EQ 583 EX FAKO 643 * 1-1-13: EQ 568 EX FAKO 643 TU 513 * 12-22-12: EQ 558 EX FAKO 586 TU 525 * 11-15-12: EQ 554 EX FAKO 565 * 9-9-12: EQ 525 EX FAKO 574 TU (Lender pull-auto) 433
Valued Contributor
Posts: 2,689
Registered: ‎06-05-2008
0

Re: AAoA and closed accounts


bmblbg wrote:11/06 and 3/08.  Smiley Happy

The account with a late in 2006 should be very close to becoming a positive, and the other will be a couple of years.  I would not try to get them deleted.

3-26-15: FICO EXP: 828 - EQU:820 - TRAN: 828 - AVG: 825 +275 points from JUN 2008 - MY CREDIT JOURNAL

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