Collection Accounts & CC - What type of change should be expected?

[guykara]

Hi everyone!

Not sure if you guys will be able to answer this, but since I'm a noob with credit, I'm wonder what sort of effect I will see from my recent success' with confirmed removals that have not happened yet and the addition of a cc.

My current FICO EX score is 572.  I have 4 accounts in collections.  I have received confirmation that 2 of them will be deleted, and I sent a PFD letter one of the others that I'm feeling super positive about (based on others experiences).  I also recently received a credit card from my CU for $12,000.  I currently have a $500 credit card and a $300 credit card.  Also factored into this score is two charge offs from 2008.

Thanks for the help!

[KoolDev]

I had 3 medical collections from the same CA and when they deleted, it went up 38 pts from 626 Eq to 658.

[guykara]

Thanks for the feedback!  That's defintiely encouraging.

[DaBears]

Having 2 charge offs are major derogatories, you might see a small bump also adding a new card you could see your score go up or down. it's a YMMV thing.

[guykara]

Ok cool, I guess it's just something I might have to wait and see!

Thank you.

[RobertEG]

FICO uses a prelimary review of each category of scoring, and assigns an overall categoriization.  Based on that categorization, or "bucket", the scoring of that category is then based on comparison with other consumers with that same categorization.

In payment history, best indication is that the category remains classified as what is generally referred to as "dirty" as long as any major derogs remain.

Once all major derogs are gone, the "clean" categorization then applies, and more significant score changes can come about.

Removal of only a few of plural major derogs will help, but generally, significant score improvement in payment history is seen when the category becomes "clean."