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Rebuilding question

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Anonymous
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Rebuilding question

Is it normal for your credit scores to drop while you are rebuilding?

I am in the process of getting collections (and hopefully a judgement removed)

 

I started out with a transunion score of 620 and an equifax score of 622 (those are real FICO scores)

My CK scores were TU 625 (pretty close) and EQ  593

 

so far I have had 7 colleciton accounts removed and my one 30 day late removed

 

I have 2 cap ones, a credit one, victoria's secret, amazon, walmart, boscovs CC all with Perfect payment history.

 

I was feeling pretty good even though I still have 6 collections and 3 judgements (1 falls off on 10/17 and the others 2019) to be removed.  I do have late student loan accounts that I need to work on..but I'm not ready to tackle those yet as I'm trying to figure out how.

 

Anyhow...I checked my fico scores again and they were TU 612 and EQ 619.  Even my CK scores dropped.  

Why are they going down if I am getting a lot of bad things taken care of? Is this normal?

I've compared credit reports and nothing else has shown up and I really don't have any lates showing on my report other than the student loans.

 

Thanks for any help.  I was feeling really excited, then I  got instantly sad when I looked at my report!

Message 1 of 8
7 REPLIES 7
MrsCHX
Valued Contributor

Re: Rebuilding question

Time. Time. Time.

 

Once your new accounts hit around a year old and thus the inquiries hit around a year old, you'll start to see improvement. As things drop off you'll get minor bumps but you'll never see huge jumps while you have major derogs. Just be patient, it'll happen.

 

I have a handful of lates from SLs from 2013/2014. They hurt you. They hurt you until they're gone! And so far I haven't been successful asking NelNet or Great Lakes to delete. So I will probably not go much into the 700s until they're fully clean.

NFCU: $25,000; PenFed Power Cash Rewards: $3,500; PenFed Gold: $2,500; Capital One: $2,300; Nordstrom Visa: $2,000; Credit One: $1,250
Amazon: 800; Kohls: $1,500
Message 2 of 8
Anonymous
Not applicable

Re: Rebuilding question


@Anonymous wrote:

Is it normal for your credit scores to drop while you are rebuilding?

I am in the process of getting collections (and hopefully a judgement removed)

 

I started out with a transunion score of 620 and an equifax score of 622 (those are real FICO scores)

My CK scores were TU 625 (pretty close) and EQ  593

 

so far I have had 7 colleciton accounts removed and my one 30 day late removed

 

I have 2 cap ones, a credit one, victoria's secret, amazon, walmart, boscovs CC all with Perfect payment history.

 

I was feeling pretty good even though I still have 6 collections and 3 judgements (1 falls off on 10/17 and the others 2019) to be removed.  I do have late student loan accounts that I need to work on..but I'm not ready to tackle those yet as I'm trying to figure out how.

 

Anyhow...I checked my fico scores again and they were TU 612 and EQ 619.  Even my CK scores dropped.  

Why are they going down if I am getting a lot of bad things taken care of? Is this normal?

I've compared credit reports and nothing else has shown up and I really don't have any lates showing on my report other than the student loans.

 

Thanks for any help.  I was feeling really excited, then I  got instantly sad when I looked at my report!


Rebuilding can be a slow process sometimes.  Continue tackling your baddies and maintaining good payment history and as your accounts age, you will start to see progress.  You did not mention what your current utilization is.  One of the lessons that I have learned is to try to have the UTI on my accounts where I need it to be when the statement cuts or else I'll have a drop in score for that month. 

 

Also, the collections on your report, are they updating monthly?  That is something that could continue to affect your score.  You've worked hard....celebrate your accomplishments so far, and keep moving forward.

 

Have a great week. 

Message 3 of 8
Anonymous
Not applicable

Re: Rebuilding question

\

 

I am not sure of my credit utilization..but I'm sure it's crappy.  I'm working on paying them down.

 

 

Cap 1   1500  CL  (823 balance)

Cap 1 QS  2200 CL  (1744 balance)

Kohls  3000 CL   (2400 balance)

Credit One  2500 CL (1800 balance) (I know..people hate this card)

Wal Mart  900 CL (0 balance)

Amazon 1000 CL (0 balance)

Boscovs  300 CL  (0 balance)

Victoria's secret 400 CL (0 balance)

Message 4 of 8
Anonymous
Not applicable

Re: Rebuilding question

Oh..and yes..my collections are updating monthly.  GRRR!   

 

Thank  you for your response!  It is going much too slowly for me!

 

Message 5 of 8
Anonymous
Not applicable

Re: Rebuilding question

Those SL get on my nerves.  lol.  I wish they would just disappear (the balance AND the lates. ha!)

Those are my only lates.

I've had most of my accounts for a few years except for amazon and boscovs

Those are new.

 

Message 6 of 8
MrsCHX
Valued Contributor

Re: Rebuilding question

Add up all of your credit limits and all of your balances.

Total balance divided by total credit limits is your utilization. But you're over 50% in all of those cards. That's high. You've got to bring them down. I've finally gotten utilization down after months of it being high. It really counts against you.
NFCU: $25,000; PenFed Power Cash Rewards: $3,500; PenFed Gold: $2,500; Capital One: $2,300; Nordstrom Visa: $2,000; Credit One: $1,250
Amazon: 800; Kohls: $1,500
Message 7 of 8
Anonymous
Not applicable

Re: Rebuilding question

I got about 57% util.  
I'm working on it!  Tacking as much as I can.   

I'm not sure if I will ever pay off these student loans though.  UGH!

 

Thanks Mrs. CHX.. you always have great info for me.   Smiley Happy

Message 8 of 8
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