A question for our math wizards.... Regarding rebucketing

[Anonymous]

First, I want to thank everybody here for all I have learned...I have found so much information and gotten myself on a path I like. Here is my question...I understand the concept of rebucketing but wondering just how it is going to affect me in the coming months. All of my TLs are in my sig, AAoA is approx 6 months, I alternate letting BOAand discover show a balance of around 50 bucks every month (8.5% of CL), all others get paid prior to reporting.8 inquiries on TU 8 on EX 6 on EQ. I am in the process of getting a USDA direct mortgage. Score should not be an issue as I have sufficient alternative tradlines, but I am worried that somewhere in the process I am going to have my last bad one fall off and they are going to see a drop in my score due to being rebucketed for having no issues Scores are current in my sig as of today. EQ I am not worried about as the baddy was never reported to them. TU says it is due to fall off in april, EX says June.

Am I sweating this for nothing, will my score go up or down?

Oh and the baddy is paid off to a CA for parking tickets.

[Anonymous]

Many people report that they see only small score bumps as derogs are removed, until the last one drops - then scores tend to rise much quicker. I would not anticipate a drop when its gone.

[Anonymous]

Thanks. Im just getting to the point where this is actually gonna happen, and every possible nightmare scenario is running thru my head. I expect a bit of a score bump as it is the last negative on my reports, but just keep seeing it falling off right before we sign paperwork and i get rebucketed and take a nosedive. Right now its a close call between that and them calling for a final employment verification at a time when we are closed, and my boss is out of town as to which one scares me more.

[RobertEG]

You lose a derog, which is postive, but perhaps move into scoring under a new algorithm which then compares you with others who also have no major derogs.

The net result could result in a very minor score drop, but certainly nothing to lose sleep over.

You have no control over the FICO gods moving you to a new scoring algorithm, and due to the properietary nature of their algorithms, you never get an answer as to the initial effect.

I would bet that the impact will be diminimus, and maybe even a bit positive.......

[Anonymous]

Thanks. Its not the possible couple points, its timing... it is likely to happen between now and when i close on a house. An untimely score drop could throw a wrench into the works.

[Anonymous]

In your siggy it shows your current midscore to be 661, and since you are not sitting on the cusp of one of the usual breakpoints - 580, 620, 640, 680, 720, 780 - then I would think that even in the unlikely event of a few points drop, you're still going to be good.

[Anonymous]

It is a USDA direct mortgage, and I am basically qualifying on alternative tradelines more than score anyway, just more worried about them rerunning my credit prior to closing and seeing a significant decrease. The actual numbers are not all that important with usda, I just kinda am at the "please don't let ANYTHING change" stage. 

[Anonymous]

I understand your apprehension. Any change for the worse is not likely to be 'signifigant'. A handful of points at worst. Far more likely is an upward bump.

[Anonymous]

Thanks, I appreciate that. Thats what I figure as well, This is just one of those the unknown is far worse than knowing.  Just wanna get thru the next 4 months or so and then it can do whatever it wants for a while.  

[Momof5]

During my first rebuild..... I had my final CA drop off and did lose points.   In fact, I was quite pissed because I saw soooo many on the assorted boards with recent BKs that higher scores than I did.