11-11-2012 06:17 PM
i have a Credit Card that was opened in 02/2003 and my current AAOA is 6 years, with my other credit cards. Now i understand that a CL can report for 10 years for AAOA. after 10 years, does my account get adversely affected since it will no longer report after 10 years.
Thanks in advance
11-11-2012 06:40 PM
The 10-years isn't a fixed rule. It's only a guideline and I've had positive closed accounts report more than 10 and less than 10 from the date of closure.
FICO factors in the age of the TL per the length of history as well as the AAoA. So if an OC account deletes, and is older than your AAoA, then your AAoA will drop too. Not every increase or decrease in AAoA will result in a FICO change though. YMMV on your credit and scoring bucket. However, if you have a multi-year drop, then the odds of a score drop go up considerably.
Length of history is a big deal too. If it is your oldest overall or oldest revolving, installment, etc., then your odds of a score drop go up even if AAoA remains unchanged. YMMV again on your credit.
Remember, the 10-yr clock starts ticking on the closure date, vs. open date.