Average Age of Accounts Drops - I Lost 4 Fico Points

[Anonymous]

My average of accounts drops from 6.7 years to 6.4 years and I lost Fico 4 points. There appears to be a threshold around 6.5 years.

[HeavenOhio]

Could it be due to the age of your youngest account? Or did you have an older account drop off?

[Anonymous]

No, it's not age of youngest acct because the age of my youngest acct is currently 2 months and the new acct that just reported is 3 months old. It's Jared's/Comenity acct that I opened in October but just reported today.

[Anonymous]

Could be a combination of number of accounts under 2 yrs old (new accounts).

[Anonymous]

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@Anonymous wrote:

Could be a combination of number of accounts under 2 yrs old (new accounts).

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I have 12 accts less than 2 yrs old, I'm not sure 1 more would make a difference.

[Anonymous]

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@Anonymous wrote:

My average of accounts drops from 6.7 years to 6.4 years and I lost Fico 4 points. There appears to be a threshold around 6.5 years.

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I don't believe a threshold exists there with respect to AAoA.  I would think the inquiry and/or "new account" would have been the cause.  When my AAoA traveled all through the 6 year to 7 year range, I never detected any score gain that I couldn't possibly attribute to something else... inquiries aging, baddies aging, etc.  Simply too many moving parts. 

[Anonymous]

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@Anonymous wrote:

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@Anonymous wrote:

My average of accounts drops from 6.7 years to 6.4 years and I lost Fico 4 points. There appears to be a threshold around 6.5 years.

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I don't believe a threshold exists there with respect to AAoA.  I would think the inquiry and/or "new account" would have been the cause.  When my AAoA traveled all through the 6 year to 7 year range, I never detected any score gain that I couldn't possibly attribute to something else... inquiries aging, baddies aging, etc.  Simply too many moving parts. 

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I don't think it's inquiry since the inquiry was in Oct when I applied. I don't think it's new acct since it was 3 month old before it reported. I have accts younger than that on my report.

[Anonymous]

Even if it was 3 months old when it reported, it still is a "new account" and the number of accounts opened recently (and number of accounts with balances) can impact FICO score.

The only non-integer AAoA threshold that I've read about is believed to be at 7.8 years; everything else that has been reported has involved crossing whole numbers.

[Anonymous]

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@Anonymous wrote:

Even if it was 3 months old when it reported, it still is a "new account" and the number of accounts opened recently (and number of accounts with balances) can impact FICO score.

The only non-integer AAoA threshold that I've read about is believed to be at 7.8 years; everything else that has been reported has involved crossing whole numbers.

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I've noticed that when when my accts reach 3 months old, I lose the Fico penalty for new accts. I know that it was not acct with balances as the acct reported with a zero balance, which would have helped my score, not hurt it.

I will watch this and see if I gain those points back when my average age reach 6.5 years.

[Anonymous]

The problem though even if you do get the points back at the exact time that you reach a 6.5 year AAoA is that you have many other variables at play. Those new accounts are aging as are your inquiries, so any number of other things could give you a false positive.