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Credit History Q for U

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Jesster
Valued Member

Credit History Q for U

Why does MyFico show "Short History" as a negative impact on my score, yet on the side where they grade you (payment history, length, new credit, yada yada) it shows that my length of credit history is "Good." Which should I believe? I have 8yr 2mth overall history, 4yr AAoA, I want to appy for an auto loan, but the short history part makes me a wee bit nervous.

 

THANKS!

 

EQ-665

TU-756 

Human beings, who are almost unique in having the ability to learn from the experience of others, are also remarkable for their apparent disinclination to do so. ~Douglas Adams

Cap1 Secured - $700 (chopping block)/ Amex Green / AmazonGEMB - $3200 / Amex BCE - $3200 / Chase Freedom - $3000 / Discover More $3500
Message 1 of 7
6 REPLIES 6
vanillabean
Valued Contributor

Re: Credit History Q for U

I suppose the undefined short history means one of three things:

1) your oldest card is not all that old (but not when length of credit history is good or better)

2) your AAoA is relatively low compared to your oldest card (but that's probably not it for you either)

3) you have applied for a card recently (could that be it?).

Message 2 of 7
Jesster
Valued Member

Re: Credit History Q for U

The last time I applied was back in July for the Cap1. I've refrained from additional inquiries since I knew I'd be car shopping in the near future. Could it be that I have only 2 TLs? These are the only two cards I've ever owned. Even then, though, I'd imagine that it would be mentioned somewhere that I have too few lines of credit (is it even possible?)

Human beings, who are almost unique in having the ability to learn from the experience of others, are also remarkable for their apparent disinclination to do so. ~Douglas Adams

Cap1 Secured - $700 (chopping block)/ Amex Green / AmazonGEMB - $3200 / Amex BCE - $3200 / Chase Freedom - $3000 / Discover More $3500
Message 3 of 7
llecs
Moderator Emeritus

Re: Credit History Q for U

OP, I wouldn't fret about that negative comment. There's nothing that can be done about it. Remember, length of history as part of the +/- things hurting or helping your score has little to do with the length of history listed on the first page of your report. As mentioned, the history on the first page encompasses your overall length, AAoA, the age of your oldest revolving, age of your oldest installment, and other factors. The negative (or positive for some) on the next two pages covers just the overall length and just the AAoA.

 

Also know that the negatiive comment (on the second page) is based on your credit comparison to others within the same scoring bucket. In other words, you are being directly compared to others with a similar credit profile. Assuming nothing else happens to your credit, and as it ages, you history will eventually slide over as a positive. One day you'll get rebucketed and then that positive comment will return negative once again. I've had this happen to me several times, but with the EXACT same history, my length and AAoA is a negative on one report and a positive on the other. There's nothing you can do about it other than to do your best not to app for anything, unless you need it, and to do your best not to close accounts as they'll eventually drop off after 10 yrs. Certainly protect your oldest.

Message 4 of 7
Anonymous
Not applicable

Re: Credit History Q for U

They have no reason for some stuff so that's what they

use.  For instance more than 2 accounts with balances

will get you  "short history".

 

 

 

Message 5 of 7
vanillabean
Valued Contributor

Re: Credit History Q for U

 


@Anonymous wrote:

They have no reason for some stuff so that's what they

use.  For instance more than 2 accounts with balances

will get you  "short history".


 

That's not my experience. I have in front of me a myFICO EQ score report from last month listing three credit card balances (and a mortgage balance), and the only thing noted as hurting my score is a relatively recently opened credit account.

 

Message 6 of 7
Anonymous
Not applicable

Re: Credit History Q for U

They do it to me all the time.  If I have 2 bal. next month

it will go back up 8 pts.

 

I have trouble figuring out Chase reporting therefore the

3 balances.

 

They don't seem to have a too many balances so they just

use the short history.

 

If it's not happening to you then you're lucky.   Th 8 pts took me

out of 800 club.Smiley Sad 

 

Maybe you have more accounts than I do.  I only have 5 open.

 

So if 3 report that's bad for me.

 

Message 7 of 7
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