“The "damage points" data, unveiled recently by FICO, are part of the most revealing glimpse into the firm's once-secret -- and still mysterious -- credit scoring model. The new information discloses how many points borrowers' scores will drop when they make the most-common mistakes.
The "damage points" information, revealed in a report by personal finance writer Liz Pulliam Weston, will be made available through its myFICO Web site starting this weekend.
FICO's information shows that bankruptcy does the most serious damage to a credit score (up to 240 points), followed by foreclosure (up to 160 points) while maxing out a credit card has the least numerical impact (as few as 10 points).”
The table is just a teaser. Fair Isaac has been revealing secrets to the credit scoring algorithms in a piecemeal fashion for years. Every once in awhile they throw us a teaser. They intend to keep the credit scoring algorithms secret indefinitely. Our great great great great great grand parents are rolling in their graves simultaneously at the sight of us paying $15 for a three digit number (Credit Score). 15 bucks was like 400 bucks in 1774.