@Anonymous wrote:
Understood, it's just the CK summary software that only computes AAoA using open accounts where the scoring model uses all accounts on the report the way FICO does. Sort of bogus that their summary software provides data that goes against what their model actually scores.
Is this the same for late payments? Their summary software indicates that late payments only impact score for 2 years. Do they impact score for the full 7 years under VS 3.0 like they do under FICO scoring models?
Curious to hear what others say about this. My guess (emphasis on guess) is that Vantage 3.0 is probably like FICO 8 in how it handles late payments.
In other words, 30 Day lates are treated in a fairly friendly/benign way, as long as you have demonstrated a solid year of perfect payment history after them, and even more benignly after two years. This is a shift from how previous FICO models handled them, which was to cut someone much less slack if he had become a good scout, and to continue the punishment for the full seven years.
60 and 90 day lates FICO 8 may also be more flexible with for good scouts, but probably less so. The reason is that a couple 30-day lates can arguably happen by accident, whereas a 60-day late almost surely shows substantial financial hardship and risk.
My guess is that Vantage 3 is probably a lot like FICO 8 in all of the above.
As you can imagine, I view all of Karma's advice and claims about its algorithms with skepticism. Karma was a terrible offender at one time in that it gave horrible almost fraudulent advice about the total number of accounts you needed in order to have a good score. (It would claim, for example, that you'd have a very bad score with only 9 accounts.) This was because they made a good portion of their money by inducing worried users to open new cards via their portal. (Take a look at the top of this screen at all the APPLY NOW! buttons and you'll see that they aren't exactly alone here.)
Nonetheless I am a big advocate of Karma, as long as it is used judiciously. Great tool for getting free reports and free Vanatge scores and a free Auto Insurance score.
PS. You'll see if you read a bit earlier in this thread that I am skeptical about almost every "general overview" of advice that any scoring company gives about its algorithm. (Including power point presentations given by FICO.) The only exception is when a company describes its scoring groups with percentages and gives factors within a group. These have typically been scrutinized repeatedly by the company and in all likelihood by algorithm developers.
