My fico score dropped 27 points I paid balance down????

[Blessed221]

I paid my balance from $1425 to $500 my score dropped 27 points someone please explain what seriously happened.

[tomanji]

this same thing happen to me! Not by 27 points but my score dropped by 5 points.. I paid down a $5,300 balance to $3,500 last month and i guess it just got reported yesterday thats when I got the alert.. Last week I paid off the $3,500 now its a $0 balance should I expect to see another drop? My fico went from 708 to 703

[Blessed221]

So thanks for sharing your story tomanji  . Here's the deal I called myficco 800# the woman was so nice and helpful she stated to me because I paid most of the bal off its closer to closing the account the acct would take another hit that doesn't make since when the utilization is lower.

[noobafterbk]

ok this why this system is so flawed? so you pay down your balances and your score drops? my student loans just got consolidated into one account. no changes to balance no difference other than seperate accounts were merged and my score dropped 24 points!!!!!
yes my balances on my cc are now zero and balance on student is reducing but my score went down gotta love the perfect myfico scoring algorythm

[lord_kinbote]

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@Blessed221 wrote:

I paid my balance from $1425 to $500 my score dropped 27 points someone please explain what seriously happened.

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Just to clarify, I assume you are referring to an installment vs a revolving?  If that is the case, then the reasoning provided by myfico sounds plausible.   Types of Credit you have is 10% of your FICO score.

[Blessed221]

Great response but the trade line is actually listed as a credit card not installment that's why I was puzzled the line of cred is $2,500

[lord_kinbote]

Wow, that is interesting. You know, folks on here swear by the below 7% on one card and 0 balances on the remaing at statement cut. I thus far have found that FICO likes balances on all my cards at statement cut, albeit below 10%. So, I am not sure what to believe.

I would love to know what you find out. Are you sure there is nothing else that has changed?

[Blessed221]

I verified with the rep nothing else happen I even check to see if my disputes closed I have 9 items updated and removed all positive reporting now

[lord_kinbote]

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@Blessed221 wrote:
I verified with the rep nothing else happen I even check to see if my disputes closed I have 9 items updated and removed all positive reporting now

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How many revolving accounts do you have and what is the utilization for each card?

[Anonymous]

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@akula wrote:

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@Blessed221 wrote:
I verified with the rep nothing else happen I even check to see if my disputes closed I have 9 items updated and removed all positive reporting now

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How many revolving accounts do you have and what is the utilization for each card?

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He's going in the right direction lol