Paid off 18,000 credit cards and a 21000 car loan and my score went down! Strange please read!

[Anonymous]

I recently paid off all of my credit cards (18,000) which were up to 90% utilization and had a mis-reported 21,000 car loan paid off. Prior to paying off the cards and the car I was at equifax 654 now I am at 652.

Now when I say that the car loan was paid off thats only because thats the way it appears. I obtained approval to buy a car through a private party and ended up not buying the car but they started the loan anyway. I never missed a payment because I never HAD a payment.

However on 11-9-07 score watch reports that there are 2 missed payments on the car loan and that the balance is now 0 and my score is now 634! On 11-10-07 scorewatch sends me another report that corrects the loan (sort of) and puts it at a zero balence with no missed payments with a 652. What the @#$%?

So, I pay off 18,000 of credit card debit, all of my cards are now at a zero balance. The car loan is now reported as 0 balance with no missed payments and my score goes down? Did that one day where there was an incorrect report stating that I had two missed payments effecting me? I have never missed a payment on anything! Please help looking to buy a house!

Message Edited by seang on 11-12-2007 08:05 PM

Message Edited by seang on 11-12-2007 08:06 PM

[Anonymous]

Another thing that I did was dispute all of my credit cards that were displaying the wrong balances in the hopes that it would report the 0 balance faster. Not sure if that matters at all.

[Anonymous]

Ah- with EQ- they don't update as it goes along- they update all at once-

You are gonna have to wait til the dispute is over first.

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@Anonymous wrote:
Another thing that I did was dispute all of my credit cards that were displaying the wrong balances in the hopes that it would report the 0 balance faster. Not sure if that matters at all.

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[Anonymous]

Not sure as this is all new to me but everything I have disputed has been changed. Does that not mean that it is done?

[Anonymous]

If you paid them off recently, or your credit card co's don't report very often, the impact of paying off your cards may not be reflected in your scores yet.  It looks like HSBC/Household bank only reports every other month, or something like that.  The last reporting date for my HSBC cards was in September... and I've been waiting for my report to reflect paying off my cards.

Congratulations on getting everything paid off/taken off.  I'm sure your scores will reflect it soon.