TU hates me (or, actually, my car loan)

[Anonymous]

Just pulled my EQ and TU FICO scores.  Nothing has changed in my credit profile in the last three months (since I last pulled scores), but TU has now dinged me 22 points (!!!!) because they don't like the remaining balance on my one auto loan ($6600 outstanding, out of $23000 original balance).  EQ didn't ding me.

No lates, no derogs, excellent credit, 1% UTIL, one card reporting...

Funny that the loan balance is lower now than it was three months ago, but TU suddenly has a problem with it.

Here's the reason for the ding:  "The balances on your non-mortgage credit accounts are too high."  That would be my one reporting credit card (balance: $125), and my one auto loan ($6600).

Come on, TU!  WTF!

[MarineVietVet]

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@Anonymous wrote:

Just pulled my EQ and TU FICO scores.  Nothing has changed in my credit profile in the last three months (since I last pulled scores), but TU has now dinged me 22 points (!!!!) because they don't like the remaining balance on my one auto loan ($6600 outstanding, out of $23000 original balance).  EQ didn't ding me.

No lates, no derogs, excellent credit, 1% UTIL, one card reporting...

Funny that the loan balance is lower now than it was three months ago, but TU suddenly has a problem with it.

Here's the reason for the ding:  "The balances on your non-mortgage credit accounts are too high."  That would be my one reporting credit card (balance: $125), and my one auto loan ($6600).

Come on, TU!  WTF!

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I get that same comment from TU. I just ignore it. Don't bang your head against the wall trying to figure some things out. Life is too short for that.

From a BK years ago to:

9/09 EX pulled by lender 802
3/10 EQ- 800
4/10 TU -772

You can do the same thing with hard work

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[Anonymous]

Yeah, the negative remark isn't so bad, but the 22 point drop stings a little.... 

I always purchase my EQ and TU FICOs thru myFico, so I assume I'm comparing apples to apples...

[Anonymous]

The 1% util, is that exactly what's reporting? Are the balances and limits the same on EQ and TR?

[Anonymous]

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@Anonymous wrote:

The 1% util, is that exactly what's reporting? Are the balances and limits the same on EQ and TR?

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Yep.  I'm only letting one credit card report a balance each month, and it's the same on both EQ and TU, 1% UTIL.

[Anonymous]

Then my only guess would be that you've been re-bucketed. Sorry for the 22 point ding! But hopefully your scores are high enough that the 22 point ding hasn't cost you any opportunities.

[Anonymous]

Ugh!  Both EX and TU are still dinging me because of my car loan!  Car loans are secured, so I can't believe they no longer make the distinction between credit card balances and auto loan balances!!!!!!  This only started in the last four months.

[Anonymous]

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@Anonymous wrote:

Ugh!  Both EX and TU are still dinging me because of my car loan!  Car loans are secured, so I can't believe they no longer make the distinction between credit card balances and auto loan balances!!!!!!  This only started in the last four months.

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Well if they are reporting 1% utilization on your revolving accounts then you would have to have some really high credit lines to only have 6600 be 1% of them. 

Auto loans are installment loans with a defined end date to them so they should not be mixed in with your open lines of credit.  Unless you underpaid them during the course of the loan and have went past your loan date (outstanding) say four/ five years whatever have you  then you got me pal.

[Anonymous]

I know!  Especially since I'm down to my last 12 months of payments on my car loan, and neither TU nor EX had a problem with the loan before 4 months ago. 

The 'ding' reason says:

The balances on your non-mortgage credit accounts are too high.

Your FICO score considers how much you owe on your credit accounts, such as revolving credit accounts and non-mortgage installment loans.

Generally, the more you owe on these accounts, the greater risk you pose to lenders.

My total credit card UTIL is less than 1% each month (less than $200), reporting on only one card.  So it must be because of the outstanding balance of my car loan.... which is a secured loan.  And I owe less than $6000 on it now.... from an original $23,000 loan. 

Once I slipped below 1/3 amount owed, I must've slopped into that new bucket.  It should recover when I get below $1200 remaining.

[haulingthescoreup]

Has your overall credit history age, and/or your average credit history age, gone up a year? If so, from what to what? (i.e., 18 years to 19 years, or 4 years to 5 years)

Alternatively, have you had a baddie fall off, perhaps the last one, or maybe the last serious one (collection, judgement, 90 day, etc.)?

I'm guessing that you got re-bucketed. And from the severity of the drop, I'm further guessing that you have squeaky-clean credit and looooong credit history, and you moved into the world of Perfect People, where the scoring formula really scrambles for negative factors. Factors that don't even particularly register on many people hit (and hurt) hard on those up in the 770's and above.

Even so, 22 points is pretty harsh!