The impact of a few month balance on Fico8

[xenon3030]

I have 10 CC (3+ year age for the oldest one). At the end of 2016, I had EX Fico8 of ~750-760. Early this year, I kept balances on three of them for 5 months (each balance~25% of each CL, total balance<10% of total CL). I found my EX below 700 around June (before this, I was only looking at CK and the vantage scores were >760 and I was thinking that it should be fine). In June, I paid all off (kept a small balance on one card to avoid reporting all zero). Now, the Fico8 score is still 720 and far beyond very good (no negative points until now, no missed payment, no loan, etc.).

Does anyone know the expected time period for my Fico8 to go >740 and regain finally, 760?

[Anonymous]

How many new inquiries and new accounts did you take on from the end of 2016 through June 2017?  For you to take a score drop from 760 to 700 is significant, especially when you're saying your payment history and utilization have essentially stayed the same, meaning that 2/3 of your score has remained the same.  Losing 60 points from just inquiries and new accounts/AAoA reduction is a lot, so for that to happen I would think a large portion of those new accounts came in the last 6 months?

[xenon3030]

EX says 4 inquiries since Jan (>10 in the last 12 months). I also opened two CC since Jan.

[Anonymous]

When you say >10 in the last 12 months, do you mean you have more than 10 new inquiries in the last 12 months or that your total inquiries in the last 12 months has gone to more than 10? 

[xenon3030]

Since August 2016, I have 12 inquiries on EX (two should be soft inquiry from Yardi Resident screening but it seems that they would be counted as HP on EX).

[xenon3030]

I think, the dept part was solved in June and the remained score degradation is mainly due to the amount of new credit (10%, this includes both new accounts and the number of recent inquiries in the last 12 months that is 10). Therefore, I have a 10% score degradation that does not heal easily.

I think, after a few months and by time, if the number of inquiries would go below ~6 and the new accounts would be aged a few months, the credit score should heal significantly. But the EX simulations are very simplified and I cannot expect the estimated time that my credit score would go >740 or 760.

Is there any analytical model, formula or hint regarding the ways that this 10% of the amount of new credit would be calculated? What is the percentage of the inquiry number, the number of new accounts and the age of most recently opened account?

[Anonymous]

How many inquiries did you go from at the start up to now?  If you went from 0 to10 verses 10 to 20, the impact of 0 to 10 on your score would be significantly greater than going from 10 to 20.

[xenon3030]

Due to removing >40% of inquiries by December this year, I think, the score should heal significantly by the end of the year (possibly 750+) but difficult to expect a number before that (AAoA: 1y 5m, age of most recent account: 1m). I don't know the weigh of the age of most recent account to do even some rough estimations...