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Super Contributor
Posts: 6,186
Registered: ‎02-24-2015

Utilization raised --> 40-42 point drop

[ Edited ]

No surprise here, but just for data sharing purposes:

 

Letting one card go to 87%, increasing overall utilization from 4% to 7%, caused EX FICO 8 to drop 20 points.


FICO8 EQ 736 TU 761 EX 741 FICO5 EQ 720 Total revolving 422500
Valued Contributor
Posts: 2,090
Registered: ‎04-01-2015
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Re: Utilization up; 20-point loss

Can you check Credit Karma to see impact on your Vantage Score? I believe it is always prudent to see how various models react.

 

I suspect the high utilization on the individual card is the primary driver in the Fico 8 score drop.

Fico 8: .......EQ 850 TU 850 EX 850 (3/2017)
Fico 9: .......EQ 850 TU 850 EX 850 (3/2017)
Fico 4 .....:. EQ 804 TU 823 EX 830 (3/2017) EX Fico 98: 839 (3/2017)
VS 3.0:...... EQ 832 TU 832 EX 832 (3/2017)
Fico 8 BC:. EQ 887 TU 899 EX 900 (3/2017)
CBIS: ........LN Auto 940 LN Home 870 TU Auto 902 TU Home 950 (4/2017)
Super Contributor
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Re: Utilization up; 20-point loss

[ Edited ]

Thomas_Thumb wrote:

Can you check Credit Karma to see impact on your Vantage Score? I believe it is always prudent to see how various models react.

 

I suspect the high utilization on the individual card is the primary driver in the Fico 8 score drop.


Unfortunately, my profile is not a good laboratory, due to the cacophony of other score-affecting events. I did in fact check Credit Karma this morning, which did indeed update this morning, but regrettably neither TU nor EQ is showing the new balance, which occurred only this morning and was reported immediately to EX. I checked transunion.com as well but that hasn't updated yet. Will check later today, and if there's anything to report, I'll update.

 

The only reason I could confidently report on EX FICO 8 is that (a) experian.com has FICO 8 and updates it, (b) I had a very pure morning at experian.com: one thing happened, and that was this card reporting the 87% balance, and (c) my score dropped a jaw dropping 20 points.


FICO8 EQ 736 TU 761 EX 741 FICO5 EQ 720 Total revolving 422500
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Posts: 2,090
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Re: Utilization up; 20-point loss

A couple other VS3 sources are credit.com (Experian score) and Credit Sesame (TU or EQ - can't recall).

 

You may want to hold off checking until Monday to allow more time for updating. My recollection is these sites pull new info when you log in (if enough time has passed since prior update) but, once updated they won't update again for 2 weeks or one month.

Fico 8: .......EQ 850 TU 850 EX 850 (3/2017)
Fico 9: .......EQ 850 TU 850 EX 850 (3/2017)
Fico 4 .....:. EQ 804 TU 823 EX 830 (3/2017) EX Fico 98: 839 (3/2017)
VS 3.0:...... EQ 832 TU 832 EX 832 (3/2017)
Fico 8 BC:. EQ 887 TU 899 EX 900 (3/2017)
CBIS: ........LN Auto 940 LN Home 870 TU Auto 902 TU Home 950 (4/2017)
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Posts: 6,186
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Re: Utilization up; 20-point loss


Thomas_Thumb wrote:

A couple other VS3 sources are credit.com (Experian score) and Credit Sesame (TU or EQ - can't recall).

 

You may want to hold off checking until Monday to allow more time for updating. My recollection is these sites pull new info when you log in (if enough time has passed since prior update) but, once updated they won't update again for 2 weeks or one month.


OK Thanks. I did check Credit Sesame, Bankrate, Wallet Hub, and Transunion.com.

 

Of course with the passage of time intervening events may have transpired. But will update when and if there appears to be something to report.

 


FICO8 EQ 736 TU 761 EX 741 FICO5 EQ 720 Total revolving 422500
Super Contributor
Posts: 6,186
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Re: Utilization up; 20-point loss

[ Edited ]

Thomas_Thumb wrote:

A couple other VS3 sources are credit.com (Experian score) and Credit Sesame (TU or EQ - can't recall).

 

You may want to hold off checking until Monday to allow more time for updating. My recollection is these sites pull new info when you log in (if enough time has passed since prior update) but, once updated they won't update again for 2 weeks or one month.


I checked credit.com and the Vantage 3.0 score is 729 based on EX data. Most likely this was a similar drop to what I experienced in FICO 8, but I did not have that score before, so I can't say for sure. My EQ and TU Vantage scores are in the 750's, so most likely the EX score was in that neighborhood as well.

 

 

 


FICO8 EQ 736 TU 761 EX 741 FICO5 EQ 720 Total revolving 422500
Senior Contributor
Posts: 6,390
Registered: ‎04-11-2016
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Re: Utilization up; 20-point loss

20 points is a pretty big drop for not crossing an aggregate utilization threshold.  I would have ballparked a 10-15 point drop from maxing out a single card (assuming a bunch of cards, not just 2 for example) so it's interesting to know that a drop could be this significant from a single revolver.

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Re: Utilization up; 20-point loss

[ Edited ]

BBS -

 

Fico scoring of individual card utilization is based on card with the highest utilization. It does not look at how many or what % are above a specific level. Thus, the QTY of cards should not impact how the individual card is scored (although scorecard assignment may impact how much the factor is weighed - dirty vs clean or young file vs established file). Of course QTY of cards will be important in damping the balance of that card on aggregate utilization.

 

In SJ's case he has quite a few cards of varying degrees of age. I suspect age of the highest UT card may influence magnitude of score penalty. Also, impact of # cards reporting may vary by CRA. However, my take is SJ's before/after are based on no change in # cards reporting balances.

 

For example 85% UT on a card under 1 year age may cost 20 points compared to if that card reported 29% UT. Now if that card was 5 to 8 years old, impact of 85% UT is muted- say to 10 points.

Fico 8: .......EQ 850 TU 850 EX 850 (3/2017)
Fico 9: .......EQ 850 TU 850 EX 850 (3/2017)
Fico 4 .....:. EQ 804 TU 823 EX 830 (3/2017) EX Fico 98: 839 (3/2017)
VS 3.0:...... EQ 832 TU 832 EX 832 (3/2017)
Fico 8 BC:. EQ 887 TU 899 EX 900 (3/2017)
CBIS: ........LN Auto 940 LN Home 870 TU Auto 902 TU Home 950 (4/2017)
Established Contributor
Posts: 729
Registered: ‎05-26-2016
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Re: Utilization up; 20-point loss

[ Edited ]

I have noticed this as well with Experian notably. When I allow several accounts to just report balances at least 6-8 plus out of my 19 accounts scores take a dive. When I only allow 3- 5 to report balances instant score recovery. Not much affect on TU&EQ though.

FICO8 Scores 8/19/2017: TU8:~714 EQ8:~704 EX8:~746
Inquires TU: ~10 EQ:~11 EX:~15
April 2015:Total Revolving CL$1,900----->August 2017:Total Revolving CL $300k+club
Super Contributor
Posts: 6,186
Registered: ‎02-24-2015
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Re: Utilization up; 20-point loss

[ Edited ]

Thomas_Thumb wrote:

BBS -

 

Fico scoring of individual card utilization is based on card with the highest utilization. It does not look at how many or what % are above a specific level. Thus, the QTY of cards should not impact how the individual card is scored (although scorecard assignment may impact how much the factor is weighed - dirty vs clean or young file vs established file). Of course QTY of cards will be important in damping the balance of that card on aggregate utilization.

 

In SJ's case he has quite a few cards of varying degrees of age. I suspect age of the highest UT card may influence magnitude of score penalty. Also, impact of # cards reporting may vary by CRA. However, my take is SJ's before/after are based on no change in # cards reporting balances.

 

For example 85% UT on a card under 1 year age may cost 20 points compared to if that card reported 29% UT. Now if that card was 5 to 8 years old, impact of 85% UT is muted- say to 10 points.


This is a 5 month old card; I was taking advantage of a promo 0% interest rate.


FICO8 EQ 736 TU 761 EX 741 FICO5 EQ 720 Total revolving 422500

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