Moderator Emeritus
Posts: 32,869
Registered: ‎08-04-2007
Re: Lenders see different scores than consumers do

Leoseamus wrote:
I added a credit card. I reduced my credit card debt a couple hundred dollars but nothing substantial. I had bad credit card debt that i incured in college and paid off in 2006. I just submitted a dispute about something. I am afraid to have my credit pulled by anyone because of that score for fear of that causing it to go down farther.

While overall balances play a small part, utilization is significant. If your credit limits are low, paying off $200 can bump your scores up.


If any of your debt paydown included adding $0 balances, then that can help your FICO in most situations.


Adding a credit card isn't always the best, but if your mix of credit improved as a result of the added CC, then you could see some score gains.


If you disputed that bad credit card, and the dispute is still showing, know that FICO would be ignoring your payment history. That can artifially increase your scores as long as that comment remains.


Combine everything together and a gain that large is very possible.


Pulling your own FICO score won't hurt your credit. Having a lender pull it could hurt.