Why does a small purchase send my score down 20+ points????
02-28-2013 05:32 AM
This is maddening to me.......A few months ago, I had a score of 685. My auto loan is paid off in full, I have a 10 year old mortage with 10 years of perfect history, and a credit card with a credit limit of $300 that I use here and there and pay it off in full every month. Well, last month I took the family on a long weekend and used it a couple of times. The spends that weekend totalled around $265 and I had a credit score alert that my number had gone down to 265. Whoah, didn't expect that to happen! A 20 point drop for using a small balance credit card???? I immediatley paid off the card balance in full, and again have used it a couple of times in the past week for a total of $111. I just received another score alert that my score has dropped to 255. Is using a couple hundred dollars on my card REALLY having that kind of wild swings on my score? My alerts did tell me the reason for the score declines were for having balance changes on that card. Any insight is greatly appreciated.........