topic Re: Do you lose points for moving? in Understanding FICO® Scoring

Do you lose points for moving?

masscredit — Mon, 18 Jan 2016 19:05:09 GMT

Most credit apps want to know if you've lived at the current address for less than 2 years. I've never really thought much about this but is there is reason why. And when it comes to scoring, is this factored in at all? I don't believe it is because I've never seen anything about it.

Re: Do you lose points for moving?

manyquestions — Mon, 18 Jan 2016 19:43:01 GMT

It's not factored into your FICO score but it may be considered a factor by a bank if they ask on the application. Similar to a question about how long have you been employed by your current employer. I think they are looking for signs of financial stability and that may be considered part of it.

Re: Do you lose points for moving?

Anonymous — Mon, 18 Jan 2016 23:05:43 GMT

MQ is completely right. No effect whatsoever on any FICO score.

He's also right that individual lenders (most often a mortgage lender) have the right to consider it significant. That's one reason I personally chose to strip my reports of any information that doesn't need to be on there by law, e.g. employment, lots of past addresses, cell phone #, etc.

BTW, when the OP says that "Most credit apps want to know if you've lived at the current address for less than 2 years" -- I don't think that's an example of the lender caring about that for its own purposes. It's because the lender's automated system is gearing up to do a soft or hard pull of you, in which case the CRA's system may want to know your last address if your current one is quite new. I base that on the fact that I can remember the CRAs asking me the same question when I wanted to do a pull of my own report.

Nonetheless I can imagine a mortgage lender possibly having a policy where a guy who's had 5 addresses and 5 employers in the last 5 years is a red flag compared to a guy who's lived at his current address and had his current job for the last five years. As MQ said, the latter suggests a kind of rootedness and stability that may be important in home loans.

Re: Do you lose points for moving?

Anonymous — Mon, 18 Jan 2016 23:36:00 GMT

@Anonymous wrote:
MQ is completely right. No effect whatsoever on any FICO score.

He's also right that individual lenders (most often a mortgage lender) have the right to consider it significant. That's one reason I personally chose to strip my reports of any information that doesn't need to be on there by law, e.g. employment, lots of past addresses, cell phone #, etc.

BTW, when the OP says that "Most credit apps want to know if you've lived at the current address for less than 2 years" -- I don't think that's an example of the lender caring about that for its own purposes. It's because the lender's automated system is gearing up to do a soft or hard pull of you, in which case the CRA's system may want to know your last address if your current one is quite new. I base that on the fact that I can remember the CRAs asking me the same question when I wanted to do a pull of my own report.

Nonetheless I can imagine a mortgage lender possibly having a policy where a guy who's had 5 addresses and 5 employers in the last 5 years is a red flag compared to a guy who's lived at his current address and had his current job for the last five years. As MQ said, the latter suggests a kind of rootedness and stability that may be important in home loans.

Hi CreditGuyInDixie,

How would one go about removing the items that you indicated, such as employment, past addresses, and cell phone numbers, etc? And what exactly is required by law?

Thanks in advance.

Re: Do you lose points for moving?

Anonymous — Tue, 19 Jan 2016 00:04:05 GMT

The section of the report I am thinking about is the Personal Info section at the beginning.

Social security number, birthdate, current address, and name fields are required. These have to have a value and have to be accurate. I am also personally fine with the Previous Address being filled out too, though I don't like people seeing scads of past addresses. One is enough (and indeed I believe one is required if you haven't lived at your current address for long).

But all the other stuff (including employment, phone number, etc.) is easy to get rid of (including lots of past addresses). I believe I have done it online before, much like the online dispute process for anything else. The CRA in practice will delete anything you ask them to, since they don't have a creditor at the other end confirming it. I did it with another CRA over the phone before.

It's a matter of personal preference. Some people don't mind their reports showing all that stuff, some do. If you do, it's easy to get rid off.

Re: Do you lose points for moving?

masscredit — Tue, 19 Jan 2016 00:13:26 GMT

Interesting. I didn't know that! My reports list addresses since I was in my late teens. They also have my ex-giftfriend's address from the late '90s. I might have been an authorized user on her account. I think it's time to do some cleaning.

Re: Do you lose points for moving?

Anonymous — Tue, 19 Jan 2016 01:28:21 GMT

@Anonymous wrote:
The section of the report I am thinking about is the Personal Info section at the beginning.

Social security number, birthdate, current address, and name fields are required. These have to have a value and have to be accurate. I am also personally fine with the Previous Address being filled out too, though I don't like people seeing scads of past addresses. One is enough (and indeed I believe one is required if you haven't lived at your current address for long).

But all the other stuff (including employment, phone number, etc.) is easy to get rid of (including lots of past addresses). I believe I have done it online before, much like the online dispute process for anything else. The CRA in practice will delete anything you ask them to, since they don't have a creditor at the other end confirming it. I did it with another CRA over the phone before.

It's a matter of personal preference. Some people don't mind their reports showing all that stuff, some do. If you do, it's easy to get rid off.

Thanks for the reply CreditGuyInDixie,

This is good information to know. I would like to get rid of very old addresses and stuff like that.

I appreciate this!