topic Re: Fico score drop 42 points in Understanding FICO® Scoring

Fico score drop 42 points

Gggmen — Wed, 05 Dec 2018 12:43:12 GMT

Just asking for info on my score. I use credit karma to monitor activity on my reports. I know they use a vantage score so i also subscribe to credit agencies. My score dropped 42 and 47 points for no reason i can find. I opened a new boa card up last month but tgats a huge drop. No lates or anything else showing up on any of my reports. Any info is appreciated.

Re: Fico score drop 42 points

PointsBonus — Wed, 05 Dec 2018 12:49:49 GMT

Same here 34 points.

Following.

Re: Fico score drop 42 points

Gggmen — Wed, 05 Dec 2018 13:36:11 GMT

Did that happen this month or previously

Re: Fico score drop 42 points

Anonymous — Wed, 05 Dec 2018 13:58:16 GMT

The guru's will ask for more info, as it stands the reason could be a lot of things.

Did you put a balance on the new card

How many new HP's do you have

How many cards do you have with a balance and their utilizations

Do you have installment loans, any recently paid off

Whats your average age of accounts

From experience, when I got approved for 2 new cards (the HP's), and then I put a balance on them (Raising the utility). Between both of those actions, I lost around 30-40 points across my scores

Re: Fico score drop 42 points

Gggmen — Wed, 05 Dec 2018 14:40:03 GMT

Yea that could be it. I do have a loan out but being paid on time. I have a few hard inquiries and i put a decent hit on a new card no apr for 15 months. Thanks for responding. Its probably multiple factors. Im just going to go take a trip to the garden now i believe. Kick my feet up and try not to stress about 3 digits that don't mean much in the bigger picture of life i suppose.

Re: Fico score drop 42 points

Anonymous — Wed, 05 Dec 2018 15:41:06 GMT

The most important reason to relax is that (as far as I can tell) the scores you mention are Vantage scores, not FICO scores. Vantage scores can drop for nonintuitive reasons and no lenders or CC issuers use them for making decisions.

I am a little concerned about what you said regarding having subscriptions with each credit bureau. That doesn't affect your score but does affect your wallet. Let me know if you'd like folks here to review what you are using and see if you could save some money. There are credit monitoring solutions that cost almost nothing (a few dollars a year) or are completely free.

Re: Fico score drop 42 points

Anonymous — Wed, 05 Dec 2018 16:12:45 GMT

1. Please confirm that these are FICO scores, not CK scores, if they're CK scores, get your FICO scores and post back.

2. What was the age of your youngest account prior to this new account reporting? If your AoYA was greater than 12 months, resetting it to 0 month can cost around 15-20 FICO points, on top of other possible negative effects.

3. What was the AAoA (average age of accounts) before and after the account reported?

4. What was the aggregate and individual UTI before and after?

Re: Fico score drop 42 points

Thomas_Thumb — Wed, 05 Dec 2018 16:43:49 GMT

@Gggmen wrote:
Just asking for info on my score. I use credit karma to monitor activity on my reports. I know they use a vantage score so i also subscribe to credit agencies. My score dropped 42 and 47 points for no reason i can find. I opened a new boa card up last month but tgats a huge drop. No lates or anything else showing up on any of my reports. Any info is appreciated.

If your most recent account opening (prior to the new card) was over 12 months ago, you will get hit with a new account penalty that may Fico drop score up to 20 points. In addition, you could lose an additional 5 points from an associated HP. The remaining point drop could be the result of high utilization on the new card. What was the utilization at the time the scores were pulled?

I realize you are reporting VantageScore and the VS3 scoring model looks at attributes a bit differently than Fico 8.

Re: Fico score drop 42 points

SummerOf17 — Wed, 05 Dec 2018 23:09:19 GMT

AAoA went down, been there done that. The % of new credit line account compaired & tacked on vs. the rest of whats on file. Me thinks.

Re: Fico score drop 42 points

Anonymous — Wed, 05 Dec 2018 23:52:46 GMT

As OM stated above, VS 3.0 scores aren't meaningful and can be ignored. Nothing to worry about there with 40-50 point drops. If you're seeing 40-50 point FICO score drops, it would matter and should be looked into as those are meaningful scores that a lender would use.

Veteran Members and Mods, is there anything we can do in this section of the forum such as a basic sticky thread that points to VS 3.0 scores being unmeaningful? No disrespect to the OP here at all, but it's essentially a daily occurance here that people are posting thinking that the scores they're getting from a VS 3.0 source such as Credit Karma, Credit Sesame, Credit Wise, etc. are FICO scores and it's causing them unnecessary stress/worry when those scores should be ignored 99% of the time. This after all is the Understanding FICO Scoring section and those scores being referenced [often not to the knowledge of the poster] aren't FICO scores.

Re: Fico score drop 42 points

Gggmen — Thu, 06 Dec 2018 02:53:49 GMT

I really appreciate your information. Thank you very much

Re: Fico score drop 42 points

Thomas_Thumb — Thu, 06 Dec 2018 13:01:06 GMT

@Anonymous wrote:
As OM stated above, VS 3.0 scores aren't meaningful and can be ignored. Nothing to worry about there with 40-50 point drops. If you're seeing 40-50 point FICO score drops, it would matter and should be looked into as those are meaningful scores that a lender would use.

Veteran Members and Mods, is there anything we can do in this section of the forum such as a basic sticky thread that points to VS 3.0 scores being unmeaningful? No disrespect to the OP here at all, but it's essentially a daily occurance here that people are posting thinking that the scores they're getting from a VS 3.0 source such as Credit Karma, Credit Sesame, Credit Wise, etc. are FICO scores and it's causing them unnecessary stress/worry when those scores should be ignored 99% of the time. This after all is the Understanding FICO Scoring section and those scores being referenced [often not to the knowledge of the poster] aren't FICO scores.

I like seeing data on VantageScore in addition to Fico. I also enjoy discussions on CBIS scores and ChexSystems. I would advise against sanctioning. No scores are useless IMO, just different. Frankly, I found Fico 8 scores to be far less representative of Fico mortgage scores than my CreditXpert scores.

If someone wants a sticky, make it educational. List the primary scoring attributes for each model and the key differences between models. Include Classic Fico compared to Industry enhanced versions, Fico 8 compared to mortgage Ficos 04/98 and Fico 9 compared to Fico 8. I little cross reference education on nomenclature wouldn't hurt either such as EQ Fico score 5 is Fico 04 model as is TU Fico score 4 and EX Fico score 3.

Other credit sites have put together summaries along these lines.

Re: Fico score drop 42 points

Anonymous — Thu, 06 Dec 2018 15:55:35 GMT

TT, I'm not stating that there shouldn't ever be any VS 3.0 or other discussions and like you I enjoy discussing these things as well. To me, this issue comes down to the majority benefitting here. For every person like you and I, or thread that actually knowingly discusses non-FICO scoring, there are easily 10+ threads/people that are wrongly believing that their non-FICO scores are FICO scores. To me, that's a problem. I don't think this has anything to do with sanctioning, just up-front disclosure of one of the biggest topics/issues that comes up on a daily basis.

No one is saying not to discuss non-FICO scores, but people should at least be aware that they're discussing non-FICO scores. The majority aren't even aware.

Re: Fico score drop 42 points

RonM21 — Thu, 06 Dec 2018 16:28:52 GMT

@Thomas_Thumb wrote:
@Anonymous wrote:
As OM stated above, VS 3.0 scores aren't meaningful and can be ignored. Nothing to worry about there with 40-50 point drops. If you're seeing 40-50 point FICO score drops, it would matter and should be looked into as those are meaningful scores that a lender would use.

Veteran Members and Mods, is there anything we can do in this section of the forum such as a basic sticky thread that points to VS 3.0 scores being unmeaningful? No disrespect to the OP here at all, but it's essentially a daily occurance here that people are posting thinking that the scores they're getting from a VS 3.0 source such as Credit Karma, Credit Sesame, Credit Wise, etc. are FICO scores and it's causing them unnecessary stress/worry when those scores should be ignored 99% of the time. This after all is the Understanding FICO Scoring section and those scores being referenced [often not to the knowledge of the poster] aren't FICO scores.
I like seeing data on VantageScore in addition to Fico. I also enjoy discussions on CBIS scores and ChexSystems. I would advise against sanctioning. No scores are useless IMO, just different. Frankly, I found Fico 8 scores to be far less representative of Fico mortgage scores than my CreditXpert scores.

If someone wants a sticky, make it educational. List the primary scoring attributes for each model and the key differences between models. Include Classic Fico compared to Industry enhanced versions, Fico 8 compared to mortgage Ficos 04/98 and Fico 9 compared to Fico 8. I little cross reference education on nomenclature wouldn't hurt either such as EQ Fico score 5 is Fico 04 model as is TU Fico score 4 and EX Fico score 3.

Other credit sites have put together summaries along these lines.

Good ideas by BBS or Thomas. I think maybe it isn't a bad idea for both to be done.

For me, I understand each score has a different use. But, I do think that the Vantage score is a concern because there really are not lenders who use it for decisions. Most times, people coming into these forums are questioning their scores based on where they may stand on potential approval or applications. For those unaware, they are thrown off by using these Vantage scores to describe where they currently stand. Generally, I tend to think that the Vantage is used the least, if at all. Which makes me question....if anyone is using these Vantage scores for their own personal reasons, knowing they are not what lenders use, then what are they comparing them to, or what is the use? Or are they using it for fun? Maybe it's just me.

Re: Fico score drop 42 points

Anonymous — Thu, 06 Dec 2018 16:08:17 GMT

@RonM21 wrote:
But, I do think that the Vantage score is a concern because there really are not lenders who use it for decisions. Most times, people coming into these forums are questioning their scores based on where they may stand on potential approval or applications. For those unaware, they are thrown off by using these Vantage scores to describe where they currently stand.

And that's exactly my point. It's about basic disclosure here. Scores from CK, CS, CW etc. are not FICO scores and rarely if ever will be considered in a lending decision. As long as someone is aware of that, if they'd like to continue discussing them, comparing them for fun like TT does, etc. that's just fine.

Re: Fico score drop 42 points

Anonymous — Fri, 07 Dec 2018 14:27:07 GMT

" opened a new boa card up last month"

See if they did a hard Inquiry? I wouldn't worry. it will bounce back even higher. carry zero balance and pay them on time.