topic Re: Lates & CO Scoring Impact in Understanding FICO® Scoring

Lates & CO Scoring Impact

Anonymous — Thu, 20 May 2021 14:27:03 GMT

I understand this could go in rebuilding section, but it's all about the impact to scoring.
I have one CO on my reports. I pulled TU today from Annual Credit Report and I noticed that the 30, 60, & 90 day lates leading up to the CO have been removed. There is only X's and then the CO itself. Since 2020 it's shown the lates leading up to the CO. Will the removal/non reporting lates help my FICO scores or probably not? Thanks in advance. I'll post a screen of the TL.

Re: Lates & CO Scoring Impact

Anonymous — Fri, 21 May 2021 10:56:36 GMT

I suppose you may see a few points but the CO far outweighs the lates as the worst of the various negatives, so any significant gain is very unlikely. Still, any removal of negatives is a win, so this is still good.

Re: Lates & CO Scoring Impact

Anonymous — Fri, 21 May 2021 11:26:35 GMT

@Anonymous wrote:
I understand this could go in rebuilding section, but it's all about the impact to scoring.
I have one CO on my reports. I pulled TU today from Annual Credit Report and I noticed that the 30, 60, & 90 day lates leading up to the CO have been removed. There is only X's and then the CO itself. Since 2020 it's shown the lates leading up to the CO. Will the removal/non reporting lates help my FICO scores or probably not? Thanks in advance. I'll post a screen of the TL.

No, not really. I will be surprised (and happy for you) if it does impact it positively.

I have had this happen and no score change came about. Generally, it goes by worst status and CO goes past 120d+ late in severity. It is expected that there are severe lates involved if the account gets CO'd.

I even had well over 100 lates removed (60d-120d+) all at once and it had zero score change due to other COs reporting. I hope it works out differently for you, but temper your expectations.

Re: Lates & CO Scoring Impact

Anonymous — Fri, 21 May 2021 23:50:54 GMT

@Anonymous wrote:
I understand this could go in rebuilding section, but it's all about the impact to scoring.
I have one CO on my reports. I pulled TU today from Annual Credit Report and I noticed that the 30, 60, & 90 day lates leading up to the CO have been removed. There is only X's and then the CO itself. Since 2020 it's shown the lates leading up to the CO. Will the removal/non reporting lates help my FICO scores or probably not? Thanks in advance. I'll post a screen of the TL.

@Anonymous I really hate to take the wind out of your sails, but first, the algorithm goes by the text, not the payment grid. And secondly, it doesn't count how many delinquencies you have on a particular account, it looks at the worst severity ever on the particular account and how long ago that was. It doesn't care about less severe derogatories on that account because they are subsumed by the more severe delinquency. (Some bureaus and versions do look to see if you have multiple accounts with derogatories.)

@Anonymous Edit: in other words as long as the account has been charged off, you could remove all other delinquency references from the account and it would not change your score. all that matters is that it was charged off and when the DoFD is.

Re: Lates & CO Scoring Impact

babygirl1256 — Sat, 22 May 2021 19:46:51 GMT

@Anonymous I agree with all the responders but can directly relate to the response posted by @Anonymous as I successfully got Experian and TransUnion to delete a CO that was scheduled to purge in 12/2022 . . . my EX score increased 78 points and my TU score increased by 65 points. If at all possible, try to get the CO deleted. It was a 2-year battle for me and I'm still battling with Equifax -but- don't give up because it's worth it. The BoA $429.00 CO was the only negative item on my credit report so I'm still focused on Equifax!!! One thing I can say personally, I won't be a cosigner for a friend AGAIN!!!

Re: Lates & CO Scoring Impact

Anonymous — Sun, 23 May 2021 00:55:33 GMT

@babygirl1256 wrote:
@Anonymous I agree with all the responders but can directly relate to the response posted by @Anonymous as I successfully got Experian and TransUnion to delete a CO that was scheduled to purge in 12/2022 . . . my EX score increased 78 points and my TU score increased by 65 points. If at all possible, try to get the CO deleted. It was a 2-year battle for me and I'm still battling with Equifax -but- don't give up because it's worth it. The BoA $429.00 CO was the only negative item on my credit report so I'm still focused on Equifax!!! One thing I can say personally, I won't be a cosigner for a friend AGAIN!!!

When I had my only remaining CO age off TU I daw +70 pt, as well.

Re: Lates & CO Scoring Impact

Anonymous — Sun, 23 May 2021 02:48:28 GMT

Thanks everyone for replying. The CO is with Wells Fargo so I doubt they'll good will but I'm going to try because it won't age off until 2026. I saw this difference when I pulled my latest report and was surprised that suddenly they weren't on there so I was hoping for some positivity. No worries. Thanks again everyone for replying. 👍🏼👍🏼

Re: Lates & CO Scoring Impact

bobnathan0295 — Tue, 25 May 2021 05:48:00 GMT

I am in the same boat as you.

Credit scores are in the 640's. I have a chargeoff paid in Jan 2021 and couple of 120 day late payments that were settled in Feb 2021.

I want to know how what is the maximum credit score I can achieve with the chargeoff in the next couple of years ?

What is your credit utilization ? I brought mine below 5%

Re: Lates & CO Scoring Impact

babygirl1256 — Tue, 25 May 2021 06:01:28 GMT

@bobnathan0295 Welcome to the forum . . . try really hard to get the charge-offs removed and your scores with certainly increase. I had only one charge-off (CO) from 2016 on each credit report; Experian (EX), TransUnion (TU) and Equifax (EQ) -and- I have been working on this issue for almost 2 years (12/22 was the scheduled deletion date). On Friday 5/14/2021, EX deleted the charge-off and my score increased by 78 points. Last month TU deleted the charge-off and my credit score increased 68 points. Now both EX and TU are 100% clean. The only Credit Reporting Agency (CRA) that has the $429.00 (paid in full) charge-off reflecting is EQ and I am still working on them!!! Wishing you success in increasing your credit scores!

Re: Lates & CO Scoring Impact

Anonymous — Tue, 25 May 2021 07:49:13 GMT

@bobnathan0295 wrote:

I am in the same boat as you.

Credit scores are in the 640's. I have a chargeoff paid in Jan 2021 and couple of 120 day late payments that were settled in Feb 2021.
I want to know how what is the maximum credit score I can achieve with the chargeoff in the next couple of years ?

What is your credit utilization ? I brought mine below 5%

My SO has made it to the low 700s with an unpaid installment loan CO. No CAs, no lates. Depending on bureau of course. EQ has the CO and a CA and SO is at mid 600s. The CO will be reporting for another 1.5-2 years. SO does have high util on 1 CC right now, so I think he could maybe make it to the mid 700s at AZEO with the one unpaid CO.

I have made it to the low 700s with no COs, some 120d lates and 3 x CAs. Same thing, depends on bureau and what has been removed aged off. My EX and EQ are at mid 600s with the 3 x CAs, lates and 4 x COs. I am running very low revolving util. The COs will come off in the next 2-3 months, so hopefully that brings me up to the low 700s like TU. My CAs will come off in the next 3-9 months, leaving me with clean reports.

We both have high installment util due to old, but recently rehabbed SLs.

I have seen others with CO(s) make it to the mid-high 700s.

Re: Lates & CO Scoring Impact

Anonymous — Tue, 25 May 2021 13:18:01 GMT

My util is <2%. I honestly don't have a clue how high they can go. I'm trying to get over the 670 hump before the end of this year, that's assuming my GW campaign doesn't work. If it does work, I'm trying to see 720 by the end of this year. I honestly do not know. I'm going to just keep paying all my bills on time, keep util low and stay in the garden until April of next year. Unfortunately nothing about this is fast 🤣🤣