topic Mortgage Scores in Understanding FICO® Scoring

Mortgage Scores

Anonymous — Fri, 25 Jun 2021 20:45:55 GMT

Is there anything you can specifically do that has an impact directly on the FICO mortgage scores?

Re: Mortgage Scores

SouthJamaica — Fri, 25 Jun 2021 21:03:27 GMT

@Anonymous wrote:
Is there anything you can specifically do that has an impact directly on the FICO mortgage scores?

The best things you can do for your mortgage scores are

1. not apply for any new credit or anything that would generate a hard pull, and

2. maintain revolving accounts at AZEO -- i.e. let one card report a small balance while the other cards report a zero balance

Re: Mortgage Scores

Anonymous — Fri, 25 Jun 2021 21:07:10 GMT

Thank you, much appreciated!

Re: Mortgage Scores

House2021 — Sat, 26 Jun 2021 01:34:27 GMT

I recently accidentally let my one card report zero and it dropped one mortgage score 12 points, one Fico 8 15 points and one Fico 8 11 points

Re: Mortgage Scores

Anonymous — Sat, 26 Jun 2021 02:15:20 GMT

Not good at all, something I will definitely be careful of. Will keeping cards at zero and one card with a minimal balance show score increase each cycle?

Re: Mortgage Scores

Anonymous — Sat, 26 Jun 2021 02:26:35 GMT

I have read on some other posts that their scores dropped when they had zero balances on their cards. Does it depend on the card or is it better to keep small balances on all your cards? I know it's probably a silly question but I'm trying to learn how this scoring system works.

Re: Mortgage Scores

Anonymous — Sat, 26 Jun 2021 03:08:39 GMT

@Anonymous wrote:
Not good at all, something I will definitely be careful of. Will keeping cards at zero and one card with a minimal balance show score increase each cycle?

It is a one time increase and it does not compound every month. You will get an increase at AZEO, but you will not get more points every month you practice AZEO.

It also does matter which card is the non-zero card. Do not use a store card or charge card and there have been issues with certain Credit Union CCs in how they report, if you do use one and have time to experiment, you can see if it gains you points or not. Also, I would avoid using a Chase CC because whenever you pay it to $0, it will off-cycle update to your CRs and then you will be at all zero and get the penalty.

Re: Mortgage Scores

Anonymous — Sat, 26 Jun 2021 03:23:35 GMT

Thanks so much for than explanation. Makes things a lot clearer on the AZEO method.