topic Re: AoORA thresholds in Understanding FICO® Scoring

AoORA thresholds

Zoostation1 — Sat, 16 Nov 2024 23:08:04 GMT

IIRC, I've seen posts with score drops when the AoORA hits 3yrs. My oldest revolver (I only have revolvers nothing else) hit the 3yr mark with no FICO 8 score changes compared to the previous month. FICO 9 scores had some movement increased (EQ+7, TU+12, EX 0), but that might be chalked up to the possibilty of FICO 9 having additional utilization thresholds? My utilization decreased but not by anything that would impact FICO 8.

Oct: 3/6 reporting, none over 15% individual utilizaion, with 7.5% overall utilization

Nov: 3/6 reporting, none over 13% individual utilization, with 5.6% overall utilization.

Is the lack of score drop due to having a dirty profile? I've got about 3yrs before the BK7 is gone.

Re: AoORA thresholds

michelle653burkes — Wed, 20 Nov 2024 12:16:05 GMT

Hello!

It's great that you're keeping a close eye on your credit scores! The Age of Oldest Revolving Account (AoORA) hitting the 3-year mark can sometimes trigger score changes, but it seems like your profile might be benefiting from having a "dirty" scorecard, which can sometimes mitigate drops.

Regarding FICO 9 having additional utilization thresholds, it's possible that the changes you're seeing are due to this, as FICO 9 is known to be slightly more lenient with credit utilization compared to FICO 8. Your decreased utilization from 7.5% to 5.6% is definitely a positive move, even if it didn't impact FICO 8 significantly.

Re: AoORA thresholds

Zoostation1 — Thu, 21 Nov 2024 04:55:59 GMT

And there goes another bot.

Re: AoORA thresholds

Thomas_Thumb — Thu, 21 Nov 2024 14:44:35 GMT

Agreed, the BOTs are on the loose.

Re: AoORA thresholds

pizzadude — Thu, 21 Nov 2024 14:49:04 GMT

Re: AoORA thresholds

Patient957 — Fri, 22 Nov 2024 16:39:08 GMT

"...it seems like your profile might be benefiting from having a "dirty" scorecard, which can sometimes mitigate drops."

Lulz.

Re: AoORA thresholds

Zoostation1 — Sun, 24 Nov 2024 23:50:46 GMT

Anyone have any thoughts on this outisde of the bot?

Re: AoORA thresholds

Patient957 — Mon, 25 Nov 2024 04:13:13 GMT

@Zoostation1 wrote:
IIRC, I've seen posts with score drops when the AoORA hits 3yrs.

Scores generally increase, not decrease, with increasing age as thresholds are met. Your own data seems to bear this out. So whatever posts you saw are likely to be wrong.

Unless I'm mistaken and FICO penalizes when accounts age. In thst case, I better get out of the garden stat!

Re: AoORA thresholds

NoHardLimits — Mon, 25 Nov 2024 16:45:09 GMT

@Patient957 wrote:
@Zoostation1 wrote:
IIRC, I've seen posts with score drops when the AoORA hits 3yrs.
Scores generally increase, not decrease, with increasing age as thresholds are met. Your own data seems to bear this out. So whatever posts you saw are likely to be wrong.

Unless I'm mistaken and FICO penalizes when accounts age. In thst case, I better get out of the garden stat!

If the increasing age causes a change in scorecards from "young" to "mature", it could result in a score decrease due to now being compared against other people with longer term profiles.

Re: AoORA thresholds

SouthJamaica — Mon, 25 Nov 2024 18:01:54 GMT

@NoHardLimits wrote:
@Patient957 wrote:
@Zoostation1 wrote:
IIRC, I've seen posts with score drops when the AoORA hits 3yrs.
Scores generally increase, not decrease, with increasing age as thresholds are met. Your own data seems to bear this out. So whatever posts you saw are likely to be wrong.

Unless I'm mistaken and FICO penalizes when accounts age. In thst case, I better get out of the garden stat!
If the increasing age causes a change in scorecards from "young" to "mature", it could result in a score decrease due to now being compared against other people with longer term profiles.

Theoretically that's true. But have you ever experienced a point loss from aging? I haven't.

Re: AoORA thresholds

NoHardLimits — Mon, 25 Nov 2024 18:35:17 GMT

@SouthJamaica wrote:
@NoHardLimits wrote:
@Patient957 wrote:
@Zoostation1 wrote:
IIRC, I've seen posts with score drops when the AoORA hits 3yrs.
Scores generally increase, not decrease, with increasing age as thresholds are met. Your own data seems to bear this out. So whatever posts you saw are likely to be wrong.

Unless I'm mistaken and FICO penalizes when accounts age. In thst case, I better get out of the garden stat!
If the increasing age causes a change in scorecards from "young" to "mature", it could result in a score decrease due to now being compared against other people with longer term profiles.
Theoretically that's true. But have you ever experienced a point loss from aging? I haven't.

My profile is so old it predates FICO itself. So, no I have never personally experienced a point loss from aging.

Re: AoORA thresholds

Patient957 — Mon, 25 Nov 2024 19:16:04 GMT

@NoHardLimits wrote:
If the increasing age causes a change in scorecards from "young" to "mature", it could result in a score decrease due to now being compared against other people with longer term profiles.

Okay, here's an old thread on this subject:

https://ficoforums.myfico.com/t5/Understanding-FICO-Scoring/Oldest-account-hits-3-yrs-scores-drops-up-to-22-points/m-p/5421665

There are enough people reporting a big score drop at AoOA (Not AoORA) = 3 years with clean profiles that it has to be taken seriously. Note for OP AoOA= AoORA, since OP only has revolvers.

I see some folks reporting 20-30+ point drops and others only 8.

I'm sceptical, but I suppose it's possible that there's such a quirk in the FICO 8 model. We would see this happening to everyone building up a profile from scratch. Most rebuilds pass the 3 year threshold dirty, so it wouldnt show up.

Re: AoORA thresholds

SouthJamaica — Mon, 25 Nov 2024 20:22:57 GMT

@Zoostation1 wrote:
IIRC, I've seen posts with score drops when the AoORA hits 3yrs. My oldest revolver (I only have revolvers nothing else) hit the 3yr mark with no FICO 8 score changes compared to the previous month. FICO 9 scores had some movement increased (EQ+7, TU+12, EX 0), but that might be chalked up to the possibilty of FICO 9 having additional utilization thresholds? My utilization decreased but not by anything that would impact FICO 8.

Oct: 3/6 reporting, none over 15% individual utilizaion, with 7.5% overall utilization
Nov: 3/6 reporting, none over 13% individual utilization, with 5.6% overall utilization.

Is the lack of score drop due to having a dirty profile? I've got about 3yrs before the BK7 is gone.

According to @Thomas_Thumb , who is pretty knowledgeable about these things, AoOA is not a scoring factor but a segmentation factor. I.e. when it reaches a certain point you change scorecards. But he could not say where the exact point is. And the change of a scorecard does not necessarily mean an improved score. https://ficoforums.myfico.com/t5/Understanding-FICO-Scoring/Seeking-AoOA-Threshold-Data-Points-Anecdotal-or-Otherwise/m-p/5145165#M134149

Re: AoORA thresholds

DXness — Wed, 11 Dec 2024 22:03:21 GMT

You shouldn't be seeing scorecard re-assaignment due to account aging metrics because that isn't a thing on dirty scorecards in Fico 8. There are only 4 dirty scorecard types and they assign based on how severe/old your derogs are. Several factors are treated differently vs clean cards including utilization that could be causing unexpected score changes or lack thereof. I don't know anything about Fico 9.

Re: AoORA thresholds

Zoostation1 — Fri, 13 Dec 2024 04:59:07 GMT

@DXnessI remember seeing the 4 dirty scorecards and that leads me to believe I'm not changing scorecards until the BK7 falls off in a little less than 3yrs. That would also mean that assuming I keep the same patterns I've had since opening my last card (3/6 reporting and none reporting high enough to cross any FICO 8 thresholds) I'm not going to gain any points over the next 2+ years beyond a few for getting to 0/12 inquiries come April.

Re: AoORA thresholds

DXness — Fri, 13 Dec 2024 06:44:09 GMT

Sadly, you'll hit a wall and plateau, yeah. That already happened to me - I haven't needed to update the scores in my sig for months as they haven't changed at all. There are still some points I could wring out, but I'm not able to pay those student loans down under 9%, so I plan to be stuck in this exact spot for the next 1.5 years until EE starts hitting.

Re: AoORA thresholds

Zoostation1 — Wed, 18 Dec 2024 01:07:17 GMT

@DXnessI just hope I don't have to play the AZEO game to break 700 in FICO 8. It's a mental thing for me to see them all over 700, but I'm so over AZEO and unless I were applying for a loan I don't think I'll do it again.

Re: AoORA thresholds

DXness — Wed, 18 Dec 2024 17:51:08 GMT

I always advise not sweating the small stuff. A few FICO points don't matter and they aren't worth the effort outside of wanting a new car or house. Not being over 700 hasn't stopped you from getting some nice cards and when that BK falls off, you'll be in prime position to do whatever you want. Time moves slow when you want something, but it moves really fast when you stop caring for a while. I was 4/12 and these things just wouldn't age, but after a break I'm somehow 0/12 now. Summer 2026 is when I can go all-clean, it has felt like an eternity waiting, but it'll be here before I know it if I stop checking.