topic Re: Score change to expect. in Understanding FICO® Scoring

Score change to expect.

Christy0828 — Sat, 30 Jan 2010 17:56:57 GMT

I recently recieved a second mortgage and paid off all of my unsecured debt, which was hovering around 24%, with some on cards that I had closed and put in a payment plan over two years ago. I currently have a First, Second mortgage, student loan, and two car payments. No accounts with any balances have had any baddies for a year and a half. I know it may hurt some for the second mortgage, but how much will paying down the utilization help my score. Also I have a paid tax lien on my credit from around 2 years ago.

Re: Score change to expect.

haulingthescoreup — Sat, 30 Jan 2010 18:35:40 GMT

Hmm, lots of variables here.

The paydown will definitely help, the tax lien hurts by keeping you in the public record derogatory score bucket, the 2nd mortgage will probably be kind of meh --a little loss, but I wouldn't think that there'd be much. You will have 5 accounts that always have balances (mortgages X2, the SL, and the auto loans X2), so unless you have 6 CC's that can report a $0 balance, you'll probably get hit with the "too many accounts with balances" ding.

On your current reports, with the 24% util and the second mortgage not yet showing, what are the negatives in order on screen two? The higher that "revolving util" appears on the list, the more score improvement you will see.

Re: Score change to expect.

Anonymous — Sat, 30 Jan 2010 18:37:41 GMT

I had a paid tax lien updated in Sept '07 on EQ, but it was filed in error so it shouldn't have been reporting. TU and EX took it off back in '07 when I provided them the filed in error documents. EQ on the other hand was a nightmare, but they finally took it off in Dec. I was expecting at least 10, maybe 20 points for that. Nope, 3 points, a measley 3 points for all the hours I spent going back and forth with EQ.

Re: Score change to expect.

Junejer — Sat, 30 Jan 2010 18:49:44 GMT

Ouch, sorry to hear that. Likely, there were other variables at play there. In other words, the CR certainly had changed in the two years.

Re: Score change to expect.

Anonymous — Sat, 30 Jan 2010 18:55:43 GMT

It definitely has changed considerably in the last two years, but the 3 point bump was based on the FICO I pulled just days before EQ deleted it and pulled it again once I had confirmation that it was gone. There weren't any other changes in that several day period.

Re: Score change to expect.

Junejer — Sat, 30 Jan 2010 19:18:14 GMT

Gotcha. I was thinking about the difference between Dec. '09 and '07.

Re: Score change to expect.

haulingthescoreup — Sat, 30 Jan 2010 19:21:28 GMT

steppingup wrote:
It definitely has changed considerably in the last two years, but the 3 point bump was based on the FICO I pulled just days before EQ deleted it and pulled it again once I had confirmation that it was gone. There weren't any other changes in that several day period.

Did you still have any serious derogs (public records, lates 60 days or more, charge-offs, etc etc)?

Until the last serious derog goes, you'll see some increase, but it's usually when the last one falls off that it gets fun.

Re: Score change to expect.

Christy0828 — Sat, 30 Jan 2010 19:41:35 GMT

To answer an earlier question I probably have about 6 different credit cards and store cards with no balance. Also, I have a 90 days late on an authroized card from around 1.5 to two years ago, and I have a 30 day late from around the same time. Other than that I have a a tax lien from around two years ago and a paid Amex card that wen to collections around 4 years ago that was paid off around 3 years ago. The total credit card debt paid off was around 14,000, which like I said will take me to 0% utilization. I was hoping to recieve around a 18 point jump but that may be outlandish.

Message Edited by Christy0828 on 01-30-2010 11:41 AM

Re: Score change to expect.

Anonymous — Sat, 30 Jan 2010 19:48:29 GMT

@haulingthescoreup wrote:
@Anonymous wrote:
It definitely has changed considerably in the last two years, but the 3 point bump was based on the FICO I pulled just days before EQ deleted it and pulled it again once I had confirmation that it was gone. There weren't any other changes in that several day period.

Did you still have any serious derogs (public records, lates 60 days or more, charge-offs, etc etc)?

Until the last serious derog goes, you'll see some increase, but it's usually when the last one falls off that it gets fun.

I have a tax lien from March 2000, which I'm hoping will just fall off like the others did at the 10 year mark. It's paid, but the bureaus haven't made any updates to it. I had some from 95 and 96, which fell off at the 10 year anniversary of the filing.

Re: Score change to expect.

haulingthescoreup — Sat, 30 Jan 2010 20:10:17 GMT

I think that when the 2000 lien and the 90 day are gone, that's when you'll see the big jump. In the meantime, it's obviously helpful to have other serious derogs and public records removed if they shouldn't be there, or by GW/PTD and so forth, because it moves you that much closer to a good report, even if you don't get immediate big score bumps.

eta: and the paid collection, which still hurts, even though it's paid

Message Edited by haulingthescoreup on 01-30-2010 12:10 PM

Re: Score change to expect.

Jazzzy — Sat, 30 Jan 2010 22:41:41 GMT

Christy0828 wrote:
To answer an earlier question I probably have about 6 different credit cards and store cards with no balance. Also, I have a 90 days late on an authroized card from around 1.5 to two years ago, and I have a 30 day late from around the same time. Other than that I have a a tax lien from around two years ago and a paid Amex card that wen to collections around 4 years ago that was paid off around 3 years ago. The total credit card debt paid off was around 14,000, which like I said will take me to 0% utilization. I was hoping to recieve around a 18 point jump but that may be outlandish.

Hi Christy...you've done a lot of good work bringing your score up more than 100 points.

Is there a reason you're keeping the AU card on your reports? If it has a 90-day late, wouldn't you be better taking yourself off the card and having the reporting removed from your reports? How old is the card? Do you need it?

Just a thought...

Re: Score change to expect.

Christy0828 — Sat, 30 Jan 2010 23:51:46 GMT

I tried taking my name off the account because the account is closed and they wouldn't remove it from my report.

Re: Score change to expect.

Junejer — Sun, 31 Jan 2010 01:00:13 GMT

I would dispute as "not mine".

Christy0828 wrote:
I tried taking my name off the account because the account is closed and they wouldn't remove it from my report.

Re: Score change to expect.

Jazzzy — Sun, 31 Jan 2010 14:16:00 GMT

@Junejer wrote:
I would dispute as "not mine".

+1...I agree.

I would dispute this AU account with the credit reporting agencies as mot my account.

Re: Score change to expect.

Anonymous — Tue, 02 Feb 2010 23:34:09 GMT

The last negative item on my EQ was the 10 year old tax lien, which fell off yesterday. Score went from 699 to 711