topic Re: Reopen in Understanding FICO® Scoring

Reopen

laryn41 — Mon, 08 Feb 2010 16:21:05 GMT

Will reopening a old account help with your credit score? Even if it means you'll be adding another account?

Re: Reopen

Anonymous — Mon, 08 Feb 2010 16:32:35 GMT

@laryn41 wrote:
Will reopening a old account help with your credit score? Even if it means you'll be adding another account?

If the opening date of the account remains the same it won't hurt your score. But if the opening date is changed to 2/2010, your FICO score will decrease.

At any rate, the account should still be appearing on your credit reports if it's not more than 10 years old.

Re: Reopen

laryn41 — Mon, 08 Feb 2010 16:34:39 GMT

Does it fall off 10 years after it was closed? even bad ones?

Re: Reopen

laryn41 — Mon, 08 Feb 2010 16:35:55 GMT

and would it help my credit to reopen or not make a differene? i thought it wouls help my Average overall age?

Re: Reopen

Anonymous — Mon, 08 Feb 2010 16:41:17 GMT

@laryn41 wrote:
Does it fall off 10 years after it was closed? even bad ones?

Sometimes the CRA's will continue to report closed accounts that are older than 10 years. But if you have an old account and negotiate with the creditor to not reage the account, your FICO score won't suffer.

Re: Reopen

laryn41 — Mon, 08 Feb 2010 17:15:39 GMT

I re-opened my 2500 macys account that was opened in 05. The agen said it will date back and show opened in 05. Does that help my Average Overall age? And will it help my Usage Ratio?

Re: Reopen

Anonymous — Mon, 08 Feb 2010 17:30:05 GMT

@laryn41 wrote:
I re-opened my 2500 macys account that was opened in 05. The agen said it will date back and show opened in 05. Does that help my Average Overall age? And will it help my Usage Ratio?

Yes it will help your AA0A's and yes it will help your utilization ratio.

Re: Reopen

Anonymous — Mon, 08 Feb 2010 21:49:07 GMT

@Anonymous wrote:
@laryn41 wrote:
Does it fall off 10 years after it was closed? even bad ones?
Sometimes the CRA's will continue to report closed accounts that are older than 10 years. But if you have an old account and negotiate with the creditor to not reage the account, your FICO score won't suffer.

Is it possible to negotiate with the creditor and ask them to use the old account date for the new account?

Re: Reopen

llecs — Mon, 08 Feb 2010 22:31:03 GMT

laryn41 wrote:
I re-opened my 2500 macys account that was opened in 05. The agen said it will date back and show opened in 05. Does that help my Average Overall age? And will it help my Usage Ratio?

To add, if your AAoA on any given report is older than 5 years, then the history will help.