topic Re: Falling Score(HELP Please) in Understanding FICO® Scoring

Falling Score(HELP Please)

Anonymous — Tue, 09 Nov 2010 02:37:17 GMT

Yesterday my score was 672. Today my score has dropped to 645. The only thing has changed is I was approved for a Cap1 secured and a JC Penny card. What has happend to my lovely score.

There are the reasons it gave me:

This score decrease may be caused by these 4 new reasons:

You have a public record or collection on your credit report.
You have a short credit history.
You've recently been looking for credit.
You have a recent public record or collection on your credit report.

PLEASE HELP!!!!! THX

Re: Falling Score(HELP Please)

Anonymous — Tue, 09 Nov 2010 02:59:14 GMT

You were dinged for the INQ's and new TL's. In a few months your scores will rebound.

Congrats

Good Luck

Re: Falling Score(HELP Please)

llecs — Tue, 09 Nov 2010 03:34:47 GMT

OP, are the new TLs reporting?

Remember, take the SW alerts with a grain of salt. Many things could not listed in those reasons could have dropped your score. For example, I once got a SW alert saying my FICO score increased 20 points because I added an inquiry. The inquiry didn't increase my score, but a dropped baddie which wasn't mentioned, increased my EQ. Your drop could have been compounded by lower util and so forth. And yes, on the 2 TLs alone, your score could have dropped that much if reporting.

Re: Falling Score(HELP Please)

Anonymous — Tue, 09 Nov 2010 03:42:02 GMT

Thx for responding. So far just Pennies is reporting and Cap1 has the inquiry. I'm sure it will fall more once Cap1 report. Is this a good or a bad?

Re: Falling Score(HELP Please)

llecs — Tue, 09 Nov 2010 03:47:44 GMT

It's not uncommon to lose points when you add a new account. IME, I've lost 20-25 points per CC and regained most all of those points wiithin 4-6 months and regained the rest by a year. YMMV on several factors.

Do you have other CCs reporting now? Did the JCP report w/ a balance and did your utilization increase?

Re: Falling Score(HELP Please)

Anonymous — Tue, 09 Nov 2010 03:59:39 GMT

Walmart $700cl $24 bal

Kays $800cl $0 bal

JC Penny $200cl $0 bal

Thats it.........

Re: Falling Score(HELP Please)

llecs — Tue, 09 Nov 2010 04:03:43 GMT

IMO, something else happened to EQ to cause the drop. Adding the 3rd CC, JCP, shouldn't drop your FICO score by 27. I would have guessed a break even or even a slight gain due to improved mix of credit. I'd study EQ a bit closer if you have other old accounts on there.

Re: Falling Score(HELP Please)

Anonymous — Tue, 09 Nov 2010 04:08:29 GMT

Add the INQ's plus the new account.

Plus are the other accounts new as in less then a year old?

Cards need to age to help offset the new TL's.

Re: Falling Score(HELP Please)

Anonymous — Tue, 09 Nov 2010 04:22:59 GMT

All 3 are less than a year old. I guess it's time for a healing process. I pull a brand new report less than 30 mins ago. Nothing else has changed.

Re: Falling Score(HELP Please)

Anonymous — Tue, 09 Nov 2010 04:49:58 GMT

Let the cards age and use them responsibly. Check the forums on the cards you have to see when you can ask for CLI's. Build some history minimum of a year before applying for anything else. Establishing credit for the 1st time and or rebuilding credit for past mistakes takes time.

Your scores will rebound after time. usually 6 months to a year.

Good Luck

Re: Falling Score(HELP Please)

Anonymous — Tue, 09 Nov 2010 15:38:01 GMT

The good news is the Cap One wll probably help your score - even at this point!

It will be the first and only bank cc reporting for you - and FICO likes to see one of those (at least one - and you only need one - for FICO reason code #3).

Be sure to calculate and watch your AAofA before your next app.

Re: Falling Score(HELP Please)

Anonymous — Tue, 09 Nov 2010 15:51:03 GMT

After carefully looking at my Equifax report I found that a old cellphone baddie that was over 2 yrs old has updated. What should I do? Any advice would help.

Oh, If I pay it would that increase my score$151

Re: Falling Score(HELP Please)

haulingthescoreup — Tue, 09 Nov 2010 16:10:15 GMT

memphisken wrote:
After carefully looking at my Equifax report I found that a old cellphone baddie that was over 2 yrs old has updated. What should I do? Any advice would help.

Oh, If I pay it would that increase my score$151

Paid negatives score the same as unpaid. Yes, other lenders like to see things paid, and I feel it's important to pay back legitimate debt when possible, but the scoring is a result of an account having gone bad, not whether or not it was later repaid. It's the going late part that predicts future risk of doing the same thing.

You need to do a PFD (pay for delete.) This means that you get in writing their agreement that in exchange for your payment, they will cease reporting the negative, now and in the future.

Click over to the Rebuilding Your Credit board for more info on how this works. There are examples up in the Frequently Requested Threads link, stickied at the top of the board.