topic Score Change in Understanding FICO® Scoring

Score Change

Basspro2 — Wed, 08 Apr 2015 20:43:12 GMT

So I have a SG Visa with a $63.00 balance, i pay in full, I get an alert from my Fico on Equifax. Pay off a small balance and I lose 3 points... So I'm assuming they want you in debt instead of being responsible........I can't win. Can someone shoot me now!!!

Re: Score Change

gdale6 — Wed, 08 Apr 2015 22:54:29 GMT

@Basspro2 wrote:
So I have a SG Visa with a $63.00 balance, i pay in full, I get an alert from my Fico on Equifax. Pay off a small balance and I lose 3 points... So I'm assuming they want you in debt instead of being responsible........I can't win. Can someone shoot me now!!!

If its your only card reporting a balance then you would get a ding, all revolvers at 0 is always a drop in Fico.

Re: Score Change

Basspro2 — Wed, 08 Apr 2015 23:35:46 GMT

Thanks for the reply.. I think I understand now after doing some reading.. Just doesn't seem right to me though .It just seems they want to keep you down if your not a money generator for the bank or CC company which I think is very wrong.

Re: Score Change

Anonymous — Thu, 09 Apr 2015 01:23:33 GMT

@Basspro2 wrote:
Thanks for the reply.. I think I understand now after doing some reading.. Just doesn't seem right to me though .It just seems they want to keep you down if your not a money generator for the bank or CC company which I think is very wrong.

Once you learn what to do it becomes second nature. While it's true that having all your credit cards reporting a zero balance can have a negative impact on your scores there is an easy way around it.

Let one of your cards report a balance (even $5 is enough) and then pay that balance before the due date. The result:

* Scoring is happy because you've showed activity.

* You're happy because you payed no interest.

Re: Score Change

KellyP25721 — Thu, 09 Apr 2015 19:45:47 GMT

It didn't make sense to me at first either, but from their perspective if everything reports zero, there is no proof that you are using your credit at all let alone using it responsibly.