topic credit score drop in General Credit Topics

credit score drop

Anonymous — Sun, 06 Jul 2014 16:36:32 GMT

Why is it that i paid my credit card off and when they sent it in to the credit people, it dropped my credit score twice? i worked hard to get my credit score to where it is and i'm not understanding that i don't have any late payments in over 10 years, nothing outstanding, pay everything on time and my score drops becasue i paid a credit card off. can somebody explain to me why?

Re: credit score drop

Anonymous — Sun, 06 Jul 2014 16:59:38 GMT

Welcome to the forums!

I'm not sure of all the details of your situation.

However, if all your CCs report a $0 balance, this typically causes your score to go down a few points.

There are lots of threads here that discuss this point in detail.

Re: credit score drop

takeshi74 — Mon, 07 Jul 2014 12:58:50 GMT

@Anonymous wrote:
Why is it that i paid my credit card off and when they sent it in to the credit people, it dropped my credit score twice?

You'd have to carefully compare your reports before and after to ensure that you're accounting for all changes that would impact the scores. It sounds like you're assuming causality when there many be other factors at play.

@Anonymous wrote:
nothing outstanding

If you have 0 utilization reporting that is looked on less favorably than having some utilization reporting.

Re: credit score drop

alvon123 — Mon, 07 Jul 2014 21:21:51 GMT

@Anonymous wrote:
Welcome to the forums!

I'm not sure of all the details of your situation.

However, if all your CCs report a $0 balance, this typically causes your score to go down a few points.

There are lots of threads here that discuss this point in detail.