topic Re: Amex Green Card-dropped my score 15 points/ in General Credit Topics

Amex Green Card-dropped my score 15 points/

Trailmix123 — Wed, 19 Sep 2018 16:18:37 GMT

Hello,

I just got an Amex Green Card not to long ago and used it to make a few purchases.

I understand it's a charge card and not a pay over time credit card so it needs to be paid in full.

I'm confused on how it works though because I believe it droppe my score by 15 points because it reported an open balance on my report but it says it was paid good not negative mark.

So I used it and spent 235.00 on it. After the closing date I used it again to buy a TV for 700.00. It said my first payment was 235.00 so that is what I paid on the due date as what my statement said. It show's I paid on time and all that but also reported the 700.00 balance because i used it again and it dropped my score. Is that becaus It reported a balance even though I paid what my statement said? Should I of paid the full monty bill, the 235.00 and the 700.00 to show no open balance?

I just want to make sure I wont get a negative mark on my report as being late. I actaully paid the 700.00 yesterday and bring the account to zero and I will not use it again until it reports on my account as zero. In fact I probably will rarely use it.

So if it reports a balance will the Credit Report think it's over the limit as there is no present limit like regular credit cards?

Kind of mad it dropped 15 points due to this. I should of researched it more. If I bring it to a zero balance on my report will I regain those points? My credit is still fine as all three reports are above 670 just made about those 15 points.

Re: Amex Green Card-dropped my score 15 points/

Anonymous — Wed, 19 Sep 2018 16:28:33 GMT

What tool are you using to monitor your scores?

Re: Amex Green Card-dropped my score 15 points/

Anonymous — Wed, 19 Sep 2018 16:39:02 GMT

Perhaps your scores dropped due to the inquiry/new account & age of accounts factors? This many not be a utilization related issue at all.

Re: Amex Green Card-dropped my score 15 points/

Trailmix123 — Wed, 19 Sep 2018 16:55:30 GMT

It's only reporting to my experian right now. I have subscribtions to all three though.

Re: Amex Green Card-dropped my score 15 points/

Trailmix123 — Wed, 19 Sep 2018 16:59:35 GMT

''Perhaps your scores dropped due to the inquiry/new account & age of accounts factors? This many not be a utilization related issue at all''

I didn't think about that how ever it' the first inquiry on my report in over a year and it didn't drop my age of accounts.

It happened when I bought a new car two years ago but went back up 2 months later so it's probably just a new account/balance thing.

I'll wait and see what happens when it reports a zero balance. Funny thing is it report august and september on my wifes and her score stayed the same but mine just septembers and mine went down and I have better credit. go figure. I wish they just told you exactly why it drops. oh well we shall see.

Re: Amex Green Card-dropped my score 15 points/

Anonymous — Wed, 19 Sep 2018 17:11:12 GMT

It doesn't have anything to do with $700 or $0 reporting, it has to do with dropping AoYA under 1 year (you said you haven't had an inquiry for over a year so your AoYA was probably 1 year+) and lowering of your AAoA when the new account reported to CRAs.

Re: Amex Green Card-dropped my score 15 points/

Anonymous — Wed, 19 Sep 2018 17:45:09 GMT

@Trailmix123
I didn't think about that how ever it' the first inquiry on my report in over a year and it didn't drop my age of accounts.

The inquiry definitely impacted your score then. Also, it's impossible to open new accounts and not drop 2 out of 3 of your age of accounts factors. Whether they drop across a threshold is a different story, but they aren't going to remain exactly the same post-account as they were pre-account.

Re: Amex Green Card-dropped my score 15 points/

Trailmix123 — Wed, 19 Sep 2018 18:04:31 GMT

Well that is is fine then. I just never had a charge card and wanted to make sure it was not due to the amount reported and owed.

I can deal with the inquiry but 15 points is a bit hefty for one inquiry and my age of accounts didn't get reduced buty by only 2 months so its still sitting at little over 3 years. Saying that I still can't see that justifying a 15 point drop.

I'll just pay off the account and never use it again. I took a 24 point hit when I bought a car but it went right back up after 2 months so I'm hoping this does the same.

Re: Amex Green Card-dropped my score 15 points/

Anonymous — Wed, 19 Sep 2018 18:11:23 GMT

I guess you didn't read my comment about Age of Youngest Account, what was the age of your youngest account on your report before the Green card?

Re: Amex Green Card-dropped my score 15 points/

Anonymous — Wed, 19 Sep 2018 19:23:47 GMT

What tool are you using to monitor your scores?

Not all credit monitoring systems provide true FICO scores. We can help you better understand what your scores are doing if we understand what CMS you are using to get each score.

Re: Amex Green Card-dropped my score 15 points/

Trailmix123 — Wed, 19 Sep 2018 19:35:15 GMT

I read it and age of youngest account does not really matter as long as you have a good average age of accounts or length of time for all accounts. When I check it was a little over 3 years, average length of credit history, the green card droped it a month. Nothing to justify a 15 point drop. Actaully there was a point in time when I opened up cards back to back lowering my average length of credit and it did not drop a point. So I don't think it's that. I'll just see happens in the next two months.

Re: Amex Green Card-dropped my score 15 points/

Anonymous — Wed, 19 Sep 2018 19:48:21 GMT

@Trailmix123 wrote:
I read it and age of youngest account does not really matter as long as you have a good average age of accounts or length of time for all accounts. When I check it was a little over 3 years, average length of credit history, the green card droped it a month. Nothing to justify a 15 point drop. Actaully there was a point in time when I opened up cards back to back lowering my average length of credit and it did not drop a point. So I don't think it's that. I'll just see happens in the next two months.

If you are going to post here and ask for advice, you should open your mind and try to listen when it's given instead of applying your own misconceptions (there are many reading your posts here and on other threads). Age of youngest account (AoYA) does matter even if your average age of account (AAoA) is 1000 years old. When your AoYA was 1 year+ and you reset it to 0 month with a new account, it carries a penalty that is about 20 points on average, which accounts for your 15 point loss.

Re: Amex Green Card-dropped my score 15 points/

Anonymous — Wed, 19 Sep 2018 20:12:36 GMT

OP, please read OMs post above, as it's the 3rd time he's suggested that your AoYA drop is the reason for your score drop. You still have not answered his question as to when you last account before this Amex account was opened. If the answer is > 12 months then he is 100% correct in why your score dropped.

Re: Amex Green Card-dropped my score 15 points/

Trailmix123 — Wed, 19 Sep 2018 20:47:37 GMT

And once again I have opened up cards before and in your own little explination ''resetting'' the yougest to zero making the score dropped but it never did. I have been in this same situation and it never dropped my score, not one point. My car I financed because did because of the big ol balance it put on report but that eneded up going back to normal after the first payment. Explain what you want but I don't believe your answer or solution. Don't go getting mad because some one disagrees with you....kind of petty and childish.

On another note, don't be lazy and abbreviate with your ''AoYA'' and what not.

Re: Amex Green Card-dropped my score 15 points/

Anonymous — Wed, 19 Sep 2018 20:54:43 GMT

@Trailmix123 wrote:
And once again I have opened up cards before and in your own little explination ''resetting'' the yougest to zero making the score dropped but it never did. I have been in this same situation and it never dropped my score, not one point. My car I financed because did because of the big ol balance it put on report but that eneded up going back to normal after the first payment. Explain what you want but I don't believe your answer or solution. Don't go getting mad because some one disagrees with you....kind of petty and childish.
On another note, don't be lazy and abbreviate with your ''AoYA'' and what not.

Re: Amex Green Card-dropped my score 15 points/

Jnbmom — Wed, 19 Sep 2018 20:56:31 GMT

@Trailmix123 wrote:
And once again I have opened up cards before and in your own little explination ''resetting'' the yougest to zero making the score dropped but it never did. I have been in this same situation and it never dropped my score, not one point. My car I financed because did because of the big ol balance it put on report but that eneded up going back to normal after the first payment. Explain what you want but I don't believe your answer or solution. Don't go getting mad because some one disagrees with you....kind of petty and childish.
On another note, don't be lazy and abbreviate with your ''AoYA'' and what not.

Wow members have given you their advice and explanations you just seem to not what to hear it or believe it, which is your choice based on your own experiences of course. But childish and petty goes both ways.

Re: Amex Green Card-dropped my score 15 points/

kilroy8 — Wed, 19 Sep 2018 20:58:22 GMT

Hi.

It is well documented with data points on this board that Fico 8's will drop if you have an account that is 3 months or less in age. People are asking what score you are using so that they know what data to use.

Re: Amex Green Card-dropped my score 15 points/

Pikaboo-icu — Wed, 19 Sep 2018 22:06:56 GMT

@Trailmix123 wrote:
And once again I have opened up cards before and in your own little explination ''resetting'' the yougest to zero making the score dropped but it never did. I have been in this same situation and it never dropped my score, not one point. My car I financed because did because of the big ol balance it put on report but that eneded up going back to normal after the first payment. Explain what you want but I don't believe your answer or solution. Don't go getting mad because some one disagrees with you....kind of petty and childish.
On another note, don't be lazy and abbreviate with your ''AoYA'' and what not.

It's not anger, 'tis frustration.

The abbreviations are commonly used all over this site, there's actually a thread defining them.

Perhaps you didn't see a score drop in a similar situation is because there was an alternate factor raising your score, cancelling the drop.

It is well documented that opening a new account & lower the youngest acct age, results in a drop.

That said; advice offered can be ignored & discounted if you choose but try to keep it friendly and avoid personal jabs..

Thems the rules..

Have a grand day.

Re: Amex Green Card-dropped my score 15 points/

Anonymous — Wed, 19 Sep 2018 22:19:36 GMT

@Trailmix123And once again I have opened up cards before and in your own little explination ''resetting'' the yougest to zero making the score dropped but it never did. I have been in this same situation and it never dropped my score, not one point. My car I financed because did because of the big ol balance it put on report but that eneded up going back to normal after the first payment. Explain what you want but I don't believe your answer or solution. Don't go getting mad because some one disagrees with you....kind of petty and childish.
On another note, don't be lazy and abbreviate with your ''AoYA'' and what not.

Once again, you have not answered the question posed 4 times now as to what the age of your youngest account (no abbreviation) was before opening this new account. There's nothing to "disagree" with here, as the information that OM provided you and that I cosign is factual. A drop in age from your youngest account from something greater than 12 months to 0 months WILL impose a scoring penalty. That is not open for debate. How much the penalty is can vary from profile to profile, but 15-20 points is a good ballpark average.

If you're saying that you've opened new accounts in the past and have not seen this score drop, that's because you opened another account within the 11 months prior. Under those circumstances it's completely possible that your score wouldn't drop. Which brings us back to the same question again that you've been asked many times. If you'd like any further feedback or advice, please start by answering it.

Re: Amex Green Card-dropped my score 15 points/

Trailmix123 — Wed, 19 Sep 2018 22:54:59 GMT

Just because you say your explination is factual does not mean its factual and that one can't disagree with you two. Show me hard proof from the credit reporting agencies of what you are saying is true then I'll submit and get off my soap opera. I can tell you stuff all day long and say its factual but you have every right to disagree even if I say "theres nothing to disagree with" such as you put it.
Now my youngest is 8 months old it's a Citi card. So resting that to zero dropped me 15 points? Why would adding a new card affect the previous? Credit history still takes into affect over all length. Adding a new card does not cancel out the previous cards history it merely affects over all length and in this case it did only by 1 months.