topic Re: How long before scores go up again?! in General Credit Topics

How long before scores go up again?!

Anonymous — Thu, 03 Jan 2008 13:52:58 GMT

I am VERY frustrated right now. Yesterday, my EX score was 693. With one negative set to go off this month, and about $2000 or so in CC debt paid off that is yet to report, I was hoping to be in the 700's relatively soon. Well, after paying off my $4K student loan, my score DROPPED by 20 points. I kn ow paying things like car loans off early is not necessarily good for your score, didn't think paying off this one student loan early would have any effect, since I still have about $17K in loans outstanding (that are all listed as OK/pays as agreed).

Given that those CCs still have to report, and with one negative set to fall off at some point this month (and the last set to fall off in April)...any idea how much longer until my score goes back up?

I am really feeling dejected. Was hoping to apply for an Amex once my util. went down from the CCs.

Re: How long before scores go up again?!

Anonymous — Thu, 03 Jan 2008 14:07:23 GMT

It can be really fustrating waiting for stuff to update-

Be patient -

Re: How long before scores go up again?!

Anonymous — Thu, 03 Jan 2008 14:11:57 GMT

Thanks, Timothy. This site has been really helpful in assisting me while rebuilding my credit. I am just concerned at how long it will take to offset paying off that student loan. I really thought the remaining $17K would offset it. My Dad says my score should be back up in about a month. Any idea whether the CC payments will make up for the lost points once they update?

Re: How long before scores go up again?!

Anonymous — Thu, 03 Jan 2008 14:24:17 GMT

How many open accounts do you have? and How many with balances reported?

20 points seems to be a standard for "too many accounts with balances"

As you have other installment loans- your mix is not getting messed up.

Re: How long before scores go up again?!

Anonymous — Thu, 03 Jan 2008 14:35:06 GMT

I have 13 open accounts, 5 of which are still showing balances totalling $2547 (or about 25-30% utility--my CLs are all very low). All of this has been paid off, but has yet to report. After the "baddies" fall off I will have one negative--that student loan which is currently PIF, but has some serious lates dating back in 2002. I guess I am attributing this to the S/L because that is the only change to my report from last week to today.

I know I should not have checked again so soon--but my EX FAKO report said one of the baddies is set to go on record until Jan '08, so I thought hey, maybe it fell off today!

Not trying to be stubborn and I guess you are right--I need to be patient. I guess I am just getting anxious b/c I have been working SO hard for the past two years, and I just had that "almosttherealmosttherealmostthere" drum ringing in my head so loudly. It's disheartening to see it jump back so far.

Thanks for all your input--it's very much appreciated!!!

Re: How long before scores go up again?!

Anonymous — Thu, 03 Jan 2008 14:44:07 GMT

Sorry--let me clarify--I have 13 open CC accounts, and 10 accounts with balances in general. It breaks down like this--

5 CCs with balances (which have since PIFs)

$17K student loan broken down into 4 accounts

1 account which has been CO (set to go on record until April of '08).

Thanks again!!!!!!

Re: How long before scores go up again?!

Anonymous — Thu, 03 Jan 2008 14:52:16 GMT

10 accounts with balances out of 18 open accounts -

Am I adding correctly?

This would cause the "too many accounts with Balances" flag.

mrsfoofyfoo wrote:

Sorry--let me clarify--I have 13 open CC accounts, and 10 accounts with balances in general. It breaks down like this--

5 CCs with balances (which have since PIFs)

$17K student loan broken down into 4 accounts

1 account which has been CO (set to go on record until April of '08).

Thanks again!!!!!!

Re: How long before scores go up again?!

Anonymous — Thu, 03 Jan 2008 15:25:52 GMT

Yes, your math is correct. That flag has been there for a long time and I expect it to go away once all the CCCs update. In April, when that 1 CO falls off record, I will have only 4 accounts with balances (the S/L that is listed as 4 disbursements/accounts).

Will 4 accounts out of 18 be enough to create that flag? Doesn't seem fair that installment accounts and credit counts should be treated equally in this respect--especially since paying down each has opposite effects on your score. Think it's worth asking the lender to report the loan disbursements as 1 account, rather than 4?

Timothy wrote:
10 accounts with balances out of 18 open accounts -
Am I adding correctly?
This would cause the "too many accounts with Balances" flag.

Message Edited by mrsfoofyfoo on 01-03-2008 07:25 AM

Re: How long before scores go up again?!

Anonymous — Thu, 03 Jan 2008 15:27:16 GMT

Let a tiny balance report on one of the CC's for max points.

That flag has been there- but now is have MORE of an affect.

No one ever said FICO was logical or made sense.

mrsfoofyfoo wrote:

Yes, your math is correct. That flag has been there for a long time and I expect it to go away once all the CCCs update. In April, when that 1 CO falls off record, I will have only 4 accounts with balances (the S/L that is listed as 4 disbursements/accounts).

Will 4 accounts out of 18 be enough to create that flag? Doesn't seem fair that installment accounts and credit counts should be treated equally in this respect--especially since paying down each has opposite effects on your score. Think it's worth asking the lender to report the loan disbursements as 1 account, rather than 4?

Timothy wrote:

10 accounts with balances out of 18 open accounts -

Am I adding correctly?

This would cause the "too many accounts with Balances" flag.

Message Edited by mrsfoofyfoo on 01-03-2008 07:25 AM

Re: How long before scores go up again?!

Anonymous — Thu, 03 Jan 2008 15:39:33 GMT

Boy, you've sure got that right!!!!!

Timothy wrote:
No one ever said FICO was logical or made sense.

Re: How long before scores go up again?!

Anonymous — Fri, 04 Jan 2008 13:56:33 GMT

UPDATE: Checked my EX again and noted this new info under the "what's affecting my score" category:

------------------------------------------------------------------------------------------

The remaining balance on your non-mortgage installment loans is too high.

Your FICO score weighs the balances of your non-mortgage installment loans (such as auto loan or student loans) against the original loan amounts. In general, when you first obtain an installment loan your balance is high, and as you pay this loan down, the balance decreases.

Keep this in mind: This factor will have less of a negative impact on your FICO score as you pay down your installment loans and the total balance decreases.

FICO High Achievers have paid down an average of 35% of the principal on their installment loans.

-------------------------------------------------------------------------------------------

I wonder if this is because Sallie Mae isn't reporting the original amount of my loan, only the balance? Could this perhaps make it appear that my balance is the limit, and thus I'm still at 100% of the balance? Should I perhaps call Sallie Mae and ask them to a) report all my disbursements as one loan (I only applied for one loan, why is it showing up four times?) and b) show the original loan amount?

TIA for your thoughts!

EDITED TO ADD: The original loan amount was somewhere around $25K, now $17K is owed.

Message Edited by mrsfoofyfoo on 01-04-2008 05:56 AM

Re: How long before scores go up again?!

Anonymous — Fri, 04 Jan 2008 14:48:14 GMT

They are required to separate the "subsidized" and "unsubsidized" portions of your loan. If you had 2 disbursements to the school this would make 4 loans.

Re: How long before scores go up again?!

Anonymous — Fri, 04 Jan 2008 15:38:16 GMT

interesting...I was so young when I took out my loans I never realized one would split into several. That would explain why I had 5 different loans at one time.

I feel bad for myself and anyone else who went to college in the last 10 years--that seems to be the time in history when college costs were at their peak. It's going to take our generation a lot longer to get started

Re: How long before scores go up again?!

Anonymous — Fri, 04 Jan 2008 17:00:48 GMT

Timothy wrote:
They are required to separate the "subsidized" and "unsubsidized" portions of your loan. If you had 2 disbursements to the school this would make 4 loans.

Timothy -- I'm just curious about this. I consolidated my 13 loans and sallie mae's website currently shows them as two accounts, but in one bundle -- Something like "Group 1, loans 1-14 unsub and 1-15 sub. My credit report shows only ONE loan with the combined balance. Is this correct?

Re: How long before scores go up again?!

Anonymous — Fri, 04 Jan 2008 17:14:53 GMT

That just makes me jealous-

WhirledPeasPlease wrote:

Timothy wrote:

They are required to separate the "subsidized" and "unsubsidized" portions of your loan. If you had 2 disbursements to the school this would make 4 loans.

Timothy -- I'm just curious about this. I consolidated my 13 loans and sallie mae's website currently shows them as two accounts, but in one bundle -- Something like "Group 1, loans 1-14 unsub and 1-15 sub. My credit report shows only ONE loan with the combined balance. Is this correct?

Message Edited by Timothy on 01-04-2008 09:14 AM

Re: How long before scores go up again?!

Anonymous — Fri, 04 Jan 2008 17:16:32 GMT

Does it help if I tell you I still owe them about 58k? Still jealous?

Timothy wrote:
That just makes me jealous-
WhirledPeasPlease wrote:

Timothy wrote:
They are required to separate the "subsidized" and "unsubsidized" portions of your loan. If you had 2 disbursements to the school this would make 4 loans.

Timothy -- I'm just curious about this. I consolidated my 13 loans and sallie mae's website currently shows them as two accounts, but in one bundle -- Something like "Group 1, loans 1-14 unsub and 1-15 sub. My credit report shows only ONE loan with the combined balance. Is this correct?

Message Edited by Timothy on 01-04-2008 09:14 AM

Re: How long before scores go up again?!

Anonymous — Fri, 04 Jan 2008 17:23:37 GMT

Nope- I am no longer jealous

Mine are under $9800 total 7% fixed

WhirledPeasPlease wrote:

Does it help if I tell you I still owe them about 58k? Still jealous?

Timothy wrote:

That just makes me jealous-

WhirledPeasPlease wrote:

Timothy wrote:

They are required to separate the "subsidized" and "unsubsidized" portions of your loan. If you had 2 disbursements to the school this would make 4 loans.

Timothy -- I'm just curious about this. I consolidated my 13 loans and sallie mae's website currently shows them as two accounts, but in one bundle -- Something like "Group 1, loans 1-14 unsub and 1-15 sub. My credit report shows only ONE loan with the combined balance. Is this correct?

Message Edited by Timothy on 01-04-2008 09:14 AM

Re: How long before scores go up again?!

Anonymous — Fri, 04 Jan 2008 17:31:55 GMT

Oh, and that's ALL undergrad from 1990-97 and the "I don't know what I want to be when I grow up" period of my life. I've paid my graduate loan off. (Woohoo!)

I checked and I'm at 59k @ 6.875% fixed. This is my next dragon to slay.

Timothy wrote:
Nope- I am no longer jealous

Mine are under $9800 total 7% fixed
WhirledPeasPlease wrote:
Does it help if I tell you I still owe them about 58k? Still jealous?

Re: How long before scores go up again?!

Anonymous — Fri, 04 Jan 2008 17:46:57 GMT

yeah I hear ya...I've been vowing to live like a poor person this entire year in hopes I can put 50% of my income towards paying off loans.

At least interest rates have dropped again--mine are all at 6.65 percent.

Re: How long before scores go up again?!

Anonymous — Fri, 04 Jan 2008 17:57:46 GMT

rifleman wrote:
yeah I hear ya...I've been vowing to live like a poor person this entire year in hopes I can put 50% of my income towards paying off loans.

At least interest rates have dropped again--mine are all at 6.65 percent.

Best of luck to you. My current plan is to pay an extra 10 dollars every month, ie, jan +10, Feb +20, March +30, etc. I might get stuck at a number, but I'm refusing to go backwards.