topic Re: What One Event Alone Causes the Larget FICO Score Drop? in General Credit Topics

What One Event Alone Causes the Larget FICO Score Drop?

fused — Mon, 28 May 2007 23:43:08 GMT

I am curious if anyone really knows the answer to this? My guess would be either a foreclosure on your home or a Fed tax lien. I do not know? Maybe Tuscani or Noah_Bodie might!

Re: What One Event Alone Causes the Larget FICO Score Drop?

Anonymous — Tue, 29 May 2007 02:07:53 GMT

What about the big B?

Re: What One Event Alone Causes the Larget FICO Score Drop?

fused — Tue, 29 May 2007 02:27:21 GMT

masdeocho wrote:
What about the big B?

Oh yeah, that one too. The thing with big B is not only the bad score but the lengthy and sometimes confusing process of it.

Re: What One Event Alone Causes the Larget FICO Score Drop?

Anonymous — Tue, 29 May 2007 02:28:34 GMT

My guess is the B word

Re: What One Event Alone Causes the Larget FICO Score Drop?

Anonymous — Tue, 29 May 2007 04:45:10 GMT

In terms of the ease of achieving it, a single late can cost upwards of 100 points.

Re: What One Event Alone Causes the Larget FICO Score Drop?

Tuscani — Tue, 29 May 2007 10:31:00 GMT

As always.. the impact will depend on your overall file.. for me, a single 30 day late probably wouldn't hurt much as I have a thick file and enough postitive TLs to offset the late payment. Obviously, if you have a thin file with only a couple of TLs a late will hurt you much more.

Re: What One Event Alone Causes the Larget FICO Score Drop?

Anonymous — Tue, 29 May 2007 13:21:55 GMT

Tuscani wrote:
As always.. the impact will depend on your overall file.. for me, a single 30 day late probably wouldn't hurt much as I have a thick file and enough postitive TLs to offset the late payment. Obviously, if you have a thin file with only a couple of TLs a late will hurt you much more.

Au contraire, according to the score simulator. I've got a healthy-sized file, and a single 30-day late would torpedo my score.

Re: What One Event Alone Causes the Larget FICO Score Drop?

Tuscani — Tue, 29 May 2007 13:33:34 GMT

masdeocho wrote:

Tuscani wrote:
As always.. the impact will depend on your overall file.. for me, a single 30 day late probably wouldn't hurt much as I have a thick file and enough postitive TLs to offset the late payment. Obviously, if you have a thin file with only a couple of TLs a late will hurt you much more.

Au contraire, according to the score simulator. I've got a healthy-sized file, and a single 30-day late would torpedo my score.

What you like to prove the simulator's accuracy? Didn't think so. Anyone here will tell you to take what the simulator says with a grain of salt.

Re: What One Event Alone Causes the Larget FICO Score Drop?

MidnightVoice — Tue, 29 May 2007 13:37:14 GMT

I am begining to think that the simulator is designed to encourage good behavior by being over positive on good things and to discourage bad behavior by being over negative on bad things

Re: What One Event Alone Causes the Larget FICO Score Drop?

Anonymous — Tue, 29 May 2007 14:06:13 GMT

I don't know for sure, but I would imagine most lenders would see a mortgage foreclosure on a principal residence as the worst thing. But perhaps a conviction for some type of credit card fraud would be worse. It always amazes me how soon people can borrow after a bankruptcy.

Re: What One Event Alone Causes the Larget FICO Score Drop?

Anonymous — Tue, 29 May 2007 16:07:15 GMT

Tuscani wrote:

masdeocho wrote:

Tuscani wrote:
As always.. the impact will depend on your overall file.. for me, a single 30 day late probably wouldn't hurt much as I have a thick file and enough postitive TLs to offset the late payment. Obviously, if you have a thin file with only a couple of TLs a late will hurt you much more.

Au contraire, according to the score simulator. I've got a healthy-sized file, and a single 30-day late would torpedo my score.

What you like to prove the simulator's accuracy? Didn't think so. Anyone here will tell you to take what the simulator says with a grain of salt.

OK, so the 100 point plummet would be only 80 points. Now I can sleep at night.

I wonder what a first degree murder conviction would do for your score? Is that a public record? You could probably rob a freakin' bank and have a better credit score than if you missed a payment or two on your CapOne card.

Re: What One Event Alone Causes the Larget FICO Score Drop?

MidnightVoice — Tue, 29 May 2007 16:13:32 GMT

Although I would not recommend trying it, death would probably reduce one's score to zero

Re: What One Event Alone Causes the Larget FICO Score Drop?

Anonymous — Tue, 29 May 2007 16:22:13 GMT

Another quick way to watch the bottom fall out is divorce ~ if you've only been an AU on your spouse's credit for 30 years.

Re: What One Event Alone Causes the Larget FICO Score Drop?

Anonymous — Tue, 29 May 2007 16:32:27 GMT

@MidnightVoice wrote:
Although I would not recommend trying it, death would probably reduce one's score to zero

I've heard lots of dead people go on spending sprees the day after they die. Tennis shoes, cruise tickets, sporting goods and cash advances. Their credit seem to be fine.

Re: What One Event Alone Causes the Larget FICO Score Drop?

Tuscani — Tue, 29 May 2007 16:44:05 GMT

MidnightVoice wrote:
Although I would not recommend trying it, death would probably reduce one's score to zero

Well.. 300 anyway.

Message Edited by Tuscani on 05-29-2007 11:44 AM

Re: What One Event Alone Causes the Larget FICO Score Drop?

Anonymous — Tue, 29 May 2007 19:04:33 GMT

I was late on my car loan two years ago more than 10 months in a row, mostly 30 and 2 60 days.

Virtualy, if started form 850, I expected my score to be 300, but it was in high 500's low 600's.

How do you explain that?

Re: What One Event Alone Causes the Larget FICO Score Drop?

MercyMe — Tue, 29 May 2007 20:15:46 GMT

This one grieves me, Felicity. Been there and done that, and not ever again. My daughter calls me "preachy" when I tell her to always have a means of her own; but it's important, you know, so that you won't be years and years simply trying to become existent. I finally have, be it for the better credit scores or the worst, and I trust you have too?

Re: What One Event Alone Causes the Larget FICO Score Drop?

Anonymous — Wed, 30 May 2007 05:21:17 GMT

I daresay there are guys, and gals, who walk outta prison after engaging in all manner of financial crimes, and are promptly issued considerable lines of credit.