topic Re: How much of a score increase to expect? in Rebuilding Your Credit

How much of a score increase to expect?

Heavanly1 — Fri, 25 Feb 2011 23:42:15 GMT

My most recent Equifax fico score, per score watch, is 629 and I recently settled a Cap One charged off account. My utilization prior to the last payment was 97%; once updated to zero balance, my utilization will be 5%. I'm curious as to how much of a score increase I can expect.

I'm not worried about the DOLA updating because I've been making settlement payments over the last 5 months. And yes, Cap One has agreed in writing that the account will be settled in full for the 50% payment and that I'll received a 1099-C for the amount forgiven.

Any guesses?

Re: How much of a score increase to expect?

Anonymous — Sat, 26 Feb 2011 16:25:32 GMT

hi heavanly1, congrats on paying down your utilazation to 5%! If you get your scores here at myfico theres a great simulator that you could put how much you paid off and it gives you an estimated score range that seems to be pretty close. I bet you will see a nice jump, good luck

Re: How much of a score increase to expect?

Anonymous — Sat, 26 Feb 2011 16:29:18 GMT

Good point! You can also use the generic FICO score estimator (different than the simulator that comes with and is specific to your report) which allows you to see your score range without baddies.

Just fill it out once for what you currently have.

And fill it out again with what will be.

Congrats on your hard work!

Re: How much of a score increase to expect?

Anonymous — Sat, 26 Feb 2011 19:27:32 GMT

I am very interested in seeing what kind of jump you get. I recently went from 76% to under 1% utilization. I am waiting for my cards to report hopefully next week to see a change.

Re: How much of a score increase to expect?

fot1 — Sun, 27 Feb 2011 04:20:30 GMT

Curious as well I hope to over the next three months get my ult from %105 to 0.

Re: How much of a score increase to expect?

Heavanly1 — Wed, 16 Mar 2011 00:05:44 GMT

Just a quick update: It's been 19 days since I settled my Capital One charge off and my EQ score has increased from 629 to 645. I don't think this is the result of the Capital One account though since it isn't reporting a zero balance to the credit bureaus. Perhaps it's from the lower utilization?

As soon as it reports the zero balance, I'll be back to report my score increase!

Re: How much of a score increase to expect?

Anonymous — Wed, 16 Mar 2011 01:04:47 GMT

Sounds like you have SW - how do you have the settings on balances?

Re: How much of a score increase to expect?

Heavanly1 — Wed, 16 Mar 2011 01:20:24 GMT

I have the settings to trigger an alert for any balance increases greater than 5% or $1.

I know the Cap One account isn't reporting a zero balance yet because I have online access to that account and a balance still remains. Capital One holds the payment for 21 days before considering it officially settled so I have two more days to go.

The most recent alert stated:

Your FICO score may have gone up because the following factor is not hurting your FICO score as much as before:

You've made heavy use of your available revolving credit.

Let's hope it increase more once a zero balance does report!

Re: How much of a score increase to expect?

gamegrrl — Wed, 16 Mar 2011 03:52:20 GMT

What score do you have your ScoreWatch set at? It should be set at your CURRENT score. That way, you'll get a ScoreWatch alerts when it changes even +/1 one point.

Re: How much of a score increase to expect?

Heavanly1 — Tue, 12 Apr 2011 20:24:49 GMT

FINAL UPDATE: My Cap One card has officially reported a zero balance and my EQ credit score has increased.

Before I settled the account, my score EQ scored hovered around 619. After the settlement posted: 658. That's a 39 point increase! I attribute the score jump to my utlization going from over 100% to 0!

Re: How much of a score increase to expect?

MBOhio2 — Tue, 12 Apr 2011 20:48:02 GMT

Congrats!

Re: How much of a score increase to expect?

CS800 — Tue, 12 Apr 2011 21:21:49 GMT

@ Heavanly:

SO you had a charge off/collection type with Cap one? What was your credit report saying about this cap one account?

I was at about 90% util with my cap one and about 2 weeks ago paid it down to 0. This account is still in good standing. I only have a 30 day late in Feb 2009.

I'm curious to see what kind of jump i will get. Cap one is still reporting the old balance of about $1000.

My other credit card has a 1% util.

Re: How much of a score increase to expect?

Heavanly1 — Tue, 12 Apr 2011 21:39:19 GMT

Yes, I had a charged off account with Cap One, so the tradeline read "charged off as bad debt". It was still owned by Cap One so it was still showing a balance and credit limit and being factored into my utilization.

Since you're utilization is going from 90% to 1%, I'm assuming you'll see a jump in score as well!

Re: How much of a score increase to expect?

CS800 — Wed, 13 Apr 2011 01:20:37 GMT

I wonder how long it takes for Cap one to report. I know im impatient but im eager to see the boost.

So if you have a credit card and it's closed but is still with the OC, they report the util %? Even though it's charged off?