topic Re: Score Increase Expectations after EE in Rebuilding Your Credit

Score Increase Expectations after EE

Dennis885 — Fri, 11 Nov 2022 01:07:14 GMT

I have 4 accounts set to fall off my report between June and August of 2023. The rest of my credit report is spotless.

I don't need credit right now but would still like to see these 4 accounts gone ASAP, so I plan to try EE with TU starting next month for the June 2023 fall off account.

My question is, assuming EE success, will my score see any change after the first account is removed? Or not until all 4 are gone 2 months later.

My FICO is around 710 right now, I'm hoping once they are all removed to be close to 750. I have a decent mix of open and closed account in good standing, no late payments. Is this realistic ?

Re: Score Increase Expectations after EE

OmarGB9 — Fri, 11 Nov 2022 11:49:13 GMT

I think it's possible to hit 750 when they're all gone, yes. As for whether you'll see increases after each individual one comes off, it's very much YMMV. Also, what kind of accounts are we talking about? COs, Repos, Foreclosures, collections, etc.?

Re: Score Increase Expectations after EE

Dennis885 — Sat, 12 Nov 2022 11:16:58 GMT

Charge Offs (credit card)

Re: Score Increase Expectations after EE

markbeiser — Sat, 26 Nov 2022 06:02:52 GMT

If it is being reported as an open charge off account, with a balance and credit limit being reported, you will see a tidy bump in your credit score when it falls off.
I had about a 70 point jump when a chargeoff fell off my report. Not sure how much of it was specifically due to the old derogetory account going away, and how much of it was due to the >100% utilization on the account going away.

If it is being reported as a closed collections account, there isn't as dramatic of an affect when it falls off, as its affect on your score will have tapered down a lot by the time it falls off, and wasn't being counted against your utilization.

Of course this varies quite a lot by the scoring model.
To me it seems that very old closed collections accounts affect credit limits and interest rates offered more than they affect your Fico8 score.
You can have a 725+ credit score with multiple very old collections on your report, but get denied credit, or get lower limits and higher interest rates than someone with a lower score, but no collections.
I've got 3 collections, all falling off my report over the next 3 months, and while AmEx approved me for a Blue Cash Everyday card 2 months ago, it only has a $1000 limit! And then there is my $250 limit Apple card...🤣

Re: Score Increase Expectations after EE

IamWesty12 — Sat, 26 Nov 2022 15:09:07 GMT

@markbeiser wrote:
If it is being reported as an open charge off account, with a balance and credit limit being reported, you will see a tidy bump in your credit score when it falls off.
I had about a 70 point jump when a chargeoff fell off my report. Not sure how much of it was specifically due to the old derogetory account going away, and how much of it was due to the >100% utilization on the account going away.

If it is being reported as a closed collections account, there isn't as dramatic of an affect when it falls off, as its affect on your score will have tapered down a lot by the time it falls off, and wasn't being counted against your utilization.

Of course this varies quite a lot by the scoring model.
To me it seems that very old closed collections accounts affect credit limits and interest rates offered more than they affect your Fico8 score.
You can have a 725+ credit score with multiple very old collections on your report, but get denied credit, or get lower limits and higher interest rates than someone with a lower score, but no collections.
I've got 3 collections, all falling off my report over the next 3 months, and while AmEx approved me for a Blue Cash Everyday card 2 months ago, it only has a $1000 limit! And then there is my $250 limit Apple card...🤣

@markbeiser IKR! This credit world and the algorthyms just boggle my mind. I don't understand how in a same day one can be approved for an amazing credit card w/an amazing SL and then also get approved for say a cap1 with a $500 never to get raised SL?!?!?!? But what I try to remind myself of is as long as I am going in the right direction that is what is important. Time & patience is key but not what we ever want to hear, lol! Keep going in the right direction, @Dennis885 it is hard to predict what or how your scores will react. Regardless, once these 4 finally fall off organically or with EE, you are going in the right direction and will see the benefits before you know it!!

Re: Score Increase Expectations after EE

7774x — Sat, 26 Nov 2022 20:42:58 GMT

@IamWesty12 wrote:
@markbeiser wrote:
If it is being reported as an open charge off account, with a balance and credit limit being reported, you will see a tidy bump in your credit score when it falls off.
I had about a 70 point jump when a chargeoff fell off my report. Not sure how much of it was specifically due to the old derogetory account going away, and how much of it was due to the >100% utilization on the account going away.

If it is being reported as a closed collections account, there isn't as dramatic of an affect when it falls off, as its affect on your score will have tapered down a lot by the time it falls off, and wasn't being counted against your utilization.

Of course this varies quite a lot by the scoring model.
To me it seems that very old closed collections accounts affect credit limits and interest rates offered more than they affect your Fico8 score.
You can have a 725+ credit score with multiple very old collections on your report, but get denied credit, or get lower limits and higher interest rates than someone with a lower score, but no collections.
I've got 3 collections, all falling off my report over the next 3 months, and while AmEx approved me for a Blue Cash Everyday card 2 months ago, it only has a $1000 limit! And then there is my $250 limit Apple card...🤣
@markbeiser IKR! This credit world and the algorthyms just boggle my mind. I don't understand how in a same day one can be approved for an amazing credit card w/an amazing SL and then also get approved for say a cap1 with a $500 never to get raised SL?!?!?!? But what I try to remind myself of is as long as I am going in the right direction that is what is important. Time & patience is key but not what we ever want to hear, lol! Keep going in the right direction, @Dennis885 it is hard to predict what or how your scores will react. Regardless, once these 4 finally fall off organically or with EE, you are going in the right direction and will see the benefits before you know it!!

Poster above is correct .. COs that were updated each month you'll see a fico boost, if CO not updated, no change or small dip .. Fico scores were put together with credit card companies ,in mind ..Show you how convoluted ficos can be .. I had at 1 time a100% CC Utilization , that was a cited as a neg.. then went down to zero, that was cited as a neg. As long you have COs , you will be in the penalty box ,with denied credit .. or filmsy CLs ,, again CCs want people to pay up or pay the price. Relax .....COs will fall off,, Trans Union 6 month EEs help, are a good start .. the biggie is getting EX report clean ,Good Luck .. . Now after going thru it all .. new credit no issue for me

Re: Score Increase Expectations after EE

Dennis885 — Sun, 27 Nov 2022 01:42:08 GMT

All the accounts were "settled for less than balance".

Since TU has the earliest exclusions I'll report back as they are removed. Expecting 1 removal in December, and the rest by March. I'll try to update as they happen.

Re: Score Increase Expectations after EE

FLLGuy — Thu, 08 Dec 2022 19:36:24 GMT

@Dennis885 - any update with the TU EE for this month, wondering if it worked out for you? I also plan on doing the same soon but for my BK.

Re: Score Increase Expectations after EE

Dennis885 — Thu, 08 Dec 2022 22:55:02 GMT

The applied for the first EE (6/23) by filing a dispute with TU on Dec 1st for being too old. It was removed in seconds.

I have 2 more dated 7/23 with TU and 1 dated 8/23. Planning to try for EE on those Jan 1st and Feb 1st respectively.

As for changes to score, I can only view my Vantage score (daily) and FICO 9 (updates 15th of each month) for free and neither of those have changed.

I'm hoping once all the negative accounts are removed I'll see a jump. I plan to pay for official scores at that time.

Re: Score Increase Expectations after EE

DoogieBall — Sat, 10 Dec 2022 20:21:03 GMT

Don't know if this provides any info in your case, but I did the EE on TU for my BK7 and my score jumped 65 points according to Experian/Creditchecktotal. In my sig are the pre-EE FICO scores and the jumps after the BK7 was fully off all CRs.

Re: Score Increase Expectations after EE

MrsCHX — Tue, 13 Dec 2022 20:48:37 GMT

How early??

I'm a ways out - ch7 discharged 1/2019 - but I had the realization today that I'm only a few years out from having clean credit again.

Ah. I was thinking 7 years. Is chapter 7 really on there for 10 years??!

Re: Score Increase Expectations after EE

Dennis885 — Sun, 12 Feb 2023 00:19:55 GMT

As an update, I was able to get the final negatives off my Transunion report earlier this month.

My TU vantage score 3.0 went from 740 to 756. Once the items are removed from Experian and Equifax as well, I'll purchase the 3 actual FICO scores to see where they're at.

Re: Score Increase Expectations after EE

Blender — Sun, 12 Feb 2023 12:52:48 GMT

@Dennis885 wrote:
As an update, I was able to get the final negatives off my Transunion report earlier this month.

My TU vantage score 3.0 went from 740 to 756. Once the items are removed from Experian and Equifax as well, I'll purchase the 3 actual FICO scores to see where they're at.

I'll check back. Glad I saw this post I actually wanted to ask the same thing. I just had a TU EE of a CO and a collection removed and saw only 13 points jump. It was reporting as potentially 32 negative months. It's something, but I guess I need to adjust my expectations bc my reports still consist of:

- 2 CO (fedloan, USDOE) (eligible 9/2023 for TU EE)

- 1 60+ late( eligible 9/2023 for TU EE)

- 2 30+ late (2021 mishaps unfortunately)

- 2 collections (eligible 9/2023 for TU EE)

Time is really all you can do lol

Re: Score Increase Expectations after EE

bass_playr — Mon, 13 Feb 2023 23:39:39 GMT

I just succeeded in getting TU to EE a couple of 30 day late payments on an old car loan. My TU FICO 8 jumped 33 points. I think you're in a better spot than me, so with 4 accounts potentially ready for EE, you might see a bigger jump than that. YMMV