So Ipaid off some credit cards, one was a secured visa that I srewed up, my CU never reported me late, but 6 months or so ago, the balance was so high that they took the security $ and closed the card, I paid it off, and it was just reported, before my credit util was 120%, now with that one being the first to report since the payoff, my score dropped 6 points. What is up with this?
Starting Score: 460 Current Score: EQ 764, TU 764, EX 740, BOA AK AIR 30,000, Discover IT 6300, Freedom 25,300, Barclays RMC 15,660, Ring 15,000, BCE 15,000, QS17,000,AARP 15,000, ChaseFU 8,000,AND A LOT MORE!
Now that you've paid it off, does it still report the original CL, or is it now reporting $0, as it should be? One factor might be that you've lost that card's contribution to your total CL.
More likely, it's because with the card now closed, you have one less open revolving account. FICO scoring rewards for open revolving accounts (used responsibly, of course), because revolving credit is riskier than installment. How many open CC's do you now have?
And did you pull a report to find that your score dropped 8 points? If so, look on screen 2 at your list of negative factors. If you saved the earlier report, the one with the higher score, has the order of the negative factors changed at all?
* Credit is a wonderful servant, but a terrible master. * Who's the boss --you or your credit? FICO's: EQ 781 - TU 793 - EX 779 (from PSECU) - Done credit hunting; having fun with credit gardening. - EQ 590 on 5/14/2007