@Anonymous wrote:
@Anonymous wrote:
I can’t quantify it because back then, I wasn’t tracking like I do now. What I can say though is that a significant change occurred in that time period while I literally have none from AZEO. My point is that none of these actions have guaranteed point gains or losses unlike something like adding an installment loan if you don’t have one which is universal because of credit mix. There really isn’t a right answer when it comes to adding a third account because it’s another factor that depends on the profile. Lots of us have found benefit so it seems hard to believe it’s a myth.
No one is saying that it's a myth, just that the points gained from the addition of a 3rd revolver is small in the majority of cases (if not all). Again, to my knowledge number of revolvers is not a Fico scoring ingredient, so the actual addition of another card shouldn't impact scores unless it impacts other scoring ingredients indirectly. Some theorize that there's a "sweet spot" for overall number of accounts on one's credit report, (say) over 10 total accounts but less than 20 total accounts as an example. If someone had 9 total accounts and added another revolver, that would bring them to 10, which if it landed in the "ideal" range for total number of accounts could result in a slight score gain. Again, this gain is likely a couple of points at best and it's not because a revolver was added, it's because an account was added... meaning it could have been a non-revolver. This would happen though from a shift to (say) 9 --> 10, not a revolver shift from 2 --> 3 in terms of what the Fico algorithm is looking at.
Those that are saying they found some benefit greater than a single-digit number of points from adding a 3rd revolver IMO are 99% of the time not looking at only the percentage of accounts with balances metric. You yourself said that you saw a 20-30 point gain over some 3 months... other people reference gains over 6 months, etc. Any gain realized over a period of time such as 3 months or 6 months is not because of a single event 3 or 6 months ago like adding a 3rd revolver. Lots of factors change over that period of time. I already referenced AoOA. Another can be AoYA reaching 3 months and 6 months of age; as that new revolver crosses those believed thresholds score gains can be reported... but those gains aren't from the addition of the 3rd revolver. You'd have to isolate that event. Basically, you'd have to pull your Fico scores just before your new revolver reports, then pull your Fico scores the day it reports (in theory 1 day apart, but the closer the better). If the score gain was 20-30 points, that's worth looking into... like were any utilization thresholds crossed due to the added aggregate revolving denominator. 20-30 points gained at that moment would be meaningful, where 20-30 points 3 or 6 months later IMO has nothing to do with the addition of a 3rd revolver in and of itself. Again, it's simply not a Fico scoring factor.
