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OMG ~ Very Disappointed . . . Credit Score Dropped by 9 Points

babygirl1256
Valued Contributor

OMG ~ Very Disappointed . . . Credit Score Dropped by 9 Points

Well, seems like I danced absolutely too fast . . . TU deleted the last adverse account on my credit report. My score was 790 and today I received my new score from TU and it dropped to 781. I was really upset; so of course I called and the representative explained that my score dropped due to the following:

  • 1 hard pull inquiry (Navy Federal Credit Union 4/2021)
  • Deletion of my oldest trade line account/13.5 years (Bank of America/BoA)

 

Ok, I was super ecstatic that TU deleted the BoA adverse account but if I would have known it would cause my score to drop then I would have left it on there. Hopefully my score will increase once NFCU starts to report my account with my largest credit limit of $23,100. I probably should have asked our Community before requesting TU to delete the adverse trade line . . . live and learn!

Starting FICO 8 Score in 06/2019: EQ-625, TU-649, EX-640
Current FICO 8 Score in 06/2021: EQ-796, TU-806, EX-812
Goal FICO 8 Score in 06/2022: EQ-825, TU-850, EX-850
Message 1 of 10
9 REPLIES 9
AllZero
Mega Contributor

Re: OMG ~ Very Disappointed . . . Credit Score Dropped by 9 Points


@babygirl1256 wrote:

Well, seems like I danced absolutely too fast . . . TU deleted the last adverse account on my credit report. My score was 790 and today I received my new score from TU and it dropped to 781. I was really upset; so of course I called and the representative explained that my score dropped due to the following:

  • 1 hard pull inquiry (Navy Federal Credit Union 4/2021)
  • Deletion of my oldest trade line account/13.5 years (Bank of America/BoA)

 

Ok, I was super ecstatic that TU deleted the BoA adverse account but if I would have known it would cause my score to drop then I would have left it on there. Hopefully my score will increase once NFCU starts to report my account with my largest credit limit of $23,100. I probably should have asked our Community before requesting TU to delete the adverse trade line . . . live and learn!


Was that a delinquent and/or charged off account?

 

The goal should be to be on a clean scorecard. If you have accomplished it, congratulations. Any major delinquency or derogatory may have suppressed your scores from breaking the 800 barrier. Your TU score will recover with time.

Message 2 of 10
babygirl1256
Valued Contributor

Re: OMG ~ Very Disappointed . . . Credit Score Dropped by 9 Points

@AllZero Yes, BoA was a $429.00 charged-off account from 1/2016 . . . I paid it in full 6/2019 when it was included on my credit report. I do have a clean scorecard now with TU and will certainly look forward to my TU score recovering with time. The BoA is the only adverse trade line on my EQ and EX reports so perhaps I should leave it alone since BoA is my oldest reporting account (although negative). Thanks so much for the information.

Starting FICO 8 Score in 06/2019: EQ-625, TU-649, EX-640
Current FICO 8 Score in 06/2021: EQ-796, TU-806, EX-812
Goal FICO 8 Score in 06/2022: EQ-825, TU-850, EX-850
Message 3 of 10
AllZero
Mega Contributor

Re: OMG ~ Very Disappointed . . . Credit Score Dropped by 9 Points


@babygirl1256 wrote:

@AllZero Yes, BoA was a $429.00 charged-off account from 1/2016 . . . I paid it in full 6/2019 when it was included on my credit report. I do have a clean scorecard now with TU and will certainly look forward to my TU score recovering with time. The BoA is the only adverse trade line on my EQ and EX reports so perhaps I should leave it alone since BoA is my oldest reporting account (although negative). Thanks so much for the information.


Excluding the BoA account, what is your next oldest open or closed revolving/installment loan account?

 

Personally, I'd rather be on a clean scorecard. It helps with scores and credit seeking behavior.

 

Since TU is clean, you may or may not receive a new account penalty once NFCU reports. It all depends if you have had any other new account opened less than 12 months ago.

 

I would recommend reading the below from Birdman7
General Scoring Primer and Version 8 Master Thread, pub.5.17.20

Message 4 of 10
babygirl1256
Valued Contributor

Re: OMG ~ Very Disappointed . . . Credit Score Dropped by 9 Points

Excluding BOA:

Open Trade Lines/Name

Acct Age

Chase Slate Visa 3/2011

10 years/2 months

Macy's 3/2011

10 years/2 months

TDECU/Mortgage 11/2011

9 years/5 months

USAA “Secured” American Express 9/2017

3 years/8 months

GM Financial/Vehicle Loan 9/2017

3 years/8 months

Discover 1/2019

2 years/4 months

American Express Blue Cash Pref'd 3/2021 (New)

2 months

NFCU Mastercard 4/2021 (New)

1 month

 

I just confirmed that these 2 closed trade lines are listed on my TU credit report.

Closed Trade Lines/Name

Acct Age

Chase Auto Loan - Open 10/2008 Close 10/2013

12 years/7 months

Credit Union Loan - Open 10/2008 Close 7/2011

12 years/7 months

 

Oh no to receiving a new account penalty once NFCU reports. I have one other new account opened less than 12 months ago and that's my AmEx and I am intentionally keeping both new account balances less than 5%. I will certainly read Birdman7's post! Thanks again!!!

 

Starting FICO 8 Score in 06/2019: EQ-625, TU-649, EX-640
Current FICO 8 Score in 06/2021: EQ-796, TU-806, EX-812
Goal FICO 8 Score in 06/2022: EQ-825, TU-850, EX-850
Message 5 of 10
AllZero
Mega Contributor

Re: OMG ~ Very Disappointed . . . Credit Score Dropped by 9 Points

I would say your profile is in very good shape. I wouldn't worry about the BoA account. You have the closed installment loans propping up the age until it drops off. Then, the open aged revolvers to take it's place.

 

Since the Amex is a newish account, IIRC, then you should not be penalized for the NFCU account.

Message 6 of 10
LaHossBoss
Senior Contributor

Re: OMG ~ Very Disappointed . . . Credit Score Dropped by 9 Points


@babygirl1256 wrote:

Well, seems like I danced absolutely too fast . . . TU deleted the last adverse account on my credit report. My score was 790 and today I received my new score from TU and it dropped to 781. I was really upset; so of course I called and the representative explained that my score dropped due to the following:

  • 1 hard pull inquiry (Navy Federal Credit Union 4/2021)
  • Deletion of my oldest trade line account/13.5 years (Bank of America/BoA)

 

Ok, I was super ecstatic that TU deleted the BoA adverse account but if I would have known it would cause my score to drop then I would have left it on there. Hopefully my score will increase once NFCU starts to report my account with my largest credit limit of $23,100. I probably should have asked our Community before requesting TU to delete the adverse trade line . . . live and learn!


A clean scorecard with no derogs and a lower score will have a better chance at credit approval than a dirty scorecard with a higher score.

 

 

Every credit profile is different, but I can tell you I have scores mid 600s to low 700s that each have 3 x CAs and cannot get very good approvals vs my SO with mid 600s scores and no CAs and gets approved for most everything he apps for.

 

I have seen scores in the 600s get approvals with no derogs over those with 700s scores with severe derogs.

 

Score is not everything, content of those reports and other factors outside of the CRs (DTI/income/relationship/etc) are what will lead to approvals.

 

If anything, a clean report with scores in the high 700s is going to do you more good than high 700s and being dirty.




Starting Score: 2•20 | EQ 550 | TU 498 | EX 505
Current Score: 7•21 | EQ [F8 645] [F9 651] [EQ5 684] [VS3 630] | TU [F8 717] [F9 692] [TU4 723] [VS3 643] | EX [F8 714] [F9 675] [EX2 681] [VS3 674]
Goal Score: 670 [X] TU [X] EX

Take the myFICO Fitness Challenge

SO Starting Score: 2•20 | EQ 502 | TU 484 | EX 521
SO Current Score: 7•21 | EQ [F8 670] [F9 622] [EQ5 706] [VS3 639] | TU [F8 676] [F9 673] [TU4 652] [VS3 620] [VS4 598] | EX [F8 707] [F9 711] [EX2 680] [VS3 656]
Goal Score: 670 [X] TU [X] EX




Message 7 of 10
ImTheDevil
Community Leader
Super Contributor

Re: OMG ~ Very Disappointed . . . Credit Score Dropped by 9 Points

Agreed with the above. OP, you're looking at this the wrong way. You lost 9 points, very minor with a score still above 780. Once you broke 760, conventional wisdom holds that you'd get the same terms as someone at 850. Difference is, you might not get approved in the first place with the derog and a 790 (some are really picky), but at 781 and clean, the sky's the limit. 

Losing those points is like losing 12 cents in the couch cushions with your score. Clearing that derog is like finding a $1000 winning scratch off ticket to replace it. Most definitely do NOT leave two bureaus dirty to conserve a small handful of points that are disposable from where you sit. They, and more, will be back.


Congrats on going clean on TU - looking forward to seeing the other two clear out as well.



Platinum NPSL | Rose Gold NPSL | BCP | Delta Gold | Hilton Surpass | Hilton Honors | FNBO Prime Visa | FNBO Evergreen | PenFed PCR | Navy cashRewards | Navy Platinum | Apple | Wells Fargo Active Cash | IT Cash | IT Chrome | GHSFCU Visa Plat | Quicksilver | Target | VS | Home Depot | Lowes | Sams MC | Firestone | Overstock | Kohl’s | Key Bank auto loan (2017 Audi A6 Premium Plus S-Line)





Message 8 of 10
bluedog357
Valued Member

Re: OMG ~ Very Disappointed . . . Credit Score Dropped by 9 Points

I wouldnt worry about it. We are working on our credit and we just got 2 charges offs paid, since they were paid Equifax dropped by 8 points because of it and then jumped up 5 the next day So only a loss of 3, however it prevents Robins Federal from reporting a charge off everymonth, so in the end it helps. 

Message 9 of 10
AverageJoesCredit
Mega Contributor

Re: OMG ~ Very Disappointed . . . Credit Score Dropped by 9 Points


@babygirl1256 wrote:

Well, seems like I danced absolutely too fast . . . TU deleted the last adverse account on my credit report. My score was 790 and today I received my new score from TU and it dropped to 781. I was really upset; so of course I called and the representative explained that my score dropped due to the following:

  • 1 hard pull inquiry (Navy Federal Credit Union 4/2021)
  • Deletion of my oldest trade line account/13.5 years (Bank of America/BoA)

 

Ok, I was super ecstatic that TU deleted the BoA adverse account but if I would have known it would cause my score to drop then I would have left it on there. Hopefully my score will increase once NFCU starts to report my account with my largest credit limit of $23,100. I probably should have asked our Community before requesting TU to delete the adverse trade line . . . live and learn!


So sorry for your lossSmiley Sad

Message 10 of 10
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