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Score drop

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Sbrooks1
Valued Contributor

Score drop

My score equ just dropped 16 points ! I assume it's because I maxed out a card ! Does this seem reasonable, my DTI prior was already 70!!
Message 1 of 4
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Anonymous
Not applicable

Re: Score drop


@Sbrooks1 wrote:
My score equ just dropped 16 points ! I assume it's because I maxed out a card ! Does this seem reasonable, my DTI prior was already 70!!

sounds about right, maxing out cards will always cause a score drop since it bring up your ultilization

Message 2 of 4
takeshi74
Senior Contributor

Re: Score drop

It's impossible to say whether or not X points is correct for a given change.  It depends on the scoring model, your credit profile and the change in your revolving utilization (not the same as DTI as all debts are not considered the same way).  If your revolving utilization changes sufficiently -- and maxing a card is certainly sufficient -- then you should expect a score drop.

 

Keep in mind that the general advice is do not exceed 30%.  Ideal is, however, much lower.  Short term high utilization generally isn't an issue but prologned high utilization can lead to adverse action.

Message 3 of 4
Sbrooks1
Valued Contributor

Re: Score drop

I'm really worried. Because I just refinanced a high interest car loan and now my score will drop even further! Feeling pretty deflated
Message 4 of 4
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