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I'm very familiar with the principle that age matters in the world of credit accounts -- age of oldest account, average age of accounts, age of newest account, recent inquiries, etc
I'm also familiar -- painfully -- with the fact that some institutions will turn you down for a savings or checking account if your Chexsystems report shows recent inquiries.
What I'm wondering is whether old age factors matter in the world of deposit accounts, and in terms of Chexsystems scoring. I.e. do age of oldest account, and average age of accounts, matter?
Specifically, my oldest continuous account has outlived its usefulness; I keep it around out of a sense of loyalty and continuity. It doesn't have maintenance fees or anything, so it's harmless. Just wondering if closing it would have any effect on anything in the Chexsystems-type universe.
Have you ever requested a copy of your Chexsystems? Just curious.
From what I have gathered, and I could be completely wrong, is that Chexsystems only reports the inquiries and negative info. So even if you have a 20 year old checking account, it wouldn't report if you have kept in it in good standing.
@BearsCubsOtters wrote:Have you ever requested a copy of your Chexsystems? Just curious.
From what I have gathered, and I could be completely wrong, is that Chexsystems only reports the inquiries and negative info. So even if you have a 20 year old checking account, it wouldn't report if you have kept in it in good standing.
Pretty sure this is the right answer unless someone can chime in because in my searching I couldn't find anything. Chexsystems is essentially a negative reporting database for banks to reference. Having an account in good standing no matter how long it has been open helps in that it won't be reported til you overdraw or some other negative action. Basically, no bad news to report is good news for you. If you feel like closing the account I don't see any issues with Chexsystems.
Yup. It's possible to have dozens of bank accounts and have a completely blank ChexSystems reports. Once the inquires ages off nothing elese remains on the report unless you have a negative action (NSF for example). The mere fact that the account exist will not appear on the report at all.
As far as Chex goes, it wont be reported.
Closing an account, just like opening one, will be present on your EWS report because that's Chase's baby but I doubt closing it will have the same weight as opening a new one, if any.
@BearsCubsOtters wrote:Have you ever requested a copy of your Chexsystems? Just curious.
From what I have gathered, and I could be completely wrong, is that Chexsystems only reports the inquiries and negative info. So even if you have a 20 year old checking account, it wouldn't report if you have kept in it in good standing.
Yes I have seen it a couple of times. You are correct. There was nothing in the report about the accounts, just about the inquiries. But does that necessarily mean that they are not factored into the score.
OK so I guess the consensus is that age of oldest account and average age of accounts do not matter when it comes to deposit accounts.
According to this article, by Synchrony, the age of deposit accounts, and even the balances on deposit, factor into the new "UltraFICO" scores.
Upon further reading, though, I see that "UltraFico" is a specialized thing designed for people with little or no credit history, who are willing to link -- and be judged upon the basis of -- their handling of their deposit accounts. This certainly would be inapplicable to someone like me, but might be applicable to others. Although MyFICOers are not likely to be in the target demographic for this
@SouthJamaica wrote:According to this article, by Synchrony, the age of deposit accounts, and even the balances on deposit, factor into the new "UltraFICO" scores.
Yeah, but that's geared more towards those who would otherwise be "unscorable" or with limited credit history
I dont think you fit into any of those categories.
Purpose of Fico Ultra is to "boost" score and add some positive history, you already have that.
Straight from that link An UltraFICO™ Score can unlock more credit opportunities for millions of hardworking people. You empower your UltraFICO™ Score. By simply and securely linking with your checking, savings or money market accounts, your UltraFICO™ Score can enhance your FICO® Score based on indicators of sound financial behavior. By opting in, you could broaden your access to more lending options and better terms.
Followed by
An UltraFICO™ Score gives lenders a clearer picture of who you are as a borrower. Have you ever felt like your traditional credit score doesn’t tell the full story? Your UltraFICO™ Score takes your banking activity into consideration, which provides lenders with a more comprehensive picture of your unique financial situation.
Your UltraFICO™ Score lets you show lenders indicators of sound financial behavior, not visible on a traditional credit report, including: Length of time your accounts have been opened, Recency and frequency of your bank transactions, Evidence of consistent cash on hand, History of positive account balances
So, if you had no credit and were willing to let them peek, that would be the purpose. The reason history matters is to see if you've had overdrafts, $0.00 checking/savings balance etc.
Your CR already tells that story. That's for those who dont have it.
Chex really only cares about inq, new accounts and negative info on depository accounts. Closing of an account is non-event.
@Remedios wrote:
@SouthJamaica wrote:According to this article, by Synchrony, the age of deposit accounts, and even the balances on deposit, factor into the new "UltraFICO" scores.
Yeah, but that's geared more towards those who would otherwise be "unscorable" or with limited credit history
I dont think you fit into any of those categories.
Purpose of Fico Ultra is to "boost" score and add some positive history, you already have that.
Straight from that link An UltraFICO™ Score can unlock more credit opportunities for millions of hardworking people. You empower your UltraFICO™ Score. By simply and securely linking with your checking, savings or money market accounts, your UltraFICO™ Score can enhance your FICO® Score based on indicators of sound financial behavior. By opting in, you could broaden your access to more lending options and better terms.
Followed by
An UltraFICO™ Score gives lenders a clearer picture of who you are as a borrower. Have you ever felt like your traditional credit score doesn’t tell the full story? Your UltraFICO™ Score takes your banking activity into consideration, which provides lenders with a more comprehensive picture of your unique financial situation.
Your UltraFICO™ Score lets you show lenders indicators of sound financial behavior, not visible on a traditional credit report, including: Length of time your accounts have been opened, Recency and frequency of your bank transactions, Evidence of consistent cash on hand, History of positive account balances
So, if you had no credit and were willing to let them peek, that would be the purpose. The reason history matters is to see if you've had overdrafts, $0.00 checking/savings balance etc.
Your CR already tells that story. That's for those who dont have it.
Chex really only cares about inq, new accounts and negative info on depository accounts. Closing of an account is non-event.
You're 100% right, of course. I just needed to read another article to find that out. Or I could have waited for you to set me straight @Remedios