How long does a charge off hurt your credit score?

Anonymous · ‎09-21-2015

Anyone have any experiences to report about a charge off coming off their report? Did your score go up a lot? Or at all? I have a charge off from 2008 set to come off in the next 3 months and wanted to know what to expect. The only other derogs I have are 3 lates from BOA in 2009 and 1 in 2011.

Anonymous · ‎09-21-2015

If it's going to come off in the next 3 months, request early exclusion from all the credit bureaus and you'll find out how it helps your score! TU will generally remove an item 6 months before it's due to fall off, and EX/EQ will remove at 3 months.

Collections coming off have helped me more than COs coming off. I just lost two Bank of America charge-offs and I gained 1 point on EQ, 20 on EX, and 5 on TU. When the *last* CO comes off is apparently when you have the biggest jump.

Anonymous · ‎09-21-2015

@Anonymous wrote:
If it's going to come off in the next 3 months, request early exclusion from all the credit bureaus and you'll find out how it helps your score! TU will generally remove an item 6 months before it's due to fall off, and EX/EQ will remove at 3 months.

Collections coming off have helped me more than COs coming off. I just lost two Bank of America charge-offs and I gained 1 point on EQ, 20 on EX, and 5 on TU. When the *last* CO comes off is apparently when you have the biggest jump.

I'll have to do that then. I just read about EE earlier today and am looking forward to get rid of another deragatory item from my credit report.

crrredit · ‎09-21-2015

If it's your last charge off you might get more of an increase. My last CO just came off Equifax ( it was 6.5 years old) and I got +26 points on my score. There's stil a collection on EQ so the CO wasn't my last derog.

Anonymous · ‎09-21-2015

@crrredit wrote:
If it's your last charge off you might get more of an increase. My last CO just came off Equifax ( it was 6.5 years old) and I got +26 points on my score. There's stil a collection on EQ so the CO wasn't my last derog.

It's my only charge off and I forgot to mention there is a judgment that comes off in 12/2015.

Anonymous · ‎09-22-2015

bump

gdale6 · ‎09-22-2015

CO affects the entire time its on file. With a PR on the report its the bigger gorilla so I would expect a muted bump when the CO is excluded. The last derog is where you get the biggest bump.

Anonymous · ‎09-22-2015

You will see a modest bump from the Charge-off coming off because you're still in a "bucket" from the judgement being on there. One major bad item (charge-off, Judgement, Repo) puts your score cap at around 700 from what others have said. When I got my last CO removed, I saw a 100 point jump in Transunion and 90+ from Equifax. It's going to depend on other items on your report including utilization ratio and length of credit history. I have very little credit history myself but what I have is old and a clean report put me near 800 territory.

You may be able to get early exclusion on the judgement as well. Start with Transunion there since they're the easist. Equifax is going to be very tough to get anything from.

Anonymous · ‎09-22-2015

@Anonymous wrote:
You will see a modest bump from the Charge-off coming off because you're still in a "bucket" from the judgement being on there. One major bad item (charge-off, Judgement, Repo) puts your score cap at around 700 from what others have said. When I got my last CO removed, I saw a 100 point jump in Transunion and 90+ from Equifax. It's going to depend on other items on your report including utilization ratio and length of credit history. I have very little credit history myself but what I have is old and a clean report put me near 800 territory.

You may be able to get early exclusion on the judgement as well. Start with Transunion there since they're the easist. Equifax is going to be very tough to get anything from.

Thank you everyone so much for the replies everyone and bringing some clarity to this situation for me. Much appreciated. My current utilization is 29% but I will be paying it down to around 3% this weekend. AAoA is 4 years 4 months, oldest account is 10 years. Current Vantage 3.0 scores are TU 712 EQ 712 EX 687. I am going to pull my full report/scores from FICO soon and wanted to get an idea of what to expect.