cancel
Showing results for 
Search instead for 
Did you mean: 

Is it normal for your score to get worse before it gets better?

Auto Loans for ANY Credit Situation. Immediate Response.
Advertiser disclosure
Highlighted
Valued Member

Is it normal for your score to get worse before it gets better?

I couldn't find my original post but here's an update. Am I on a good track still? Any suggestions? 

 

Paid accounts: Indigo, First Prem, Credit One, Fingerhut, Mont Wards, and my secured Cap One that cannot be converted.

 

Got my Discover secured with a $200 limit. I have an $8 balance. I haven't been billed yet. Is $200 good or should I put more money? 

 

So I'm left with a $750 unsecured Cap One. It's at $750 balance. (When I get my $500 back from my secured card I'm going to put it towards this balance)

I'm in the second month of my Self Lender loan.

I have a Military Star with $3000 on it. I'm planning on having that paid by Feb/March.

That's it! I know I need one more credit card (at least I think) but I'm not sure what to try for or wait and maybe see after the first of the year where my score is at. 

 

Another note..I have 3-4 medical collections all less than $100. Do I pay those off? They're a couple years old. A Cox Cable $600, and an old Verizon $850. 

 

Thanks in advance for any suggestions. I'm really hoping to buy a house in 2020. Crossing fingers. 

 

Message 1 of 8
7 REPLIES 7
Highlighted
Super Contributor

Re: Is it normal for your score to get worse before it gets better?


@musicalmom wrote:

I couldn't find my original post but here's an update. Am I on a good track still? Any suggestions? 

 

Paid accounts: Indigo, First Prem, Credit One, Fingerhut, Mont Wards, and my secured Cap One that cannot be converted.

 

Got my Discover secured with a $200 limit. I have an $8 balance. I haven't been billed yet. Is $200 good or should I put more money? 

 

So I'm left with a $750 unsecured Cap One. It's at $750 balance. (When I get my $500 back from my secured card I'm going to put it towards this balance)

I'm in the second month of my Self Lender loan.

I have a Military Star with $3000 on it. I'm planning on having that paid by Feb/March.

That's it! I know I need one more credit card (at least I think) but I'm not sure what to try for or wait and maybe see after the first of the year where my score is at. 

 

Another note..I have 3-4 medical collections all less than $100. Do I pay those off? They're a couple years old. A Cox Cable $600, and an old Verizon $850. 

 

Thanks in advance for any suggestions. I'm really hoping to buy a house in 2020. Crossing fingers. 

 


I'm not a collections expert. I'll leave that for someone else. You got a couple maxed cards. KILLER! Get them paid down. Practice the AZEO method once they are paid down. No more apps. You have more than enough revolvers. You have a installment loan. Good. More cards doesnt lead to higher scores. Now for the collection guys to chime in. GL!





My posts are JMHO. My siggy is not to brag at all. Just sharing my experiences after learning here from rebuild to recovery after BK DC @ 540's. And to show fellow members what can be accomplished when you do it right and play the FICO Credit Game.
Message 2 of 8
Highlighted
Valued Member

Re: Is it normal for your score to get worse before it gets better?

ha! Thanks. I paid 6 cards down and closed in two months so I'm getting there. 

 

My plan is to be AZEO realistically by February. 

 

Now about those collections.....lol ?

Message 3 of 8
Highlighted
Legendary Contributor

Re: Is it normal for your score to get worse before it gets better?

Collections are treated as extended periods of delinquency until they are paid.

If/when a debt collector makes updated reporting to a CRA that shows the debt remains unpaid, that informs the scoring algorithm that the period of overall delinquency since date of initial delinquency has increased, and the debt remains delinquent.

Thus, updated reporting by a debt collector of an unpaid collection acts similar to updated reporting by a creditor that the account has moved from, for example, 60days late to 90 days late.

 

Once you pay the collection, updated reporting by the debt collector usually ceases, but even if they make updated reporting for some legit reason, such as to correct the accuracy of prior information, that reporting does not extend the period of delinquency for scoring purposes, as the current status will be paid,closed, which is not treated by scoring algorithms as an increased period of, and statement of continued, delinquency.

 

That is the long way of saying that leaving a collection unpaid will continue to have increased negative scoring impact if/when any updated reporting is made on the collection. 

Debt collectors can make regular monthly updated reporting on unpaid collections, and will often do so as part of their business model to entice payment of the debt.

Message 4 of 8
Highlighted
Valued Member

Re: Is it normal for your score to get worse before it gets better?

Ok, at the risk of sounding dumb, can you break it down into plain English for me? Please 

Message 5 of 8
Highlighted
Regular Contributor

Re: Is it normal for your score to get worse before it gets better?

Cliff notes version:

They hurt, pay them. PFD if possible
Message 6 of 8
Highlighted
Valued Member

Re: Is it normal for your score to get worse before it gets better?

OK, ty!

Message 7 of 8
Highlighted
Established Member

Re: Is it normal for your score to get worse before it gets better?

I paid off a couple of small medical collections and got a cute 26 point bounce. If nothing else, it’s good for the confidence boost.

Rebuilding
Round 1:
Secured CapOne - $500 SL, Secured First Premier, Secured Citi - $400 SL, Secured First Progress - $500 SL
Message 8 of 8
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.