Long story short, I had a car loan with Santander that I failed to pay $400 in final fees, was in the process of moving so if they notified me, I don't think I received the final bill. Because of the $400, the account went into lates and eventually collections, and write off. When I found out about it a few months back, I paid it.
Finally the balance went to zero and status changed to Paid. I even go notification from my monitoring services that I had a derogatory account went away.
My score on Experian dropped 16 points! Dropped 7 points on Transunion and went up 1 point on Equifax. It's not like I expected a huge gain but a 16 point drop was suprising. Has anyone experience this?
Is it because the last payment now shows this month? I know some have said leave it alone but I never realized I did not have the title for the car so I had to pay it to get the title.
This credit game is crazy. I am going to start a goodwill campaign to get the lates off which I think should not be too hard.
The account delinquency extended up to the time they reported the change in the current status to a non-delinquency status.
Delaying in paying a debt extends the period of total delinquency, which reflects in scoring once the update posts.
The period of delinquency can now no longer be extended, as any further updates that might report will be on an account that was not delinquent.