Today my student loan for 11k was addred to my credit report and dropped my score from 683 to 555. My loan is still deferred because I completed grad school last year. I read the possible reasons that myfico provided which are:
The following are reasons why a change to an account can cause your FICO® score to go up. (A change to an account in the opposite direction can cause your score to go down.)
Is this a temporary decrease because the account was just added to my report or will I have to suffer? FYI I also have 3 credit cards (Amex, 2 Cap 1) that are in great standing, so I don't even know how to increase my score again. I got the alert today and felt so terrible after I saw this.
It is temporary. Your AAOA will be affected as it's taken a hit, but this is a short-term loss of score points.
Is that a true FICO score? That is quite a drastic drop.
It's the Equifax score through ScoreWatch from Myfico. I went ahead and pulled my Transunion score and that is 683 even with the student loan so I'm not sure what is going on with Equifax.
That is a huge drop for one new account showing up. Do you have a full report from before the drop and after? You should compare two reports carefully to see what changed.
Looks like it just affected the average age of accounts, being that your probably younger since your in school, your history is just shorter. It probably had a greater affect because of this, should get better soon though. My student loan reporting recently did this to my score as well.
I pulled the Transunion report and the Equifax report and the acocunt has been on both reports since 2003 when I started school( I previously thought the decrease was from a new loan). The reason for the decrease in my score was an increase in my student loan amount by $90. Both accounts show the exact same increase amount so I'm just so baffled as to why my Equifax score would drop to 555 for $90 but Transunion still has me at 683. Also, I checked one of my credit cards that gives me an Experian credit score and that number is 660.