Re: AAoA Threshold For an Increase

dragonfly66 · ‎06-14-2017

Hi, Everyone. After going through a BK13 in 2010 and wandering the credit desert for the better part of those intervening 7 years, I was able to reestablish my credit. The thing is, my credit file with all three CRB's is now very "young". My average age of accounts is at about 1 year and 10 months. Does anyone have any insight or anecdotal evidence to suggest that crossing the 2-year mark for AAoA increases your scores (assuming everything is positive)? I'm hoping I might see an increase in my score for reaching that milestone. Thanks in advance.

Current - FICO 3/2019: EX(753); EQ(763); TU(749)
Beginning - FICO 7/2014: EX(630); EQ(608); TU(581)
Credit: Wells Fargo Home Projects Charge Card ($7,800); Wells Fargo Home Rebate Visa ($4,000); Capital One Quicksilver ($10,000); Capital One Venture ($6,000); Discover it ($7,900); Macy's ($20,000); BrandsMart ($4,000); Banana Republic ($1,200); Lowes ($12,000); Amex Everyday ($30,000); Macy's Amex ($15,000); Amex Platinum (NPSL); Citi Diamond Preferred ($9,000); Chase Freedom ($9,000); Wells Fargo Outdoor Solutions ($10,000); SunTrust HELOC ($25,000)

Anonymous · ‎06-15-2017

Yes, 2 years is a threshold with a lot of data points from people who went above and below it a few times with new accounts reporting. I believe the consensus was 5-10 points for passing the 2 year AAoA mark, but you generally also get a ding for new accounts under a certain age even if you're above the 2 year mark.

Lots of people see 5-10 point increases for every year after 2, but it ends at around the 6 year mark. AAoA > 6 years doesn't seem to matter anymore.

Anonymous · ‎06-15-2017

OP, what is the age of your youngest account? The threshold for that is 1 year. As stated above, you should also see something when AAoA crosses 2 years. AAoA crossing 2 years AND AoYA crossing 1 year both should give you a noticable 10-15 point gain, IMO, depending on your profile.

You also said something in your post about if everything else is good. Everything else won't have an impact on AAoA. Everything else can impact which bucket you fall into, but AAoA is AAoA and crossing a threshold will either positively or adversely impact your score.

Data points have shown that at least 1 AAoA threshold exists above 6 years. Some have stated it is 7 years, but I've also heard from TT that it was 7 years and 8 months I believe.

Anonymous · ‎06-15-2017

Ahh, I missed the thread regarding a different threshold at 7y8m which is included here: http://ficoforums.myfico.com/t5/Understanding-FICO-Scoring/No-score-change-from-6-yr-to-7-yr-AAoA/td...

Interesting! Makes a little bit of sense to me because baddies fall off at 7 years so anything after that point is automatically good so why keep scoring beyond that?

elim · ‎06-15-2017

I passed 2 years AAoA a couple months ago and didn't get a noticeable bump. My utilization is higher than normal (7%) and may be a factor.

Anonymous · ‎06-15-2017

Changing utilization can definitely lower FICO score. 7% aggregate shouldn't but if one of your cards reported a higher utilization, FICO may be slightly dinged equal to the AAoA boost.

Dirty scorecards generally see a lower boost for AAoA increases. I believe Revelate had a dirty scorecard and only got a 4 point boost for going into a higher AAoA tier while others who had clean profiles saw 5-10 points.

dragonfly66 · ‎06-15-2017

@Anonymous wrote:
OP, what is the age of your youngest account? The threshold for that is 1 year. As stated above, you should also see something when AAoA crosses 2 years. AAoA crossing 2 years AND AoYA crossing 1 year both should give you a noticable 10-15 point gain, IMO, depending on your profile.

You also said something in your post about if everything else is good. Everything else won't have an impact on AAoA. Everything else can impact which bucket you fall into, but AAoA is AAoA and crossing a threshold will either positively or adversely impact your score.

Data points have shown that at least 1 AAoA threshold exists above 6 years. Some have stated it is 7 years, but I've also heard from TT that it was 7 years and 8 months I believe.

Hey, BrutalBodyShots. My youngest accounts are my two Amex's. I got them at the same time so they're both 6 months old. I see your point about other things not having an impact on AAoA. What I was getting at was not having any bad items on the report that would mitigate any point gain I would achieve by crossing that 2-year threshold. I should have been more clear.

Current - FICO 3/2019: EX(753); EQ(763); TU(749)
Beginning - FICO 7/2014: EX(630); EQ(608); TU(581)
Credit: Wells Fargo Home Projects Charge Card ($7,800); Wells Fargo Home Rebate Visa ($4,000); Capital One Quicksilver ($10,000); Capital One Venture ($6,000); Discover it ($7,900); Macy's ($20,000); BrandsMart ($4,000); Banana Republic ($1,200); Lowes ($12,000); Amex Everyday ($30,000); Macy's Amex ($15,000); Amex Platinum (NPSL); Citi Diamond Preferred ($9,000); Chase Freedom ($9,000); Wells Fargo Outdoor Solutions ($10,000); SunTrust HELOC ($25,000)

Anonymous · ‎06-16-2017

Gotcha. So in 6 months when your youngest accounts cross the 1 year mark you'll see a gain based on your AoYA crossing 1 year. I would imagine you'd see another similar point gain when you cross from AAoA of 1 year to 2 years, give or take.

Subexistence · ‎06-16-2017

What is the threshold for AoOA?

Starting Score: Ex08-732,Eq08-713,Tu08-717
Current Score:Ex08-795,Eq08-807,Tu08-787,EX98-761,Eq04-742
Goal Score: Ex98-760,Eq04-760

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History of my credit

Anonymous · ‎06-17-2017

@Subexistence wrote:
What is the threshold for AoOA?

I'm sure there are several that are below 10 years, but I'm not sure what they are. I'm pretty sure at about 10-12 years (maybe 11?) you maximize your AoOA and having your oldest account being any older won't impact your FICO scores any further, although it still looks good upon a manual review.

AAoA Threshold For an Increase

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AAoA Threshold For an Increase