AZEO got another one...UPDATE 8/21/20

[flexin222]

UPDATE: The scores are back...Eq-820, Trans-789, Ex-788

Looks like I gained extra points on Eqifax from losing 25 points to gaining 32, with Transunion I lost 15 and got it back, and with Experian I lost 16 and got em back. Gonna make sure I don't visit AZEO again. He's not too friendly...lol

Afternoon all, I forgot to leave a balance and when I paid my last card as clicked I knew I screwed up! I waited for the inevitable and the numbers dropped. Eq-from 813 to 788, Trans from 789 to 774, Ex from 788 to 772. The way Fico works is...what it is! Looking forward next month to Fico back up and hopefully higher. Yay August...

[AllZero]

Thank you for sharing the data points. That's a steep decrease from EQ.

[flexin222]

Tell me about it, but it will probably come back to that number. It just sucks to show disciplined spending and no debt and to be spanked for it. America companies wanting us to be in debt is sad!

[Anonymous]

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@flexin222 wrote:

Tell me about it, but it will probably come back to that number. It just sucks to show disciplined spending and no debt and to be spanked for it. America companies wanting us to be in debt is sad!

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FICO models need to see usage. 

Reporting a balance (usage) doesn't have anything to do with being in debt. Just let the balance report and pay it off, then no debt, no interest. 

[Anonymous]

I'm in the same boat.  My F8 scores jumped 24 pts or so when my youngest account hit 1 year... actually about a month before then, and I was at AZEO (3 cards, 3% aggregate UT).  Then I paid off the card that had a balance (it was the remainder of a 0% intro APR balance which I paid off as planned) and my EX score dropped 20 pts.

Gotta love how paying off debt, whether revolving or a loan, causes a score penalty.  I have a card whose statement closes today but its balance is zero.  Next card to report with a balance will be around the 20th.

Hopefully as my accounts age some more (I'm one year into a minimum 2 year gardening stint) my scores will go up more.  I'm going to see what happens if 2 cards report with balances, maybe in September, to see if AZEO is worth it still or not.

[ccquest]

Did the same last week and saw the same 16 point drop on EX, not sure about the others.

[sxa001]

Thank you for the datapoints, I am going to be trying AZEO in preparation of applying for a Mortgage in November, I am going to have to make sure I am tracking on my spreadsheet so I don't zero out everything and take a hit like that.  With a middle mortgage score of 776, if paying off the cards dropped my EQ5, TU4 or EX2 20 points or more that could have a negative impact.  

[Anonymous]

Perhaps the issue is not so much the payment of the debt but rather the timing?

From what I've gathered on this forum, the key is to have a small balance of at least 1% utilization at statement close so theres some usage to report. Then literally pay it all off right after that. Rinse and repeat. 

If done correctly then no debt is amassed. It's difficult to score what isn't used....

[DoctorManhattan]

Thanks for the info. I have been keeping a balance of $16 on one of my cards and don't tend to go below that. everytime I use it I pay all the way down until there's only $16 left 🤣

[Andypanda]

If you arn't planing on apping for anything in the next month, I don't see what diffrence it makes. Depending on the particulars 0f your cr, you shhould have your pick od any cc you want.