Adding an installment loan -- the Share Secure technique

[CreditDunce]

I pulled my EX report via https://www.freecreditscore.com earlier today.  I noticed the Alliant SSL reporting.  I didn't notice it last month.  I assume, but can't prove the SSL is included in my EX-08 score since I am above the 10% install util mark.

[Whitebird]

Experian not reporting on MyFico - not just an issue with the free monitoring sites

I am using the Share Secure technique from Alliant with excellent results (I'll discuss in another post).  I signed up in May.  Everyone reported in June.  Only TU and Equifax reported in July on my 3-CRA report from MyFico.  Nothing from Experian.  I phoned Alliant and although the rep was pleasant, not too helpful.  She just said she would put through "a request" to report to Experian again.   I let it go, thinking perhaps the August reporting might restore the Experian data and that the July nonreporting was some kind of glitch.  I'll post whether or not Experian shows up in August and I hope others will do as well. 

[Anonymous]

Thanks so much, Whitebird.  I agree that it would be a real help if any and all folks who were having problems with EX this summer could circle back with us in mid-Sept, to let us know what they are currently see.  Everyone should remember that we have a federal holiday (Sept 5), so that will push back the time it takes for an account to appear even further.

Whitebird, can you clarify for us what tool you are using to view your EX report?  It sounded like it might be the myFICO 3B report, but I think that is only updated ever three months, right?

[Whitebird]

Yes, it is the FICO 3B report.  I don't know how often it is updated--this was a one-time purchase because I rarely check my FICO scores - my next post will explain everything.  This was specifically the report dated 8/9/16--everything was there except the Alliant Experian report.  The status date for Experian was June 2016, while the other two reported status as July 2016.  Experian did say "This is an account in good standing" while the other two said "paid or paying as agreed." 

[Whitebird]

I'm reporting on my results of using the Share Secure technique from Alliant to boost my FICO score--not that it was exactly lacking. For the past few years it has been bouncing from about 817 to 822.

I've been fortunate enough in life in that I've never had a credit issue. Always PIF. I've never paid interest on anything at all except for a mortgage, paid off quite a while ago and not on my credit report anywhere, not even on closed accounts. I've never financed a car. When the mortgage was paid off ages ago, scores dropped from 822-825 to 795-803. I knew because at that time I was getting a free Equifax FICO from Washington Mutual where I had a checking account.

I have a long credit history--30+ years, 6 open credit cards, 7 closed. One bank LOC, never used, reports as revolving. Total lines just under $200,000. Utilization runs 1% to 4% depending, usually 2%. I have a perfect history. I would check MyFico score every once in a while--perhaps 1-2 times a year. Revelate would say I have gold-plated credit, LOL.

Oh, I knew exactly why my FICOs were not going past 822. FICO told me! How many ways can one say you don't have installment accounts? Let's see 1. You have no installment accounts. 2. You have no auto loan accounts. You have no mortgage history. It was like listening to the Aflac duck shouting at me! I was always curious as to whether or not adding an installment account would make a difference--I strongly suspected it would--but I certainly wasn't going to take out an expensive loan that I did not need.

This was mere curiosity and a nerdy interest in learning as much as possible as to how FICO works. I think this loan (4 years, not 5), will cost me the price of a few packs of gum.

I happened to see the Share Secure technique outlined here and thought if this is going to work on anyone, I'm a very good candidate. It was very easy for me since I already had a savings account at Alliant. I took out a loan for a few thousand, paid down some for the first reporting period (score went down 5 points - new account) and before the second reporting period paid down to just under 8-9% remaining. I know I did not follow exactly the instructions--take out loan for $500, pay down immediately, etc. I felt more comfortable doing it my way (just a personality thing--take things slowly). In any case, results are what counts. Here we go:

Before:
Equifax 820
Experian 822
TransUnion 820

After (July reporting, Opened in May)
Equifax 850
TransUnion 850
Experian 847 (not reported on MyFico for July - will see what happens next month)

Kudos to this board and especially CreditGuyinDixie for reporting this technique. Shout out also to Revelate--always valuable posts.

Oh, forgot to mention in my last post, I bought the FICO 3-B because I wanted a one-time comprehensive look, including all the "other scores."  I cannot believe I got an autoenhanced (forgot which CRA) of 890/900 when I've never financed a car!  Normally I  get the classic FICO 08 Experian from Amex (yes, same 847), and 08Transunion scores from Barclay and Bank of America.

[Anonymous]

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@Whitebird wrote:

Yes, it is the FICO 3B report.  I don't know how often it is updated--this was a one-time purchase because I rarely check my FICO scores - my next post will explain everything.  This was specifically the report dated 8/9/16--everything was there except the Alliant Experian report.  The status date for Experian was June 2016, while the other two reported status as July 2016.  Experian did say "This is an account in good standing" while the other two said "paid or paying as agreed." 

---

Hey Whitebird!  I have read your last two posts (including the much longer one).  So happy this has turned out to be a big win for you.  Look forward to talking further about it.

Can you help me a little better understand what your August 9th 3B report showed with respect to Experan only and the Alliant account only?

In your post immediately above (see highlighted text in blue) it sounds like you are indeed seeing the Alliant account on the Experian report: the Alliant account on Experian has a status date of June 2016, and Experian says "This is an account in good standing."

In your other posts, however, it sounds as though the Alliant account never appeared at all on the August 9th report (for Experian).

Can you help me understand which is the case?

In your "After" scores, you describe them as being obtained from "July Reporting."  Were these FICO 8 scores obtained from your July credit cards, or are you getting them from the August 9th 3B report?

Since the 3B product you purchased was a one time thing, it will not be updated again.  Thus, when you say "'ll post whether or not Experian shows up in August" it must mean you have a plan for how you'll obtain your EX report in August.  Have you figured that out?

You can use annualCreditReport.com for a free one, and that would be my personal recomendation, since you will get the true full-blown report that way (no third-party tool involved)..  Furthermore I would NOT pull it until Sept 14 just to be sure.  Experian seems to have been taking a few days longer than the other bureaus do with Alliant, plus we have Labor Day in there as well. 

The good news as I read your posts is that Experian DOES appear to have your Alliant account in the report, since it has given you a huge boost in your score.  It's very likely that you will see the account in mid-Sept.

Final suggestion is that you equip yourself with free tools that enable you to view your reports on a regular basis.  Credit Karma will allow you to see TU and EQ weekly, and Experian now offers a free service that allows a monthly pull of their credit report.

[Whitebird]

Most of the confusion is due to poor wording on my part. I am going to reference only the Aug 9th 3B FICO report, the date it was pulled.

When I said everything was there (meaning correctly reporting) except the Alliant Experian report, I meant there was no updating of the Experian report, so it was not correctly reporting.

Date reported Alliant was opened was May 2016 for all 3 CRAs. Under Last Activity on the Aug 9th 3B FICO, Experian reported Not Available. Equifax and Transunion gave Last Activity July 2016. Status Dates were July 2016 for Equifax and Transunion, for Experian it was June 2016. Balance for Equifax and Experian was the identical low 3 figures; balance for Experian was that figure plus $10, since Experian had not updated what had been last paid ($10).

"Were these FICO 8 scores obtained from your July credit cards, or are you getting them from the August 9th 3B report?"

The latter. However, I also checked my CC reports to see if they were identical and they were. I checked the CC scores just after I obtained the 3B FICO, so I don't recall exactly what dates the CCs pulled or gave on their reports, but scores were identical. However, I don't have a source for a CC Equifax free FICO (except for PenFed which uses an old, outdated FICO and reports only quarterly), just get FICO 08s from CCs forTransunion and Experian. I don't want to get another card, join another CU, etc. for Equifax. 

"...it must mean you have a plan for how you'll obtain your EX report in August. Have you figured that out?"

I've been thinking about that. I get my EX score (not the complete report) from Amex about the middle of the month (it updates monthly). I'm also signed up to get the same score from Discover, if needed. I'm curious to see if my 847 score on Experian (850 on the others) had anything whatsoever to do with the missing Experian data. Likely not, as bureaus rarely report identical scores month after month, but would like to compare. Just remembered, don't think it was related because my FICO 09s were 850 across the board.

I already use annualcreditreport.com semi-regularly (when I think about it, LOL; I like to see who soft pulls) but will have to check when I last pulled Experian. If the Experian reporting issue for Alliant is not cleared up soon, I'll consider getting the report from Experian or from MyFICO--only that one bureau--before I again freeze my reports (they're usually frozen). For this experiment with Alliant, I temporarily opened all of them as I could not recall who did/did not allow even MyFICO reports to pull frozen scores. I'll be freezing them again in the future.

Thanks for all the suggestions; However, my scores and reports have always been steady eddys--boring, actually! I have no need to follow scores or reports more closely than I do. I have no further credit goals. I don't want more accounts, higher CLIs, etc. As I get two of the three classic FICOs monthly via CC, that's good enough. I keep a very close eye on all financial accounts directly. This was an experiment to see if adding an installment account would correct what FICO told me was the problem.

[Anonymous]

Sounds great.  Glad you have had such a good experience!

[Anonymous]

Whitebird- thank you so much for your thorough and informative post.So happy that you hit 850 on your scores! I know all profiles are different...but I am happy to see the SSL works for people with 820 + scores also...not just those that have scores in the lower ranges like Say 550 to 700. I've read elsewhere it only helps the people with bad and fair credit... and doesn't helps those with good credit or exceptional credit as much.....as far as I am concerned,your results shoot holes in that theory!! This is great news😂

[Whitebird]

Thanks for the kind words. I have to say, however, that I've never heard of the fallacy you describe, and to me it does not even make "FICO sense" (as opposed to common sense, LOL) but if my experience has helped clear up that misconception I'm happy to have done so.

Remember, however, as outlined in the excellent discussion of this method by CGID a Share Secure loan will help the most those who have absolutely no installment loans showing on their credit reports. Of that group, I speculate that it helps the most those who already have the highest scores and cleanest reports because that group normally has little to nothing left to "clean up" or "work on" and the only category left is "mix of credit." People with the scores you cite would do well to pay more attention to the other elements that FICO looks at and which count for a much higher percentage of their score, such as on-time payments and utilization, plus other elements which rank higher in importance.  I'm certainly not saying that installment loans would not count for anything in that group, just that the amount of improvement, if any, might be disappointing.