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Are new accounts scored as soon as they hit your report?

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cr101
Established Contributor

Are new accounts scored as soon as they hit your report?

IIRC, I came across a post a few months ago that said that there may be a 1-month period between the time that new accounts or mtg inqs affect your score. Can't remember which. But, I just had 2 new accts hit my EX. My EX Vantage 3 dropped 10 points, but my FICO didn't change. Wondering if I should expect a drop in a month.

Message 1 of 9
8 REPLIES 8
Anonymous
Not applicable

Re: Are new accounts scored as soon as they hit your report?

Inquiries and accounts are two different things.

 

Once the account shows up on your CR, it is factored into your report data and your score will change accordingly.

Message 2 of 9
cr101
Established Contributor

Re: Are new accounts scored as soon as they hit your report?


@Anonymous wrote:

Inquiries and accounts are two different things.

 

Once the account shows up on your CR, it is factored into your report data and your score will change accordingly.


Awesome! Thanks!

Message 3 of 9
rostrow416
Established Contributor

Re: Are new accounts scored as soon as they hit your report?

Yep, it's all automatic.  Once an account is reported, your actual credit report is updated and your scores are adjusted accordingly.

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Message 4 of 9
SouthJamaica
Mega Contributor

Re: Are new accounts scored as soon as they hit your report?


@cr101 wrote:

IIRC, I came across a post a few months ago that said that there may be a 1-month period between the time that new accounts or mtg inqs affect your score. Can't remember which. But, I just had 2 new accts hit my EX. My EX Vantage 3 dropped 10 points, but my FICO didn't change. Wondering if I should expect a drop in a month.


Getting a new account doesn't always result in a drop.


Total revolving limits 741200 (620700 reporting) FICO 8: EQ 703 TU 704 EX 687

Message 5 of 9
Anonymous
Not applicable

Re: Are new accounts scored as soon as they hit your report?


@cr101 wrote:

IIRC, I came across a post a few months ago that said that there may be a 1-month period between the time that new accounts or mtg inqs affect your score. Can't remember which. But, I just had 2 new accts hit my EX. My EX Vantage 3 dropped 10 points, but my FICO didn't change. Wondering if I should expect a drop in a month.


@cr101 you are referring to 30 day buffering of inquiry penalties, which occur on installment inquiries, we're trying to determine if it happens on all types, but I think so. 

Message 6 of 9
Anonymous
Not applicable

Re: Are new accounts scored as soon as they hit your report?

@cr101 I just reread that and saw it wasn't the model of clarity so I am posting again. it's the inquiry, rather than being charged immediately, it's buffered 30 days, If it's an installment loan and that may be restricted to only certain types of installment loans, but we think all. When an account reports changes are immediate. 

what kind of loan was it and did they charge you immediately for the inquiry or was it buffered?

Message 7 of 9
cr101
Established Contributor

Re: Are new accounts scored as soon as they hit your report?


@Anonymous wrote:

@cr101 I just reread that and saw it wasn't the model of clarity so I am posting again. it's the inquiry, rather than being charged immediately, it's buffered 30 days, If it's an installment loan and that may be restricted to only certain types of installment loans, but we think all. When an account reports changes are immediate. 

what kind of loan was it and did they charge you immediately for the inquiry or was it buffered?


These 2 specific accts were opened via SP.

Message 8 of 9
Anonymous
Not applicable

Re: Are new accounts scored as soon as they hit your report?

@cr101OK so you don’t have to worry about the inquiries. But yeah it’s called Buffering. For Installment loans, the inquiry ding or penalty is delayed by 30 days. we are verifying it’s for all installment loans, but we know it’s for student loans, auto, and mortgages, and we’ve got a data point on it also being for personal loans, so I think it’s for all installment loans.

 

there's a more comprehensive explanation along with slides in the Primer.

Message 9 of 9
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