Big hit to EX Fico 8 with no big changes to file

[CaptJOB]

Wow thanks for the further insight on this. I believe that the Gold had a small balance reporting and even if it didn't then it certainly does now. Finally pulled her 3 beureau yesterday and they had all taken about a 25-30 point hit on the Fico 8 score. I'm tempted to add her to my BCE which has my highest limit but I was about to sock drawer that card which sounds like might be a waste of time. I also don't want to keep adding her to accounts if that's going to ding anything else for account age even though the BCE is older by about six months than the Sapphire I pulled her off of...

[Anonymous]

Edited: I probably should’ve stated something differently earlier. A charge card does NOT count for utilization in version 8; it’s always a zero. It does count as an account with a balance though, if it has one, which is a separate metric.

So the point of it is, whether the charge card reports a balance or not, it doesn’t count. As long as she’s an AU on it, she’s going to wear that no revolving AU balance penalty, unless she’s also an AU on a credit card with a small balance.

You either have to take her off of the charge card or put her on a credit card with a small balance, to recover those points.

That’s assuming it is a penalty, as opposed to a bonus. As a matter of fact you would be a perfect test case to figure out which one it is.

If you take her off the chargecard and she recovers the points, we know it’s a no revolving balance penalty for AUs. If she does not recover the points, then add her as an AU on a credit card with a balance and she will.

One thing you need to keep in mind, you’re talking about ages and worrying about the effects of a new account. American Express does not backdate. It will look like a new account and affect her ages if you put her on an American Express.

So if you’re worried about that, the BCE may not be the best choice, especially considering she already has sufficient credit lines. Most other lenders, the date open will go according to the actual date opened.

There may be some exceptions, so before you choose which card, ask the forum to ensure that lender backdates.

[Anonymous]

Edited: One more thing. That Chase card you took her off of is probably still going to be on her credit report bringing down her AAOA.

Since she is no longer an AU on that card she can submit a dispute “not my account“ and it will be removed, which will then increase her AAOA to what it was or would be without that card.

I lied. Two more things, here the second: While most of what CMSs say is BS, I believe five is the optimal number of open revolvers, so that you can hit the 20% line on number of revolvers with a balance that exists on some algorithms and scorecards. To be fair, not everyone holds this belief.

[Anonymous]

I apologize for multiple posting but one more thing I wanted to add. AAOA is really a very small factor overall, so that should be one of the least of your worries. I would worry about getting her off the charge card and then if necessary putting her back on a credit card and worry about a goodwill campaign to try to get rid of that late because that’s what’s really going to help her.

[omgitsMatt]

Also, disputing the recently closed AU will remove the account from her credit report like B' said.

However, adding her back as an AU to that specific account at a later date will not get it back on her CR later on if you try that.

At least that was my experience removing myself from my wife's two Cap1 cards. Then disputing them off. Then adding myself back as an AU.

I'm an AU again, but it's no longer on my CR. YMMV big time though.

I'd dispute the account off, then look for another card to experiment with to get those points back if that's what you wanna try to do.

That card has two options now. Sit and age as a closed account or be disputed off. I don't think it can show as an open account again, but again YMMV greatly as very few ppl have reported on specifically this.

Good luck, keep us updated. Looking forward to hearing more and working this out :-)

[Anonymous]

You can put her back on that same card if you like, but I would take her off the charge card first as I said and dispute the charge card off. That way it does not affect her ages.

Then if you want to put her back on the Chase fine, if not dispute it off of there as well, so it doesn’t affect ages and put her on a different one. As long as it’s a credit card with a small balance. And like I said make sure it’s one that backdates if you want to minimize the effect on her age and pick one of your older ones.

I have no knowledge and experience about getting an AU account to report again subsequent to disputing it off, but that could be lender specific maybe some other members can chime in?

Matt I assume you called capital one and attempted to get them to report it again right?

[omgitsMatt]

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@Anonymous wrote:

I have no knowledge and experience about getting an AU account to report again subsequent to disputing it off, but that could be lender specific maybe some other members can chime in?

Matt I assume you called capital one and attempted to get them to report it again right?

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No, I didn't bother, the cards were once maxed out and I was just experimenting so never bothered following up. The tranding data didn't relfect well on me in a manual review, that's why they were take off originally. In fact they led to my first NFCU denial because of that data in March.

It's definitely lender specific though like you said.

I mention it so that's on their mind as they're looking to fix this, that this AU account may need to be shelfed for another if it won't work for what you need it to do anymore. Then again, it may work fine and my situation may only need a phone call to Cap1

[Anonymous]

I’ll let OP clarify, but I think his intent in adding both cards was to help her and the charge card is younger than her average age so it’s not benefiting her anyway. So that’s why I think it will be good to drop the AU there and dispute it off.

And then if that doesn’t get the points back, any national bankcard AU with a balance would work. They can use the Chase again or another if he chooses. Or he can just pick the oldest of his cards, but as I said average age isn’t that big of a factor so that wouldn’t be my primary concern in choosing the card.

[CaptJOB]

So you both have provided a wealth of good stuff here. So I should be clear I actually only added her on the CSP to help hit the SUB and it was when you still got a 5k bonus for adding an AU. So that was that. Then I added her to Gold for an easy way to get MR points. Like I said she hates credit cards and the best way for me to make sure I get ROI on these cards is use them as much as possible. So that was that.

I didn't know just how bad her credit was when I was doing all this so when I finally decided to figure it out recently it didn't occur to me that those AU accounts(or at least the revolver) would have had so much sway. I wish I could offer to try out removing all of these cards from the credit report but I imagine she'd have to do that. This unfortunately I can't make happen. So what I'll do is add her to my oldest Chase card(not paying $75 to get her back on the Sapphire card as it sounds like that would report fresh anyhow and not erase the damage that way) and if that gives her a bump I think that'll be the best data point I can provide. On checking her EX report they do show that AU account as closed now but I assume that's not the same as having it removed entirely.

I'll let everyone know how this works out when my CFU closes at the beginning of next month an ideally show up on her report.

Thanks again for everything!

[Anonymous]

Totally up to yall how you do it, but Chase backdates, so you could put her back on the sapphire and that would resolve the problem or you can put her on the CFU. The only thing is, because the sapphire is still on her report, it’s bringing down her average age, as is the gold, but if it’s worth the points wise for you on the gold that’s fine. CFU will bring down her age as well.

The only way to reverse the damage is to dispute the account off, which she can do very easily but that’s totally up to you guys. Or she could wait 10 years for it to drop off.