@Revelate wrote:I don't quite know how a settled CO is handled. Heck I don't think we fully know how they are scored from a revolving utilization perspective when open.
Amex is unique in their handing of AU's as they report as a new tradeline without any prior history so really when we are talking FICO scoring benefit they are the last lender I look to boost someone. For actual shared use they are fantastic, but for scoring, pass.
When you are mentioning drops did they occur basically first of month or somewhere interstitially?
I can almost always tell what a movement on my scores involved but there are plenty of things I don't know (see my confusion on EX 2 revolving utilization) so admittedly might not ever get a full answer.
I am going to wait and see what happens with the remaining CO currently showing 696 balance of a 1500 limit as it updates to 0 balance in terms of point recovery after couple of months of letting the COs age.
This particular CO has been updating monthly already so thats why seeing the balance in this last CO we are taking care of go from 1700/1500 CL to 696/1500 CL *and* a 4 point loss back to back for 2 months I found odd.
The AMEX is a BCP account, which is a normal revolver and should be fewed as same given that it has a 5000 CL.
I do get your point that a AMEX charge card (green, gold, platinum....) would likely not have as much positive effect as an AU as other than the positive payment history would not factor into utilization and other scoring.
I appreciate all the responses on the topic ... it's not a pain point per se, more of just a curiosity.
I approached my own recovery with specific actions and then watched the result as it was reflected in score uplift.
Having reached my limit for what I can do other in my own profile build out other than time I turned attention to accomplishing the same for DW.
@birdnman
@Anonymous wrote:
@satioWhat makes you believe you got credit mix points for that loan? You only get credit mix points one time for having a loan on your credit report.
It doesn’t matter if it’s opened or closed. When you pay it off and close it, the credit mix points remain, but you lose points potentially for no longer having an optimized loan under 9% B/L.
When you open a second loan, you don’t get those points again, much less on subsequent loans. If so, everyone would open as many loans as they could to get as many credit mix points as they could, over and over again. Why would you stop?
No, you lose your credit mix points for installment loans if you close the loan and wait till it falls off your credit report, then you lose those. Then you can re-earn them.
I would think you would get some points when the chargeoff reports paid. From my understanding, as long as the charge off has a balance, it appears as a maxed out card and therefore negatively affects your utilization, killing your score.
And no, what Rev was trying to tell you was that American Express does not backdate. If you have a 20 year old account and add an AU, it will show the open date as the day you made him/her an AU, therefore it’s not going to help with any aging, which is typically the whole point of adding someone as an AU. I don’t think his point had anything to do with charge card versus credit card or whether it affects utilization.
@Birdman7 ... I guess I have misinterpreted the things that I have read within various threads regarding having no active loan affecting credit mix. And as you state, the points gained from the SSL activity are in fact a direct function of having an active optimized loan at <9% rather than the overall credit mix.
You are correct in that I have a closed loan (former mortgage) that remains on my profile across all three CRAs so that in itself affords the points related to "credit mix" for the life that this account remains on my profile even though the item is paid.
I appreciate your highlighting the facts as it relates to the "points" concerning credit mix as it relates to installment loans, pun intended, so that I may be accurately informed in particular when sharing information with others.