FICO decrease

[Newbie2018]

My score hit rock bottom once my old car loan was closed and paid. I lost a great deal of points. Then today Experian reported my new car loan it it dropped 23 more points. I'm sad. I knew I'd see a decrease but not one as great as this one. My new age of credit is 1 year and 1 month. I feel like I'm back to square one and all my hard work was for nothing. So, anyone have any clue why it would decrease so much?

[Anonymous]

This is normal. Due to new inquiry made and change in utilization. After a few payments, things will go back to normal and you will most likely exceed your credit score you had before. I know, it sucks. And takes so much patience. My score just went down 3 points from an inquiry and even that pissed me off LOL

[Brooklyn2018]

Sorry to hear such a decrease.😞

I had the same happen to me. Only thing is I PIF a CO. Granted, it was my ONLY revolving account. My scores took a huge hit. I haven’t posted them in my siggy, yet. Although, my scores are nowhere near yours but, the hit hurts, whether your scores are great or poor...still hurts! It feels like all the good you’ve done was for nothing, almost. BUT, like Donna* mentioned, they’ll come back up in a few payments and more than likely, exceed the last ones. You should be proud of your efforts! You were given lemons and managed to make GREAT lemonade! Unfortunately, I’m still squeezing mine! 🤣
Keep up the good work! You’ll be back to “SUPERSTAR” status in no time!! 😊👍

[Newbie2018]

@Donna71281 I took a small hit with the inquiry thats understandable i wasnt upset about that lol. Just the fact that my score dived with the old and new auto loan. It makes zero sense. In total just for experian it went down about 30 points. With my others it hasnt reported the new loan yet. I know with transunion it was my highest score down 33 points since the closing of my auto loan. I pray you are right about it flying back up after a few months of payments.

[Remedios]

The decrease is because your loan is 100% unpaid and if your previous average age of accounts was over 2 years, the drop to 1 year would have caused it to go down a bit. 

Once you make several payments, you will start gaining points back. 

Your score will recover soon, don't sweat the drop. 

If I may ...looking at the scores every day goes along the "A watched pot never boils" lines. 

Keep paying on time, everything will be fine. Your work is not ruined, you gained a new positive TL. 

[Newbie2018]

@brooklyn 2018 

I haven't updated my siggy yet to reflect my new scores. I'm ashamed. Although still in the 600's im now in the low low 600's. It does feel like i've gotten nowhere just in a matter of days i went from finally having good credit to not. Sucks Sucks Sucks! I will update my scores once everything is finished reporting to all three. Thank you so much for the encouragement. You are awesome!

[Newbie2018]

I should definitely quit obsessing over checking my FICO everyday 🤣
Thank you for the kind words and that makes a bit more sense. I'm waiting it out for 5 months now because I'll be applying for an apartment in June/July I'll need my scores to be all they can be lol.

[tooleman694]

I always think that the score is kind of like points. If you don't get new credit the points go up, but if you need new credit it costs you some points. Then you build them back up again.

[Anonymous]

@Newbie2018- I def. feel you on that one. I am so consumed with my score and cleaning up my report. The littlest thing gets to me now. But like you said, you've worked hard to get to where you are. It's very frustrating! You will bounce back in no time!! (I know, easier said than done). I wish I was able to take my own advice sometimes LOL

[Hex]

When I bought my last car I had about $16K worth of a trade in plus about $4K in cash which I put towards a $36K new car. I thought I was smart with my ) $16K loan. Come to find out the better thing to do is to take out the loan for the full value of the car and turn around and pay the new loan down with the left over money. That way the loan will have low utilization much sooner and you get some points back. Next time I get a car that’s my plan.