Good morning, all:
Can anyone explain what happens as we move up the higher scored ladder with fico scoring? I read in another thread that fico recalibrates an individuals score to the new conparison group as we move up higher numerically. Does this actually cause a score drop if we're compared to a new pool? Is it every few points or a specific milestone such as 700?
if there's a drop, is it temporary? Is there anything we can do to offset this, if a reduction does happen?
Thanks so much in advance!
12/22 : 
@Suzette2 wrote:Good morning, all:
Can anyone explain what happens as we move up the higher scored ladder with fico scoring? I read in another thread that fico recalibrates an individuals score to the new conparison group as we move up higher numerically. Does this actually cause a score drop if we're compared to a new pool? Is it every few points or a specific milestone such as 700?
if there's a drop, is it temporary? Is there anything we can do to offset this, if a reduction does happen?
Thanks so much in advance!
I'm not very knowledgeable on the subject, but here's what I believe to be the case:
1. There are various "scorecards" for each scoring model. I believe the number of scorecards for FICO 8 is 12 and for FICO 9 it's 13.
2. The scorecards have different maximum scores, so as you go up the ladder your maximum potential score increases.
3. As you move up from a lesser scorecard to a higher scorecard, you might experience a temporary dip in score although your scoring potential increases. More typically you will experience an increase in score.
4. The scorecards are segmented by various factors, such as (a) presence of negatives (b) seriousness of negatives (c) age of youngest account (d) "thickness" of one's file (e) age of oldest account.
@SouthJamaica wrote:
@Suzette2 wrote:Good morning, all:
Can anyone explain what happens as we move up the higher scored ladder with fico scoring? I read in another thread that fico recalibrates an individuals score to the new conparison group as we move up higher numerically. Does this actually cause a score drop if we're compared to a new pool? Is it every few points or a specific milestone such as 700?
if there's a drop, is it temporary? Is there anything we can do to offset this, if a reduction does happen?
Thanks so much in advance!I'm not very knowledgeable on the subject, but here's what I believe to be the case:
1. There are various "scorecards" for each scoring model. I believe the number of scorecards for FICO 8 is 12 and for FICO 9 it's 13.
2. The scorecards have different maximum scores, so as you go up the ladder your maximum potential score increases.
3. As you move up from a lesser scorecard to a higher scorecard, you might experience a temporary dip in score although your scoring potential increases. More typically you will experience an increase in score.
4. The scorecards are segmented by various factors, such as (a) presence of negatives (b) seriousness of negatives (c) age of youngest account (d) "thickness" of one's file (e) age of oldest account.
Thanks- very informative!
@SouthJamaica wrote:
@Suzette2 wrote:Good morning, all:
Can anyone explain what happens as we move up the higher scored ladder with fico scoring? I read in another thread that fico recalibrates an individuals score to the new conparison group as we move up higher numerically. Does this actually cause a score drop if we're compared to a new pool? Is it every few points or a specific milestone such as 700?
if there's a drop, is it temporary? Is there anything we can do to offset this, if a reduction does happen?
Thanks so much in advance!I'm not very knowledgeable on the subject, but here's what I believe to be the case:
1. There are various "scorecards" for each scoring model. I believe the number of scorecards for FICO 8 is 12 and for FICO 9 it's 13.
2. The scorecards have different maximum scores, so as you go up the ladder your maximum potential score increases.
3. As you move up from a lesser scorecard to a higher scorecard, you might experience a temporary dip in score although your scoring potential increases. More typically you will experience an increase in score.
4. The scorecards are segmented by various factors, such as (a) presence of negatives (b) seriousness of negatives (c) age of youngest account (d) "thickness" of one's file (e) age of oldest account.
It sounds as if when you move up to each higher scorecard, ones scores have the potential to grow exponentially.
@Suzette2 wrote:
@SouthJamaica wrote:
@Suzette2 wrote:Good morning, all:
Can anyone explain what happens as we move up the higher scored ladder with fico scoring? I read in another thread that fico recalibrates an individuals score to the new conparison group as we move up higher numerically. Does this actually cause a score drop if we're compared to a new pool? Is it every few points or a specific milestone such as 700?
if there's a drop, is it temporary? Is there anything we can do to offset this, if a reduction does happen?
Thanks so much in advance!I'm not very knowledgeable on the subject, but here's what I believe to be the case:
1. There are various "scorecards" for each scoring model. I believe the number of scorecards for FICO 8 is 12 and for FICO 9 it's 13.
2. The scorecards have different maximum scores, so as you go up the ladder your maximum potential score increases.
3. As you move up from a lesser scorecard to a higher scorecard, you might experience a temporary dip in score although your scoring potential increases. More typically you will experience an increase in score.
4. The scorecards are segmented by various factors, such as (a) presence of negatives (b) seriousness of negatives (c) age of youngest account (d) "thickness" of one's file (e) age of oldest account.
It sounds as if when you move up to each higher scorecard, ones scores have the potential to grow exponentially.
I don't know about exponentially, but when you move up your scoring potential definitely increases.
@SouthJamaica wrote:I don't know about exponentially, but when you move up your scoring potential definitely increases.
I was going to say the same exact thing! As you move up you're compared to peer groups that have better and better credit, so I would imagine it gets tougher.
Sports analogy, you're doing great in the minors and when you hit the majors you are going to be challenged more to distinguish yourself. But, you deifnitely have the chance to make the big bucks compared to the lesser group.
@TheKid2 wrote:
@SouthJamaica wrote:I don't know about exponentially, but when you move up your scoring potential definitely increases.
I was going to say the same exact thing! As you move up you're compared to peer groups that have better and better credit, so I would imagine it gets tougher.
Sports analogy, you're doing great in the minors and when you hit the majors you are going to be challenged more to distinguish yourself. But, you deifnitely have the chance to make the big bucks compared to the lesser group.
Great analogy. But nah. It's not like that. The higher your scorecard the easier it is to get higher scores.
A more suitable analogy would be the rich getting richer and the poor getting poorer.
@SouthJamaica wrote:
@TheKid2 wrote:
@SouthJamaica wrote:I don't know about exponentially, but when you move up your scoring potential definitely increases.
I was going to say the same exact thing! As you move up you're compared to peer groups that have better and better credit, so I would imagine it gets tougher.
Sports analogy, you're doing great in the minors and when you hit the majors you are going to be challenged more to distinguish yourself. But, you deifnitely have the chance to make the big bucks compared to the lesser group.
Great analogy. But nah. It's not like that. The higher your scorecard the easier it is to get higher scores.
A more suitable analogy would be the rich getting richer and the poor getting poorer.
Buzz kill!
@TheKid2 wrote:
@SouthJamaica wrote:
@TheKid2 wrote:
@SouthJamaica wrote:I don't know about exponentially, but when you move up your scoring potential definitely increases.
I was going to say the same exact thing! As you move up you're compared to peer groups that have better and better credit, so I would imagine it gets tougher.
Sports analogy, you're doing great in the minors and when you hit the majors you are going to be challenged more to distinguish yourself. But, you deifnitely have the chance to make the big bucks compared to the lesser group.
Great analogy. But nah. It's not like that. The higher your scorecard the easier it is to get higher scores.
A more suitable analogy would be the rich getting richer and the poor getting poorer.
Buzz kill!
Yeah, I have that effect on people 
Please read this as it will not only answer this specific question but many others as well.
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