How bad are overlimits on FICO?

[Anonymous]

I recently logged into Chase only to see I had been hit with an overlimit fee of $42 as my account went $2 overlimit. This was right after an auto-pay when an auto-charge hit and then a finance charge hit which pushed it $2 over.

I *immediatly* paid the overlimit and contacted customer service not even to ask to remove it just to explain what happened. THey removed the overlimit fee w/o being asked.

However I got a TrueCredit Alert which said 'Delinquint Account' when I looked further it merely said Overlimit on Chase. Is that really scored as delinquint/late???

I wrote to Chase to ask them to remove that from the credit report and to do an inter-cycle update as I am applying for an apartment this week and the last thing I need is a delinquint (if that is what its shows up as) or a score drop...

[marty56]

I have not seen a CCC mark you late if you are over the limit as long as you pay the required amount by the due date.  IMHO the only effect I think it would have on your score is for util.

[Anonymous]

They didn't mark me late per se but TrueCredit did send me an 'alert' that said 'Found Delinquent Account Found' and then it just said 'Overlimit on Chase'.  The overlimt went through on 1/06 and was taken off on 1/10 so not sure how it made it so fast.  As I said I did pay it immediatly as I went overlimit 5 days after I paid my bill (on the due) date so the overlimit payment I made was 25 days or so before the bill is even due.

They did take it off, just concerned, since TC saw it as 'Delinquent' that it would affect score.

[SCF]

I think the overlimit affects your score in the same way as high util (it reads as >100%) and its effects are reversed just as quickly as high util.  So as soon as you paid it and Chase updated, it's gone from the FICO memory.

Good luck on your new apartment!

[fishbjc]

Yes it does affect your score when it reports.  I paid one right below the limit (small limit) and I saw a little bump.

EQ really doesn't like over the limits.  Then again, EQ doesn't like anything.

[Anonymous]

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@SCF wrote:

I think the overlimit affects your score in the same way as high util (it reads as >100%) and its effects are reversed just as quickly as high util.  So as soon as you paid it and Chase updated, it's gone from the FICO memory.

Good luck on your new apartment!

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Thanks! It should be interestsing, the timing is soooo tight.  Card utils were jacked because of holidays, paid down but not reported yet.  Put myself on salary for new company, since not getting that until Feb had to write a letter of offer to myself for the company, have accountant sign it.  Hopefully the TU CO will be gone as they agreed to do so last week via BBB.  It's all gone be a squeeker. The only good thing going for me is the NYC Vacancy rate is the worst in 30 years (5%) and January which generally ha a boost from bonuses sucks for landlords now.  I'll report back.