I am still not understanding FICO 8's Logic

[AI_JMV]

I tested out this theory a while back, and here is what I think happened to you: For three months, I let the same card reflect my AZEO balance (no score change). On the fourth month, I paid that to $0 and let a different card report a balance, all keeping the same 1% utilization for both cards... score dropped.  The reason that was listed was because a card I hadn't used (or at least hadn't used according to my report.. i was using it plenty lol), was listed as active again.. and THAT is what dinged my score. So, the next month, let that one continue to be the AZEO, and boom.. score back up. 

[Anonymous]

OP what kind of credit card is this? A bank card? retail?

[Remedios]

I've gotten plenty of alerts about dormant card being used. It caused no scoring changes. 

I'd look for a concurrent event that caused the drop. Something else changed, alertable event  and scoring change may not be related at all. 

[Anonymous]

Thanks for starting this thread! I literally had the same question and was going to post but did a quick search and found the answers I needed. 

Good luck with figuring things out. Please update us and let us know what changes you're making  and the outcomes. 

[Anonymous]

---

@Anonymous wrote:
OP what kind of credit card is this? A bank card? retail?

---

Amex Everyday Card.

[Anonymous]

@Anonymous i've got a potential theory if you're willing to test it.

We all know about the all zero penalty. There's a lesser known "AU all zero" penalty. 

My theory is you were already under the existing AU all zero penalty. I am assuming you are only an AU on that one card with a zero balance.

Anyway when you also took all your primary cards to zero, I'm theorizing they gave you back ~half of your AZ penalty rather than imposing an additional or second penalty. 

I propose you allow small balance to report on the AU card And observe the results. Optimally you would have a small balance on the AU card and on one primary.

Not making any guarantees here, just theorizing, but if you're willing to play ball with us, we may learn something. 

Last for further insight could you please give us an idea of your profile? I'm assuming clean, so how many accounts on your credit report, what's your oldest account, what's your youngest revolver, and do you have any open or closed loans on record?

[Anonymous]

Oh yeah, as stated above there should be two separate alerts from Trans Union, one for the balance change and the other should give negative reason codes. Double check that for us please.

[Anonymous]

@AI_JMV Would you mind giving us the details of your situation? How long was that Card inactive? What are your profile stats? Like Remmy I have received alerts for a dormant card being used without score change, but if that's coming from Experian, that's an adjustable function in EX where you can choose how long if I recall correctly. 

Nevertheless myself and Remmy have enough cards that one changing might not make a score difference; you may only have a few cards, I don't know until you tell us. But that was actually one area of curiosity we had so I'm definitely interested in your data points, if you're willing to share.

@Anonymous Did you have a similar situation? Or just academic curiosity?

[Anonymous]

@omgitsMatt Did you ever take both to zero did you get a double penalty? (I'm getting old I can't remember everything or it takes me a while.)

[Anonymous]

---

@Anonymous wrote:

@AI_JMV Would you mind giving us the details of your situation? How long was that Card inactive? What are your profile stats? Like Remmy I have received alerts for a dormant card being used without score change, but if that's coming from Experian, that's an adjustable function in EX where you can choose how long if I recall correctly. 

Nevertheless myself and Remmy have enough cards that one changing might not make a score difference; you may only have a few cards, I don't know until you tell us. But that was actually one area of curiosity we had so I'm definitely interested in your data points, if you're willing to share.

@Anonymous Did you have a similar situation? Or just academic curiosity?

---

Yes my situation was somewhat similar but with noticeable differences. I just didn't want to poach or start a very similar thread. 

essentially, i opened a new cc with NFCU in February but closed it immediately (not wise- I know) to wait for a sub instead of the balance transfer they were offering -which doesn't help me. I took an immediate <5 point hit for the hp which was expected. Fast forward to March I lost 16-17 points across all three. I wondered if it was because of the account closing? My alerts all pertained to balance decreases,  all of my accounts were at zero -except the account I'm an AU on. I actually called myFico and they gave me some fugazee reason about my account resetting because I closed the one account. I let my accounts report very low balances. I think $510 on $24k NFCU; $12 on $18k AMEX; $1200 on $25k BOA- and just this morning I've received alerts giving back the 16-17 points. I'm back to 718 eq 745 tu 729 ex which is about my highest as I have 8 accounts with 2 90 day lates set to fall off this year and next. So much for not poaching 😊.