@nycfico wrote:In October, I will hit the 24 month mark of completely clean and on time payments for all my accounts (though did have an IRS lien placed in March of 2014).
I believe I've read in places that two years is a hurdle of sorts and passing ghe 24 month mark has some signficance that going from, say, 20 to 21 months doesn't have.
Can anybody offer any insight into this? Is that true? As with everything fico, I understand the net impact on score is probably tougher to predict as there are always other factors, but everything held even is the two year mark at all signfiicant? It was a 30 day late. Most of the really ugly stuff occurred from 2009 to 2012 for me, so the bulk of my baddies are back then.
There's been some recent confounding information released, but everyone who's tracked things has reached the conclusion there's boundaries.
I saw a very small (4 points) increase when I got to an AAOA of 2 years, went across it, gained, went back and lost it (app spree 4th account I took a drop, identically with my AAOA calculations) and then got the points back with a bit more age. Might've gotten a boost at 3 years but my file wasn't stable enough to really see that, only got a one cannot explain otherwise +6 points but between inquiries, utilization changes, and impending tradelines, doubt I'll be able to track that... maybe in sixish months when I get back to that level.
Individual tradelines not sure, I got a pretty conclusive datapoint that at least for thicker files there's no 1 year for tradeline aging, and sort of don't think there's a 2 year one either but it'd be really tough to figure short of a test file. 6 months has been a long held seasoning boundary and it doesn't appear that inquiries lose any punch at 6 months at least based on my data with Beacon 5 datapoints, so the boosts people have anecdotally found on that 6th month mark may well be a tradeline seasoning event.
@nycfico wrote:Actually I didn't really phrase my question well.
What I'm wondering is aging of baddies, not of accounts. My AAoA is 8 years, so I'm probably close to max benefit with that. What I'm more wondering is does a completely clean 2 year payment history since the last reported late mean something?
Ah. Depends on the derogatory, and depends on the model.
In general lates apparently get discounted after some period of time from people's reports and there's been a very common "30 day lates don't count after 2 years" to the point I suspect someone got a good datapoint on it historically but I didn't see it first hand. BobWang's FICO effects spreadsheet has some of that information too, but yes, boundaries count there.
Tax liens, not sure, I can't seperate age of lien from positive improvements easily in my case, but I did see when I got a brand new spanking tax lien that my FICO 8's dropped me 50 points, and my Beacon 5.0 moved 5 points, so age does matter, and it does vary by model. Already had a lien on there for reference.