Large Variance - 3 Fico Bureau Scores After Bankruptcy

[kokomoka]

Hi Everyone,

Hoping someone can help me clarify the large variance that I see on my Fico scores. After my discharge on December 2020, I followed the normal guidelines to help improve score. I have 2 credit cards with a total limit close to $10,000 with no missed payments. I also have an auto loan with no missed payments.

Although my scores were increasing, I noticed that there was a large discrepancy between all 3; with Experian being the absolute lowest. I reviewed my reports, and can only come to the below things that may be causing this based on my limited knowledge.

1. I had a large number of credit cards IIB (10+). Does this affect the scoring worse than if someone only had like 2 credit cards IIB?

2. All those credit card accounts IIB are listed on my reports as "included in Bankruptcy or Charge-off". However for payment history EQ/TU is showing as NR (Not Reported). EX is the only one showing late payments for a lot of them just on the month that I also filed for bankruptcy. Which credit bureau is correct. And if Experian is correct in how it's being reported, how do some of these people have Fico scores at 700 so soon after bankruptcy. I feel like I'm missing something here.

EQ - 682

TU - 641

EX - 638

Thank you!

[Jnbmom]

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@kokomoka wrote:

Hi Everyone,

Hoping someone can help me clarify the large variance that I see on my Fico scores. After my discharge on December 2020, I followed the normal guidelines to help improve score. I have 2 credit cards with a total limit close to $10,000 with no missed payments. I also have an auto loan with no missed payments.

Although my scores were increasing, I noticed that there was a large discrepancy between all 3; with Experian being the absolute lowest. I reviewed my reports, and can only come to the below things that may be causing this based on my limited knowledge.

1. I had a large number of credit cards IIB (10+). Does this affect the scoring worse than if someone only had like 2 credit cards IIB?

No it doesn't affect the score whether you have few accounts or several included in BK.

2. All those credit card accounts IIB are listed on my reports as "included in Bankruptcy or Charge-off". However for payment history EQ/TU is showing as NR (Not Reported). EX is the only one showing late payments for a lot of them just on the month that I also filed for bankruptcy. Which credit bureau is correct. And if Experian is correct in how it's being reported, how do some of these people have Fico scores at 700 so soon after bankruptcy. I feel like I'm missing something here.

If your accounts had previously late payments they will remain on your report as this is in the accounts history . I would be happy if 2 reports were not reporting the lates . Experian may be reporting correctly . You can't compare what "others" scores are after BK , they are several factors and every profile is different .

EQ - 682

TU - 641

EX - 638

Thank you!

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[FireMedic1]

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@kokomoka wrote:

Hi Everyone,

Hoping someone can help me clarify the large variance that I see on my Fico scores. After my discharge on December 2020, I followed the normal guidelines to help improve score. I have 2 credit cards with a total limit close to $10,000 with no missed payments. I also have an auto loan with no missed payments.

Although my scores were increasing, I noticed that there was a large discrepancy between all 3; with Experian being the absolute lowest. I reviewed my reports, and can only come to the below things that may be causing this based on my limited knowledge.

1. I had a large number of credit cards IIB (10+). Does this affect the scoring worse than if someone only had like 2 credit cards IIB?

2. All those credit card accounts IIB are listed on my reports as "included in Bankruptcy or Charge-off". However for payment history EQ/TU is showing as NR (Not Reported). EX is the only one showing late payments for a lot of them just on the month that I also filed for bankruptcy. Which credit bureau is correct. And if Experian is correct in how it's being reported, how do some of these people have Fico scores at 700 so soon after bankruptcy. I feel like I'm missing something here.

EQ - 682

TU - 641

EX - 638

Thank you!

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Welcome @kokomoka 

Getting a third card will help and have only 1 report a balance of <8.99% then PIF before the due date. A number is not assigned for each baddie. Its a whole of the entire report. Accounts included in your bankruptcy will no longer show a balance owed, they will continue to show the history of the account, including any late payments made prior to the bankruptcy. Any late payment history will be deleted seven years from the original delinquency date, which is the date the account first became late and after which was never again current. Other factors get you to 700. It's quicker for some. Some take longer. You scores arent that bad. Keeping reported util low and a third card might get you over the hump.

[kokomoka]

@Jnbmom Thank you for the answers! I'm assuming based on your follow ups in your answer to question 1, you meant "No, it doesn't affect" the score based on the amount of accounts IIB. And yes, I agree that every situation is unique.

@FireMedic1 Thank you for the welcome, and for also suggesting the 3rd card. Will look into that. And exactly like you said, both of the cards are reporting below 1%. Also appreciate the clarifications.

I would like to correct something in my original post. My Experian report just shows "CO" during the month I filed, on the 2 year history of the accounts. The other 2 reports don't, which is one difference. Also, only the Experian report shows a 90 day late for every account that was IIB. Like Jnbmom said, I guess it's actually a good thing. But I was just curious why there was such discrepancies even in the reporting.

Lastly, another question came to mind. The firm that I went through for bankruptcy suggested I stop paying my cards when I filed. So that is what I did, and then those debts were discharged 3 months later. Is that why it says 90 day late for all those accounts on my Experian report? Because of the time period between filing and discharge? Although I put myself in a terrible situation with debt, I never missed a payment until I filed; which was the recommendation.

[Jnbmom]

Yes sorry meant doesn't .

[FireMedic1]

@kokomokaCharged off is basically the same in a way even though they didnt place the IIB tag. CO the debt is written off as a loss. Some creditors even place CO/IIB. So in 7 yrs from the DoFD it fall off. The BK will still be there and that trumps over all other baddies. Sorry you had to file. But you were given a second chance. Its all good. Keep on rebuilding and in time this will all be a distant memory.