Lightstream Approved -- No FICO change

[Anonymous]

Hi --

Lightstream approved a $40K loan on 11/15.  First payment will be 12/31.
But my FICO score didn't change at all.  I thought this, as my first installment loan, would improve my score.

Thoughts?

[AllZero]

Has your installment loan been reported on all 3 bureaus?

If it did, I'm guessing your balance to loan ratio would be at 100% utilization. Thus, negating any score bonus for having an installment loan until utilization % is lower.

[Anonymous]

Yeah, has it reported that quickly? When did it report? I'd expect a couple points down, cuz as @allzero said, it's at 100% B/L which will may outweigh the credit mix bonus, netting a couple point loss, but I could be wrong, it may result in a net increase, really depends on your scorecard, which I don't have enough information to even attempt to ascertain.

But, point is, understand you have 3 moving wheels, maybe more, if other scoring factors are changing. The inquiry is buffered for 30 days, so expect a possible hit 30 days later, if it's not binned.

Next you will get a gain for credit mix, which will occur simultaneously with the application of installment utilization, which for now is 100%, but when it is below 8.9%, you can expect a 15-30 point boost to your FICO 8s.

So everything has to be taken into account to determine the net gain/loss. Plus, if this caused a scorecard reassignment by moving you from thin to thick, that could drastically affect score, but I don't know how many TLs you have on your CR, nor if your CR is clean, AoYA? AoOA? Etc...

[Anonymous]

Hurry up and pay it down to 40% and you'll likely see a score boost.

[tpdtopcop]

Any one know how this reports to CRA? Also what point hit taken? I have 36000 open credit and need 9500 loan so I am wondering how many points I will get hit with? 1300 is utilization of the 36000

[Anonymous]

I don’t understand your question.

[SouthJamaica]

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@Anonymous wrote:

Hi --

Lightstream approved a $40K loan on 11/15.  First payment will be 12/31.
But my FICO score didn't change at all.  I thought this, as my first installment loan, would improve my score.

Thoughts?

---

Once it reports, your scores will probably go down, not up.

[Anonymous]

Yes, I think it will.