Mortgages and score changes

[Anonymous]

Hi all,

I'm a (relatively) new home-owner.  All the inquiries from mortage apps in April 07 should fall off this month.  Closed on the new home (and new mortgage) in June 07.

I didn't check my scores immediately after the mortgage hit, so don't know if my scores dropped (or raised?!)  or not.     

Since I just started seriously checking MyFico in February to watch the effect of paying off Credit Cards (it's a good one!) - I'm curious about mortgages (wish I could pay *that* off!).

So.....

• In general, what does a new mortgage account do to scores? 
• Total debt went from 35k to 210k (ouch, it hurts to write that!!)
• Just as credit card aging helps your score -- does a mortgage going into a year generally help or ???

Thanks!

Sovi

Message Edited by Soviyana on 04-22-2008 01:40 PM

[haulingthescoreup]

Congrats, another happy home-owner! May your life be full of adventures.

The inqs will not fall off, because they display for two years. But of course, after one year, they no longer count for scoring purposes.

As to the impact, it's a new account like any other. But it's not revolving, so don't worry about its impact on your util. Mortgages stand apart. As best as I can tell, they're not even factored into installment util. And TU, for one, is happier when a mortgage is present. (I think that they regard it as a sign of stability or something.)

So I wouldn't expect a huge increase when your mortgage hits its first birthday, although there might be some.

[Anonymous]

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haulingthescoreup wrote:
Congrats, another happy home-owner! May your life be full of adventures.

The inqs will not fall off, because they display for two years. But of course, after one year, they no longer count for scoring purposes.

As to the impact, it's a new account like any other. But it's not revolving, so don't worry about its impact on your util. Mortgages stand apart. As best as I can tell, they're not even factored into installment util. And TU, for one, is happier when a mortgage is present. (I think that they regard it as a sign of stability or something.)

So I wouldn't expect a huge increase when your mortgage hits its first birthday, although there might be some.

---

Thanks Hauling!

I'll keep an eye on what happens when it does reach 1 -- though I'm doing lots of (hopefully) good things for my credit file, so probably will be difficult to isolate.

I probably hurt myself for all of my aps recently, but it sure feels good to get credit when I'm *not* dying for it.  Strange... they tell you not to app unless you need it... and they don't give it to you if you truly do! 

Sovi

[Anonymous]

Want to get a Free FICO score from Trans Union ???

Go apply an credit card from Washington Mutual Bank then logon to the bank system, you will get a

Free FICO score from Trans Union...they update once a month...as long as you keep your card active.

REF.

1.  In general, the credit report can be used within 60 days depending on which bank that you deal with.   

2.  Credit score calculated based on different "Model", different "Factor" so even you get your own credit report from different agencies in the same day, you credit score from the same credit bureau maybe different...

3.  Normally you can "Control" your credit score to be higher (up), by doing this...use only few credit cards (2-3), if you ever need to owe the balance, just owe 1 or 2 cards and pay off to zero balance on all other cards, consolidate 3-4 credit lines together to one card (if they are issued by the same bank) and use that higher credit lines card only...

4.  Credit card company (Bank) only report your credit status once a month, within 7 days after your statement closing day to the credit bureau (Exp-EqX-TU).

5.  For those daily credit monitoring program, your credit score on the 3in1 report only update once a month even you pull your own report everyday make No difference, try it for yourself you will see the trick, unless you pay the fee each time to request the "real credit report" from the agency like Mortgage Fax Inc. (Fanny Mae) authorized.     

[haulingthescoreup]

The FICO score from WaMu is a PFICO, a credit-card enhanced FICO score. It runs over a different range --200 to 950, I think.

It's a real FICO score, but it isn't going to match the FICO's that you pull here, which are "classic" FICO scores used by the mortgage industry, and also by many CCC's.