No Installment Loan Utilization Point Loss

[Anonymous]

dec 1. NFCU SSL not on report

dec 3. new NFCU SSL reporting 1567/3300 balance

Got new NFCU SSL, reporting at 1567/3300, it raised my aggregate loan utilization from:

462/10800, 4.27%

to

2029/14100, 14.39%

No penalizing affects on most FICO score versions on Experian. Only drops on BC8 and F3, by small amounts.

Dec 1 (pre-SSL reporting): 

F8: 744

Mtg F2: 700

Auto 8: 738

Auto F2: 678

BC8: 775

F3: 693

BC2: 686

Dec 3 (post-SSL reporting):

F8: 744

Mtg F2: 700

Auto F8: 738

Auto F2: 678

BC8: 769

F3: 690

BC2: 686

Profile 

Installments: 5 open / 2 closed

Revolvers: 9 open / 2 closed

Azeo: 576/10,000 on 1 card

Thought it was interesting enough to share. Guessing it doesn't have a penalty possibly due to the rather high quantity of open loans, making me think utilization scoring is possibly fluid.

[SouthJamaica]

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@Anonymous wrote:

dec 1. NFCU SSL not on report

dec 3. new NFCU SSL reporting 1567/3300 balance

Got new NFCU SSL, reporting at 1567/3300, it raised my aggregate loan utilization from:

462/10800, 4.27%

to

2029/14100, 14.39%

No penalizing affects on most FICO score versions on Experian. Only drops on BC8 and F3, by small amounts.

Dec 1 (pre-SSL reporting): 

F8: 744

Mtg F2: 700

Auto 8: 738

Auto F2: 678

BC8: 775

F3: 693

BC2: 686

Dec 3 (post-SSL reporting):

F8: 744

Mtg F2: 700

Auto F8: 738

Auto F2: 678

BC8: 769

F3: 690

BC2: 686

Profile 

Installments: 5 open / 2 closed

Revolvers: 9 open / 2 closed

Azeo: 576/10,000 on 1 card

Thought it was interesting enough to share. Guessing it doesn't have a penalty possibly due to the rather high quantity of open loans, making me think utilization scoring is possibly fluid.

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What I'm trying to figure out is why did you do it?

[Anonymous]

@SouthJamaica 

My other loans will expire next yr

Got the 5 yr SSL with Navy, though

[Anonymous]

I'm surprised that crossing 9% in aggregate installment loan utilization didn't adversely impact scores more.  It's been fairly well documented on this forum (SJ being one member) that significant gains are usually realized when that threshold point is crossed.

[SouthJamaica]

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@Anonymous wrote:

I'm surprised that crossing 9% in aggregate installment loan utilization didn't adversely impact scores more.  It's been fairly well documented on this forum (SJ being one member) that significant gains are usually realized when that threshold point is crossed.

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Yes I am surprised as well. To me that 10% marker is a no man's land, in the FICO 8 wars

[Anonymous]

Yes exactly.  I wonder how it impacts different profiles / scorecards. 

[AzCreditGuy]

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@Anonymous wrote:

I'm surprised that crossing 9% in aggregate installment loan utilization didn't adversely impact scores more.  It's been fairly well documented on this forum (SJ being one member) that significant gains are usually realized when that threshold point is crossed.

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Define significant gains because I just crossed the 9% aggregate installment loan utilization and only received 10 pts on my lowest score of the 3 with Equifax at 777.....Experian and Transunion are at 784 and the loan info hasnt been updated...

[SouthJamaica]

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@AzCreditGuy wrote:

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@Anonymous wrote:

I'm surprised that crossing 9% in aggregate installment loan utilization didn't adversely impact scores more.  It's been fairly well documented on this forum (SJ being one member) that significant gains are usually realized when that threshold point is crossed.

---

Define significant gains because I just crossed the 9% aggregate installment loan utilization and only received 10 pts on my lowest score of the 3 with Equifax at 777.....Experian and Transunion are at 784 and the loan info hasnt been updated...

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My FICO 8's move around 25-30 points when I cross that line.

[Anonymous]

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@AzCreditGuy wrote:

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Define significant gains because I just crossed the 9% aggregate installment loan utilization and only received 10 pts on my lowest score of the 3 with Equifax at 777.....Experian and Transunion are at 784 and the loan info hasnt been updated...

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The term significant can only be definied by the individual.  For me, I'd say anything greater than 15-20 points would constitute significant.  By that definition, the vast majority of people that cross the final installment utilization threshold do experience significant gains.  As SJ just replied above, he was one of them.  Those that do not experience significant gains, I'd be curious to hear more details about their profile.

[Thomas_Thumb]

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@Anonymous wrote:

Profile 

Installments: 5 open / 2 closed

Revolvers: 9 open / 2 closed

Azeo: 576/10,000 on 1 card

Thought it was interesting enough to share. Guessing it doesn't have a penalty possibly due to the rather high quantity of open loans, making me think utilization scoring is possibly fluid.

---

Thanks for posting. How old is oldest open loan? Curious if it is over 3 years of age?

I never gained any points anytime during the period where my mortgage B/L (same as aggregate installment utilization) dropped from 40% to below 30% to below 20% to below 10% to below 5% and then below1%. However, I did lose significant points when the mortgage ( only open loan) was paid off and closed.