O Balance Cards Drop Credit Score

[Anonymous]

I have maintained perfect credit payments on time for over 29 years, paid off dozens of autos, boats, toys, student loans, 2 mortgages totaling over $400,000, etc.  My debt to income ratio is only 23% today.  My credit score was just dropped 40 points due to what the credit score companies said is "uncollateralized debt opportunity".....several credit cards with high credit limits (all with 0 balances).  They suggest that I start to decrease the credit limits and then move to canceling them all together.  I started to call the credit card companies, and they are telling me NOT to do that, for that will cause my score to drop further!  WHAT IS THE TRUTH?   

[Anonymous]

Is that information coming from a Fico score? I would not close any credit cards or reduce your credit lines. 

[Anonymous]

Which of the 3 credit bureaus are siting this as a reason for a drop in scores and where did you obtain the credit report?

Closing credit card accounts is generally not a good idea. 

[haulingthescoreup]

I'm with the others --this sounds like FAKO score advice. FAKO scores (and their accompanying advice) are an excellent way for their creators to make money off of consumers and confuse the heck out of them in the process.

Unless specific credit advice comes from an EQ FICO report or a TU FICO report, ignore it. "Credit scores" are not necessarily the same thing as "FICO scores", which are what more lenders use. In fact, off the top of my head, I can only think of one major lender that uses a FAKO score: Kohl's pulls an Experian Vantage score. Oh, and I think Prosper peer lending uses a version of the PLUS score, but even then, they don't go with the one that a consumer can buy.

[RobertEG]

I dont know who is offering you advice to decrease your CL and close active cards, in good standing, with decent CLs

But they must be from Mars!

I have no idea what "uncollateralized debt opportunity" is.

It is not a FICO factor.

I smell some kinda fraud.

Who told you this BS?