Over 100pt drop in Transunion score

Anonymous · ‎10-09-2020

I was hoping someone could explain this. My USAA car loan was paid off as I bought a new car and paid this loan off. USAA reported the loan closed and paid in full. It hit Credit Karma and Credit Sesame that it was closed and my Transunion score went from 816 to 676. The new loan hasn't even shown on my report yet so this makes no sense. I know it's Vantage scoring but I don't understand the drop. My Experian FICO score is still 814 and Equifax is still 808. I did not get an alert from MyFICO, just Credit Karma and Sesame.

Jnbmom · ‎10-09-2020

@Anonymous wrote:
I was hoping someone could explain this. My USAA car loan was paid off as I bought a new car and paid this loan off. USAA reported the loan closed and paid in full. It hit Credit Karma and Credit Sesame that it was closed and my Transunion score went from 816 to 676. The new loan hasn't even shown on my report yet so this makes no sense. I know it's Vantage scoring but I don't understand the drop. My Experian FICO score is still 814 and Equifax is still 808. I did not get an alert from MyFICO, just Credit Karma and Sesame.

Its not really your TU score, its a CKTU score big difference, same with CS. If you have no other installment loans, then your "CK score" would take a hit for not having an open installment loan reporting. However CK scoers are not worth worrying about, as long as your FICOs remain intact, I wouldn't worry about.

EXP 780 EQ 796 TU 810

AllZero · ‎10-09-2020

I think you solved your own dilemma. FICO 8s don't seem as erratic as VantageScore 3.0

Slabenstein · ‎10-09-2020

IIRC, Vantage 3.0 doesn't include closed accounts in its scoring, so you would have lost whatever the score contrib of the USAA loan was for that model when it closed. Whether that alone could drop you 100+ points on Vantage, I have no idea, but if your FICOs are fine and your TU CR looks good, it doesn't really matter.

Anonymous · ‎10-09-2020

Thank you Jnbmom. Our other car loan is still showing. And we have a variety of credit usage to include a mortgage. All payments are in good standing, no lates ever and our utilization is below 2% on revolving credit. I just don't understand their metrics.

Anonymous · ‎10-09-2020

Thank you all. I was just a little shocked when I received the alert, to include a third one now from TurboTax.

Anonymous · ‎10-10-2020

@Slabenstein wrote:
IIRC, Vantage 3.0 doesn't include closed accounts in its scoring, so you would have lost whatever the score contrib of the USAA loan was for that model when it closed.

Yes, this is it - a reduction in open accounts/aging.

I had a -41pt reduction in VS3 scores from closing an open installment loan in December 2018 (reported closed January 2019).

That reduced my VS3 AAoA from 1yr to 1mo, since I only had a single loan account on file for a whole year, and my very first credit card account reported for the first time.