We've been super diligent after selling our home. We immediately paid off $30k in card debt, $200k HELOC and $430k first mortgage. Applied for a new mortgage to buy a new home.
Over the past few weeks our scores went from the high 600's to mid 700's as our utilization % was hurting the scores. A couple of days ago my wife's TU hit a high of 775, a day later after recording our home loan paid off her TU score dropped by 24 points. Do you guys know why her score would take such a big hit after we paid off our largest liability?? It makes little sense to us. Thanks in advance
@nzbgsf wrote:We've been super diligent after selling our home. We immediately paid off $30k in card debt, $200k HELOC and $430k first mortgage. Applied for a new mortgage to buy a new home.
Over the past few weeks our scores went from the high 600's to mid 700's as our utilization % was hurting the scores. A couple of days ago my wife's TU hit a high of 775, a day later after recording our home loan paid off her TU score dropped by 24 points. Do you guys know why her score would take such a big hit after we paid off our largest liability?? It makes little sense to us. Thanks in advance
Which scoring model?
Version 8
@dragontears wrote:
@nzbgsf wrote:We've been super diligent after selling our home. We immediately paid off $30k in card debt, $200k HELOC and $430k first mortgage. Applied for a new mortgage to buy a new home.
Over the past few weeks our scores went from the high 600's to mid 700's as our utilization % was hurting the scores. A couple of days ago my wife's TU hit a high of 775, a day later after recording our home loan paid off her TU score dropped by 24 points. Do you guys know why her score would take such a big hit after we paid off our largest liability?? It makes little sense to us. Thanks in advance
Which scoring model?
Version 8
@nzbgsf wrote:We've been super diligent after selling our home. We immediately paid off $30k in card debt, $200k HELOC and $430k first mortgage. Applied for a new mortgage to buy a new home.
Over the past few weeks our scores went from the high 600's to mid 700's as our utilization % was hurting the scores. A couple of days ago my wife's TU hit a high of 775, a day later after recording our home loan paid off her TU score dropped by 24 points. Do you guys know why her score would take such a big hit after we paid off our largest liability?? It makes little sense to us. Thanks in advance
If she had no other installment loans open, it was probably because she experienced the 'no open loan' penalty, which typically hammers FICO 8's and 9's. But if you check her mortgage scores, I wager you'll see little or no corresponding decrease there.
Once all the changes have reported, you should both be pulling MyFICO's 3-bureau report, so you'll know where your mortgage scores are.
