@Anonymous wrote:
New accounts do not penalize in a dirty card and age of oldest account is a segmentation factor only on clean profiles.
AAoA counts, loans count, inquiries count, number of accounts with a balance counts.
So if you got the last three under control that should have those negative reason codes gone. I expect to see short credit history for AAOA, but as long as nothing happens on the first of the month and nothing else is going on then we know it’s discrete.
I just looked at my last 3B and AAoA is actually over 6+ years on all 3. 2 installments (auto, home) are clean won't flirt with the low util breakpoint, so no bonus there. No collections. No public records. Only 1 of 4 active revolvers will have a balance once the COs clear to 0. I have no other open loans except the 1 auto and 1 home - several clean closed autos and a previous clean mortgage. So without age helping the COs, I'd just have to live with them and be pretty static score wise I think. At that point it seems I would be cornered into GW deletes to get any higher score wise - until they fall off.
So I looked quick at potentially getting an idea for TPOD Total Period of Delinquency on the COs. EQ actually shows a DOFD field and it seems pretty accurate - so I could compile that from the EQ report for all the COs. What I'm not sure of is what field to focus on for the TPOD - Last Activity is blank on all of them, so would I use Date Reported or Last Payment? Date Reported seems to be the most recent indicator and thus give the higest TPOD. The 3B doesn't give me DOFD, but I could "manually" get it from the month they reported the 30 in payment history (logically that is the first deliquent). I say this because of the whacky little inconsistencies between reports.
@Anonymous wrote:
So if the first one deleted doesn't have the largest TPOD and there’s a point gain, then we know it doesn’t necessarily go by the largest TPOD for the overall penalty. We will know that there are additional penalties for additional COs, even if the TPOD is smaller.
Conversely, if there is no move then that may give evidence to the fact that the penalty based on the one with the largest TPOD or that additional COs don’t inflict further loss. This is going to get very interesting.
I am likely going to need guidance or help as I pick through this. I pulled everything on 5/15 (3B and annualreports). Got EQ and TU, but EX choked on my annual pull with an error (I never got the verification questions, so I guess I have to call them). I do have an EX subscription that may help.
I want to be as scientific as possible and not give false data. To start, I think I need to bucket these because the reporting isn't the same for all of the accounts as I'm realizing now that some of these aren't seen as COs by the algos. The OCs clearly messed up the reporting on some and I think the algos will pick some of them up as 120 accounts and not maybe COs. I have a total of 24 accounts to go through all basically with the same DOFD - all revolvers, not a single bad anywhere else. I'm thinking at the highest level I need to start with "Pay Status" on TU and "Account Status" on EQ - bucket what are considered COs (most actually say "Charged Off" in this field), but some actually say "PAYS AS AGREED" and "Current" with the "worst deliquency as 120 on x/xx/xxx". Unless a CO and 120 is treated exactly the same for TPOD? Either way I can calculate TPOD for both 120 accounts and COs as a start and can even separate that - the good news, is maybe we can test the impact of a delete of a 120 and a delete of a CO. Although based on your master scoring thread there is small aging points for a 120 and supposedly none for a CO.
Yah, on the ACR site it won't let me get EX telling me to call or get the report by mail. Maybe I answered a question wrong previsouly or something, but I've tried twice now over 2 weeks and same error each time. Even though my EX subscription gives me a pull per day it doesn't have the detail of the ACR report. But, I have the EQ and TU ACR reports to reference and I have an EX 3B ready to go - I'm going to pull that when the last 4 COs with past due get reported to $0.
So, based on only using the most severe deliquency I have several that didn't get to CO. This is a mistake by the OC in reporting, but it's not necessarly something I want to correct because they are reporting LESS severe than reality. Since my goal is to isolate COs and TPOD, I just want to be clear that these appear on my derog list, but are NOT listed as CO (even though they technically were). The question is how do I account for these and their impact in my dirty scorecard. Remember, all these are CLOSED revolving accounts with a balance of $0. There are 6 of them total:
- Closed / Current / (1) 30 / (1) 60 / Last Update - 8/2017.
- Closed / Current / (1) 30 / (1) 60 / Last Update - 8/2017.
- Closed / Current / (1) 30 / (1) 60 / (1) 90 / (1) 120 / Last Update - 12/2019.
- Closed / Current / (1) 30 / (1) 60 / (1) 90 / (1) 120 / Last Update - 3/2018.
- Closed / Current / (1) 30 / (1) 60 / (2) 90 / (3) 120+ / Last Update - 12/2017.
- Closed / 120PastDue / (1) 30 / (1) 60 / (1) 90 / (3) 120+ / Last Update - 1/2018.
With the exception of #6, all do NOT have a DOFD listed, the field is blank. #6 does have a DOFD of 5/2017. Weird reporting. My main concern is the impact on these 6 outliers because everything else is a revolving CO where I can calculate TPOD and attempt to isloate the behaviour of multiple COs.
Will these 6 listed improve and actually give me a score boost as they age?
So to confirm something Birdman said earlier: the major segmentation factors are age and severity.
Inside that scorecard though, you can get a handful of points going from 2 collections to 1 (like 5 in my case), it's not a lot but it's something. Same thing with tax liens, CO's are unfortunately a wonkier scoring factor given balance and always updating.
There's some wisdom to drawing the line in the sand, you still owe the money and CO's drag on your credit like nothing else really especially considering FICO 8 and 9 where recent issues are far more heavily penalized than older ones (like to the tune of 40 points worse compared to older models). If you don't do expect a 1099 someday in the future as almost all lenders will do that, but admittedly counting it as income isn't full boat penalty.
@Anonymous this is an excellent thread for recent late scoring at least. https://ficoforums.myfico.com/t5/Understanding-FICO-Scoring/From-800-to-Foreclosur-e-How-Negatives-Affect-Your-Score/td-p/3760423
@Revelate wrote:So to confirm something Birdman said earlier: the major segmentation factors are age and severity.
Inside that scorecard though, you can get a handful of points going from 2 collections to 1 (like 5 in my case), it's not a lot but it's something. Same thing with tax liens, CO's are unfortunately a wonkier scoring factor given balance and always updating.
There's some wisdom to drawing the line in the sand, you still owe the money and CO's drag on your credit like nothing else really especially considering FICO 8 and 9 where recent issues are far more heavily penalized than older ones (like to the tune of 40 points worse compared to older models). If you don't do expect a 1099 someday in the future as almost all lenders will do that, but admittedly counting it as income isn't full boat penalty.
@Anonymous this is an excellent thread for recent late scoring at least. https://ficoforums.myfico.com/t5/Understanding-FICO-Scoring/From-800-to-Foreclosur-e-How-Negatives-Affect-Your-Score/td-p/3760423
@Revelate - thanks for this. I'm not sure if you read through the history of my situation, but I believe that my situation is unique enough to help with understanding scoring impacts of revolver COs. Unlike the thread you linked, where the OP had a FC, I never went derog on any installment loan (mortgage or auto). I would imagine that installment lates and a FC/repo would have significant impact on scores even beyond the revolver 120+/COs. In my case, I only have revolver lates/COs during a specific timeframe. I have no collections, no public records, and no scoreable inquiries. In theory, the only drag on my credit right now is those revolver COs.
It seems that not much is known on the scoring impact of revolver COs specifically. Once I am segmented into a dirty scorecard, it's not clear if there is further penalty for MULTIPLE revolver COs, it just seems clear that COs do not age and improve from a score persepctive - they drag you until they fall off. The question I started this with is "would I see a score improvement if I got 1 CO deleted, while multiple other COs remaining?" and that is when @Anonymous introduced the concept of TPOD (Total Period of Deliquency). The theory is that once TPOD is set for all revolver COs, you would basically be static from scoring them. They won't get worse with no further reporting and they won't get better because COs don't age. In other words, once all revolver COs are reporting $0 balance and no longer hitting a monthly report update as a CO, they will set a final TPOD for each - and that is your likely best possible score while you are dirty (until all COs fall off). I say this because I literally would have nowhere to find points with a perfect installment history and being at AZE0 on open revolver TLs. I am maxxed out - UNLESS I can pick up some points by getting a CO deleted. Hope this makes sense.
So in general multiple delinquencies and multiple CO's aren't understood for F8 and newer.
FICO 8 included a pattern of lates metric and so less might be better.
Pre-F8 I think it was easier, until you got all your CO's to $0 and the last one (being most recent) that was your final date and now aging from there. It's not like collections scored from DOFD, I don't know that TPOD is much of a thing I don't know how we would really tease that separate that out.
CO's are harder anyway because pretty sure those balances still count in revolving metrics but we don't have great data on that. Actually if your own experiment can at least tease that out I would consider it a huge win.
The link was mostly for Birdman though, I know it wasn't applicable for your situation 
. Apologies for the thread jack