With FHFA Transitioning to F10T/VS4 trended data I decided to look back on my historical Fico10T data.
I only pay for quarterly updates from myFICO I like to read the reports but I don’t really need them… so wondering what those of you getting monthly updates are seeing in relation to my own 9 months of observation…
"It still doesn’t matter if you let heavy usage report, as long as that usage is consistent and/or you follow AZEO in the month or 2 prior to a major lending event"
In 2021 I never let balances report only small 10-12 dollar amounts to avoid the no reported balances penalty… my “trend” was 0-2%, This year I started letting about 1k report on my AppleCard based on what a CSR told me about reported balances and CLI… my usage was still about 1% because my limits had risen substantially, this triggered the negative reason code high balance/usage in relation to historical usage on my 6/2022 report… if your 18 month historical usage is to report let’s say 10% and every month you let that 10% report your reported balance is no longer high in relation to historical usage your data is now trending as stable “no point loss” on my 9/2022 3b report I had gotten sloppy and had like 4 cards report a balance although this was less than the 1k I had normally let apple report I now also had the reason code high number of accounts reporting a balance vs historical data. My 12/2022 only had a single 98 dollar balance report neither the high number of accounts or high usage in relation to historical use reason codes are on my report meaning going back to AZEO 1-3 (possibly more?) months before a major credit decision will yield the same behavior as it does in fico 8 and 9.
Are you seeing the same behavior? Or do I simply not have enough data points to draw a proper conclusion?
@Beefy1212 wrote:With FHFA Transitioning to F10T/VS4 trended data I decided to look back on my historical Fico10T data.
I only pay for quarterly updates from myFICO I like to read the reports but I don’t really need them… so wondering what those of you getting monthly updates are seeing in relation to my own 9 months of observation…
"It still doesn’t matter if you let heavy usage report, as long as that usage is consistent and/or you follow AZEO in the month or 2 prior to a major lending event"
In 2021 I never let balances report only small 10-12 dollar amounts to avoid the no reported balances penalty… my “trend” was 0-2%, This year I started letting about 1k report on my AppleCard based on what a CSR told me about reported balances and CLI… ( Dont go by what CSR's say.)my usage was still about 1% ( You want usage to be whatever you want. The more you use the better for CLI's. Its whats reported monthly that matters) because my limits had risen substantially, this triggered the negative reason code high balance/usage in relation to historical usage on my 6/2022 report… if your 18 month historical usage is to report let’s say 10% and every month you let that 10% ( You want less than 8.99% reporting for better results) report your reported balance is no longer high in relation to historical usage your data is now trending as stable “no point loss” on my 9/2022 3b report I had gotten sloppy and had like 4 cards report a balance although this was less than the 1k I had normally let apple report I now also had the reason code high number of accounts reporting a balance (You'll want to stay below 50% of total amount of cards reporting) vs historical data. My 12/2022 only had a single 98 dollar balance report neither the high number of accounts or high usage in relation to historical use reason codes are on my report meaning going back to AZEO 1-3 (possibly more?) months before a major credit decision will yield the same behavior as it does in fico 8 and 9.
Are you seeing the same behavior? Or do I simply not have enough data points to draw a proper conclusion?
I touched on some topics to explain whats a bit more accurate. Personally FICO 10/10T is brutal for me. No approvals have come up yet with FICO 10 or FICO 10T. Heck FICO 9 isnt the go to for all lenders just yet. In blue. You dont really need them? Why not? Its your scores. The more you use your card. Better things happen if you want another card from the same lender. As mentioned CLI's too. If you carried 50%+ balances all the time that wouldnt help anything. Not good trending data. You keep low statement balances. So no worries there. I'll let others chime in.
@FireMedic1 wrote:
@Beefy1212 wrote:With FHFA Transitioning to F10T/VS4 trended data I decided to look back on my historical Fico10T data.
I only pay for quarterly updates from myFICO I like to read the reports but I don’t really need them… so wondering what those of you getting monthly updates are seeing in relation to my own 9 months of observation…
"It still doesn’t matter if you let heavy usage report, as long as that usage is consistent and/or you follow AZEO in the month or 2 prior to a major lending event"
In 2021 I never let balances report only small 10-12 dollar amounts to avoid the no reported balances penalty… my “trend” was 0-2%, This year I started letting about 1k report on my AppleCard based on what a CSR told me about reported balances and CLI… ( Dont go by what CSR's say.)my usage was still about 1% ( You want usage to be whatever you want. The more you use the better for CLI's. Its whats reported monthly that matters) because my limits had risen substantially, this triggered the negative reason code high balance/usage in relation to historical usage on my 6/2022 report… if your 18 month historical usage is to report let’s say 10% and every month you let that 10% ( You want less than 8.99% reporting for better results) report your reported balance is no longer high in relation to historical usage your data is now trending as stable “no point loss” on my 9/2022 3b report I had gotten sloppy and had like 4 cards report a balance although this was less than the 1k I had normally let apple report I now also had the reason code high number of accounts reporting a balance (You'll want to stay below 50% of total amount of cards reporting) vs historical data. My 12/2022 only had a single 98 dollar balance report neither the high number of accounts or high usage in relation to historical use reason codes are on my report meaning going back to AZEO 1-3 (possibly more?) months before a major credit decision will yield the same behavior as it does in fico 8 and 9.
Are you seeing the same behavior? Or do I simply not have enough data points to draw a proper conclusion?
I touched on some topics to explain whats a bit more accurate. Personally FICO 10/10T is brutal for me. No approvals have come up yet with FICO 10 or FICO 10T. Heck FICO 9 isnt the go to for all lenders just yet. In blue. You dont really need them? Why not? Its your scores. The more you use your card. Better things happen if you want another card from the same lender. As mentioned CLI's too. If you carried 50%+ balances all the time that wouldnt help anything. Not good trending data. You keep low statement balances. So no worries there. I'll let others chime in.
"I don't really need them"
I don't need to see a fico scores I have no intention of using. I am not planning to make a home/auto purchase any time soon. They are essentially for my own enlightenment.
"don't trust what CSRs say"
I generally agree, I tried it as a thought experiment as I wasn't planning to get any new credit products for a few months and utilization has no memory other than 10T/VS4 I was also curious to see how it would affect my trended data scores. As an aside my AppleCard limit did double in the first 3 months of trying it.
"reported usage for CLI"
I started the year at 11k TCL I now have 65k. Your card issuers know what you spend and many of them report your payments essentially reporting your utilization even if you never report a balance.
None of my cards has ever reported a balance over a few hundred dollars cumulative for the entire year other than the Apple Card I mentioned.
This year:
Amex tripled my limit
apple doubled it
discover doubled it
PPMC gave me 50% more
fnbo 33% more
I am not certain reporting usage is as vital for a cli as you think, it is perhaps much more valuable to SLs though.
"8.99% is better than 10%"
sure but that wasn't my point...I threw out a random relatively high but minor scoring influencing percentage. My point was whatever your reported usage, it is irrelevant to the trended data portion of 10T because what is relevant is if that usage is stable, trending up, or trending down. Practicing AZEO for as little as 3 months is enough to take you from trending up my "9/22" report to stable my "12/22" report. I don't know the exact time frame because I only have quarterly reports hence why I asked what monthly users were seeing. My limited data set points to when going for a mortgage you simply want to make sure you are trending "down" and will have the same effect as current AZEO principles for the trended and only trended data portion.
In other words trended data is not a "the sky is falling" situation, more like business as usual.
@Thomas_Thumb wrote:I don't have access to 10T or VS 4. I assume these models still look at reported statement balances and trend those in absolute dollar terms in addition to looking at utilization. If so, allowing higher amounts to report on statements over time would adversely affect score even if utilization is maintained/reduced due to increased CLs.
I was hoping trended data would recognize PIF transactor behavior. Risk is the same whether one pays total balance a few days before or a few days after statement cut dates. In both cases no balance is carried over. The new models should look at carryover balances but, I suspect data reported to the CBs may lack sufficient granularity.
I dont have vs4 data either as far as I know none one does I mentioned it because it is also trended data and part of the link I posted. As for granular enough data I mentioned the same issue here...
https://ficoforums.myfico.com/t5/Credit-Card-Approvals/US-bank-CLI-shocked/m-p/6626741#M841848
My point was the trended portion of 10T exists in 3 states rising utilization in relation to historical balances, stable (no code) and downward utilization. If you do AZEO for at least 3 months before buying a home as you should anyway the "trended" portion of 10T isn't reporting a negative code or rather isn't lowering your score. So carrying a slightly high utilization like 10-20% and then going down to 1% is at worst not lowering score your my 10 vs 10t are identical or very close (+/- 5) The bigger the negative change in utilization the stronger the downward trend.