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To EE or not to EE, that is the question

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Valued Contributor

To EE or not to EE, that is the question

There is a lot of information around about requesting early exclusions. I’ve been wondering if that is always the best course of action for your long term health. For somethings like collections or BKs it makes perfect sense, but I’m not always sure it’s the best for accounts. If your request one the most likely reaction is that the trade line will be removed.

 

So if an account has a zero balance and has a payment status of paid, even though it may have some 60 or 90 day lates and perhaps some negative comments, would it not be better for your overall long term health to just let the lates age off and fall or would it be better to ask for an EE and get rid of the entire tradelone?

 

the lates make up the majority of the hit according to the model and removing the tradelone is going to lower your overall age. I’m just wondering if keeping your average age higher would be better for your score long term would outweigh any hit from the comments. I’m not even sure if negative comments are a scoring factor.

 

thoughts?

Started Rebuild 4/2018: EX 616| TU 604| EQ 621

Current 5/28/20:


First Goal Score: 750+ Reached 3/2019

Next Goal all over 800
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4 REPLIES 4
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Frequent Contributor

Re: To EE or not to EE, that is the question

The usefullness of EE is do you need the quick bump in credit scores inorder to qualify for a loan in the near future or so you can feel better about yourself after being in the credit dog house for so long and having your moral boosted that you are making progress in rebuilding your credit.

 

For collections and accounts never brought current, the EE is just going to speed up the process (by a few months) of the accounts being removed from your credit reports which is a good thing. No downside except for the hassle of doing so; though for some, the process wasn't completely painless or were denied for some reason.

 

But for a bad account that was eventually paid off so the final status of the account is good, then the normal credit aging process would only remove the negative history and leave behind the account reported in good standing which certainly can help your credit length history and average age of accounts (which does include closed accounts if not using the Vantage scoring models). So if the choice is waiting a few months and keeping the now good acount history vs deleting the trade line with all its negatives now, I say just wait unless you really need the negative information removed this month to qualify for a loan such as a mortgage and you can't put it off. Of course someone with numerous other accounts of similar age, may not care.

 

I'm actually in that situation now.  All my bad negatives come off by December (possibly January).  I debated EE over the last few months, but the only reason I would have needed it would be to qualify for a better credit card a little faster.  Given where I live, improving my TU score (who tends to be more generous with EE, up to 6 months early) without improving my EQ and/or EX score (who aren't as generous at 1 to 3 months early) wasn't going to help me app anyway since they always pull EX and sometimes EQ. And a CC wasn't something that I couldn't wait another 1 to 3 months for.  And given the concern you mentioned about having the account deleted, I didn't want to have my paid CC chargeoff (paid 1.5 years ago) deleted as I wanted to keep the now 10+ year history of the account as I'm starting to age off some of my older closed accounts, I decided EE wasn't worth asking for my other 1 or 2 other negative items since a single CO remaining is going to hurt me anyway.

 

If you were going to ask for EE on a paid account, you would want them to just remove the late payments from the history.  From what I've read here, the success of that isn't nearly as common as those aiming for a deletion of the entire tradeline.

Current FICO8: EQ:777, TU:754, EX:761 | 2x 30 day lates 4.5-6yrs ago
AAoA: 10 years; AAoOA: 13 months; Credit Length: 21 years
INQ Eq: 3 / Tu: 5 (4 for auto) / Ex: 9 (5 for auto)
Message 2 of 5
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Valued Contributor

Re: To EE or not to EE, that is the question

Thanks for the reply. You and I are in similar situations. I have a couple of accounts that where included in bk but otherwise have good history until right at the end. I think they may just fall off anyway as they where never brought back current except for when they where included in my payment plan. I’m not sure how that works. I’m close to where I could request an EE from EX, could do it now with TU. I’m just not sure that would be best for my ultimate scores as these are some of my oldest accounts. I have no plans on applying for anything anytime soon.

 

The only reason I would want them gone is to improve scores just to see them higher for myself and not because I really need them any better right now.

Started Rebuild 4/2018: EX 616| TU 604| EQ 621

Current 5/28/20:


First Goal Score: 750+ Reached 3/2019

Next Goal all over 800
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Community Leader
Super Contributor

Re: To EE or not to EE, that is the question

You should read my recent thread....

https://ficoforums.myfico.com/t5/Understanding-FICO-Scoring/42-pt-increase-on-TU-finally-over-700-DP...

My rebuild worked for me, but won't necessarily work for you!
BK7 D/C- 08/2013
Message 4 of 5
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Valued Contributor

Re: To EE or not to EE, that is the question

Thanks for the link. I had already asked for EE's on my TU and its clean except for the BK. I got a similar jump to the one you referenced on it. After reading your story perhaps I should ask for the EE's on EX as that is the next one I can get accounts gone early. I don't have near as many accounts as you do, so I'm not sure mine will work the same.

Started Rebuild 4/2018: EX 616| TU 604| EQ 621

Current 5/28/20:


First Goal Score: 750+ Reached 3/2019

Next Goal all over 800
Message 5 of 5
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