feeling defeated. sudden 27 point drop

[JcT21]

as the subject says, i got up this morning to find an experian alert saying my score dropped 27 points.   what happened is that i was an AU on my fathers paypal mastercard after my bk13 in 2017.   he decided to close that account.  i was an AU for just a little over 2 years and it had a balance of $1600.  he removed me & my sister as an AU about a week prior to him closing the account.      

my utilization has always been, and remains at 1%.  experian gives the decrease in total credit line the reason for the drop.  says lenders see it as me closing an account which could be seen negatively.     i feel absoutely defeated.  im taking my rebuild seriously and this is just a kick in the head i didnt need.    is it normal to see such large 27 point drop for this type thing?   almost a year of rebuild nearly wiped out.  

[SouthJamaica]

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@JcT21 wrote:

as the subject says, i got up this morning to find an experian alert saying my score dropped 27 points.   what happened is that i was an AU on my fathers paypal mastercard after my bk13 in 2017.   he decided to close that account.  i was an AU for just a little over 2 years and it had a balance of $1600.  he removed me & my sister as an AU about a week prior to him closing the account.      

my utilization has always been, and remains at 1%.  experian gives the decrease in total credit line the reason for the drop.  says lenders see it as me closing an account which could be seen negatively.     i feel absoutely defeated.  im taking my rebuild seriously and this is just a kick in the head i didnt need.    is it normal to see such large 27 point drop for this type thing?   almost a year of rebuild nearly wiped out.  

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I don't think any of the points you earned by rebuilding were lost; only the points which were added by reason of being an AU.  So think of it this way:  easy come, easy go.

Now if you give us a picture of your present profile, we can give you tips on what you need to do to improve your scores.

[JcT21]

@SouthJamaica 

bk13 in 2017. discharged december 2020.

i have 6 inquires and zero denials. i have a 13 year aaoa on equifax and 9 year on experian. 

the accounts i have were aquired between the december discharge and may 2021.  i planned on gardening until i reach the 720+ score. 

since i started my rebuild i have aquired a capial one venture 1. 3k starting, CLI  to 3,600.

i was preapproved for the ollo rewards mastercard with a starting line of $500. CLI to $1,600

i was pre approved for the credit one bank amex with a starting line of $500 and its stuck there.

i did the prequal on cap1 website and got the quicksilver. starting line of #$300 and its stuck there. bucketed i assume.

i obtained the walmart mastercard with a starting line of 1,000 and its still at the same CL also.

2 days after bankruptcy discharge i got a pre approved offer for the aspire mastercard with a 2,000 starting credit line, which remains the same.

i practice AZEO and let a small balance report on my venture 1 each month.  i currently have a $83 balance showing on my latest reports.

the only bad is of course the bk and the 30 days late showing on some old accounts that were IIB.  some have been removed however.

ive thought about letting a small bit more report on the venture or perhaps a small balance on a 2nd card.  not sure if that would help or hurt. 

thanks for any advice.....

[SouthJamaica]

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@JcT21 wrote:

@SouthJamaica 

bk13 in 2017. discharged december 2020.

i have 6 inquires and zero denials. i have a 13 year aaoa on equifax and 9 year on experian. 

the accounts i have were aquired between the december discharge and may 2021.  i planned on gardening until i reach the 720+ score. 

since i started my rebuild i have aquired a capial one venture 1. 3k starting, CLI  to 3,600.

i was preapproved for the ollo rewards mastercard with a starting line of $500. CLI to $1,600

i was pre approved for the credit one bank amex with a starting line of $500 and its stuck there.

i did the prequal on cap1 website and got the quicksilver. starting line of #$300 and its stuck there. bucketed i assume.

i obtained the walmart mastercard with a starting line of 1,000 and its still at the same CL also.

2 days after bankruptcy discharge i got a pre approved offer for the aspire mastercard with a 2,000 starting credit line, which remains the same.

i practice AZEO and let a small balance report on my venture 1 each month.  i currently have a $83 balance showing on my latest reports.

the only bad is of course the bk and the 30 days late showing on some old accounts that were IIB.  some have been removed however.

ive thought about letting a small bit more report on the venture or perhaps a small balance on a 2nd card.  not sure if that would help or hurt. 

thanks for any advice.....

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I think you're doing everything right.  So just stay the course. The passage of time will slowly increase your scores.

No need to report more than that number on your Venture card.  

[tparks5961]

Hey Jct, 

In the end, a score is just a score. It doesn't define who you are as a person.

If you don't need anything in the near term, don't worry about the short term fluctuations. You'll drive yourself crazy for abosultely no reason.

We all have been through challenges, and at some point, you would have forgotten about how difficult this time in your life has been.

Things will eventually get better :-)

[folks19]

@JcT21 The reasons given to you by Experian are generic and do not necessary reflect on your situation. In general, people with lower limits are considered higher risk because data has showen that people who closed an account are more likely to default, but that doesn't meah you changed as a person.

It seems like you are doing fine with your credit. Just make sure to keep your balances as low as possible. I would advice to stay away from credit builder cards with annual fees because they don't give you any value other than (maybe?) improving your score which can be achieved by opening store cards. I'm not advising store card either, but it is a better option than those hidden-fees cards, IMO.

Adding a credit builder loan may also help. You can sign up for Self, but I would reccomend you get one with a credit union like PenFed ot NFCU because they let you pay it down to less than 8% without advancing the due date. This can be an awesome tool. Sign up for a 10 year term, pay down most of it today, and just let that 92% paid off loan sit on your report for years. Having an active loan with a low balance is good for your score.

[NYC_Fella]

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@JcT21 wrote:

as the subject says, i got up this morning to find an experian alert saying my score dropped 27 points.   what happened is that i was an AU on my fathers paypal mastercard after my bk13 in 2017.   he decided to close that account.  i was an AU for just a little over 2 years and it had a balance of $1600.  he removed me & my sister as an AU about a week prior to him closing the account.      

my utilization has always been, and remains at 1%.  experian gives the decrease in total credit line the reason for the drop.  says lenders see it as me closing an account which could be seen negatively.     i feel absoutely defeated.  im taking my rebuild seriously and this is just a kick in the head i didnt need.    is it normal to see such large 27 point drop for this type thing?   almost a year of rebuild nearly wiped out.  

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There is an AU all-zero penalty. Do you have other AU cards? Are your dad's cards off your reports yet?

[folks19]

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@NYC_Fella wrote:

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@JcT21 wrote:

as the subject says, i got up this morning to find an experian alert saying my score dropped 27 points.   what happened is that i was an AU on my fathers paypal mastercard after my bk13 in 2017.   he decided to close that account.  i was an AU for just a little over 2 years and it had a balance of $1600.  he removed me & my sister as an AU about a week prior to him closing the account.      

my utilization has always been, and remains at 1%.  experian gives the decrease in total credit line the reason for the drop.  says lenders see it as me closing an account which could be seen negatively.     i feel absoutely defeated.  im taking my rebuild seriously and this is just a kick in the head i didnt need.    is it normal to see such large 27 point drop for this type thing?   almost a year of rebuild nearly wiped out.  

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There is an AU all-zero penalty. Do you have other AU cards? Are your dad's cards off your reports yet?

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You mean there's a score penalty for having no AU cards? So even if I have an a long credit hostory, I'll still see a point gain for becoming an AU on a new card?

[JcT21]

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@NYC_Fella wrote:

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@JcT21 wrote:

as the subject says, i got up this morning to find an experian alert saying my score dropped 27 points.   what happened is that i was an AU on my fathers paypal mastercard after my bk13 in 2017.   he decided to close that account.  i was an AU for just a little over 2 years and it had a balance of $1600.  he removed me & my sister as an AU about a week prior to him closing the account.      

my utilization has always been, and remains at 1%.  experian gives the decrease in total credit line the reason for the drop.  says lenders see it as me closing an account which could be seen negatively.     i feel absoutely defeated.  im taking my rebuild seriously and this is just a kick in the head i didnt need.    is it normal to see such large 27 point drop for this type thing?   almost a year of rebuild nearly wiped out.  

---

There is an AU all-zero penalty. Do you have other AU cards? Are your dad's cards off your reports yet?

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yes that card i was an AU on is off my reports.  causing a decrease in total credit line which i assume played a part in the drop.   he has another card he is willing to add me to.  it has a long 15 year credit history and a CL of 25K & a balance of $1700.    its a discover. 

if he added me would that credit history apply to my credit reports also?  would it help my situation or would the balance increase do more damage than i need?