need help. huge point drop today. nothing changed.

[JcT21]

Another update ..... my score has decreased an additional 23 points this morning with no explanation from experian other than it has been updated.  However it did tell me something strange that made no sense and I'm hoping some of you may help me figure it out. It said

"Even though your credit score went down your credit rating did not so that should not affect your credit worthiness"   

how is that possible ?  Is it my credit worthiness based on my overall credit score?  

[Slabenstein]

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@JcT21 wrote:

Another update ..... my score has decreased an additional 23 points this morning with no explanation from experian other than it has been updated.  However it did tell me something strange that made no sense and I'm hoping some of you may help me figure it out. It said

"Even though your credit score went down your credit rating did not so that should not affect your credit worthiness"   

how is that possible ?  Is it my credit worthiness based on my overall credit score?  

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Experian divides credit scores into tiers, e.g. "Excellent", "Very Good", etc.  They're saying that the score change didn't move you to another tier.  The tiers are pretty meaningless, tho, since it's just Experian's front-end fluff and individual lenders will have their own score brackets.  If you want to post your complete profile details from before and after the score change, we can help you look for the source of the 23 point drop.

[Anonymous]

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@JcT21 wrote:

Another update ..... my score has decreased an additional 23 points this morning with no explanation from experian other than it has been updated.  However it did tell me something strange that made no sense and I'm hoping some of you may help me figure it out. It said

"Even though your credit score went down your credit rating did not so that should not affect your credit worthiness"   

how is that possible ?  Is it my credit worthiness based on my overall credit score?  

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The post from Slab above regarding those "ratings" is spot on.  They are fluff and meaningless.  What matters is what score is required for the next tier from a potential lender.  Just for the sake of numbers, let's say Experian has a "rating" category that spans 650-700.  If your score drops 25 points from 680-655, they will say that your "rating" hasn't changed.  Whether or not that will impact your credit worthiness is lender specific. 

For example, if this same score were being used for a mortgage and they had a rate tier that spanned say 625-675, that 25 point drop would impact your credit worthiness as you'd be securing your loan at worse rate having crossed that 675 threshold.  Similarly, you could be applying for a credit card product that has an internal requirement for a (say) 665 score to be approved, or perhaps you'd still be approved but could receive a lower starting limit/higher interest rate due to crossing that threshold point which means it's impacting your credit worthiness.  The only "rating" scale that matters is the one with which the specific lender your are considering is using.  Whatever Experian displays may or may not align with that.

Also understand that Experian or any CMS isn't required to offer you an explanation for a score drop.  They may provide you with "alerts" to changes on your credit report.  Those alerts are often accompanied with a new Fico score, but it does not mean that any score change seen is related to reason alerted.  There are also plenty of non-alertable events that are happening with your credit report at all times, which could be anything from inquiries becoming unscoreable, age of accounts factors changing, dispute status on accounts changing, old negative item(s) falling off, etc.  The only way one can attempt to figure out why a score change happened is to compare your before and after credit reports account by account to see what the differences are.  Those differences are what changed the score.  If the score changed, there are always differences.

[JcT21]

a few days prior to my score drop i had a 717 fico 8.  i have several open and active accounts in good standing, 1 card reporting.  i use less than 10% utilization of entire credit line.  what i did was dispute wrong info on my old closed IIB accounts.    most of the accounts had wrong balances and my payment history was wrong.   i also disputed wrong addresses and phone numbers.  now my credit report is accurate, all but 2 accounts still pending update.  barclays even removed the old account early.  i got a small point increase for that.   so, what i believe to be entirely due to my dispute,  ive been rewarded with a total 95 point drop in the last week or so.  ive went from 717 to 645  and now im at 622.   i went from good to barely out of the poor category.  my score did not drop this low when i first filed for bk.     i have no collections.  average age of accounts is 9 years.  only baddie is the bk/closed accounts.  all of those accounts show closed and not charged off.  i closed them prior to my filing bk 13.

this is absolutely killing me.  ive worked soooooo hard since my bk to do things right and rebuild.  i dunno what its gonna take to regain those lost points but i assume that time is the only thing that will fix this awful mess. 

[Anonymous]

It sounds to me like the reason for your score drop is related to your disputing of accounts, basically what was said back in the first reply of this thread.

[JcT21]

yeah it looks like it.  i dont understand why that would make it drop so sharply. especially if the corrected reports resulted in an "improvement" at least on paper anyway.  years of hard work and score growth just went poof and flew right out the fico window.

lesson learned... if its not adveresly affecting anything, just let it go. its not worth the fico heartache to fix it. 

[Anonymous]

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@JcT21 wrote:

yeah it looks like it.  i dont understand why that would make it drop so sharply. especially if the corrected reports resulted in an "improvement" at least on paper anyway.  years of hard work and score growth just went poof and flew right out the fico window.

lesson learned... if its not adveresly affecting anything, just let it go. its not worth the fico heartache to fix it. 

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@JcT21 wait a minute. I do believe you may have a potential remedy here. Those accounts should not have had a balance due to the BK. Therefore the update for paid dates should be backdated to the discharge or filing date, I believe.

The dispute results caused an inaccurate update because it seems to be reflecting the account was just paid rather than on the date of discharge, I believe. Can you give us a screenshot of what is shown?

this is not a situation where you have a unpaid chargeoff that you woke up that updated the TPOD. There has been no increase in the TPOD and yet you're being penalized for an increase in TPOD.

It is penalizing you like this was just paid when it should reflect the accounts were resolved years ago or whenever the discharge occurred. I think you may have to contact Experian to have this resolved. They just updated it to paid rather than applying the correct date. Seems someone was lazy. 

[Anonymous]

They can correct the paid date and they can correct the updated date. But we need to see what the data looks like.

[JcT21]

upon getting a fresh copy of my credit report from experian i noticed that bank of america, chase & synch (amazon) updated my report to show IIB $0 balance BUT have the status wrong. they have a big red BK listed on december 2020 as if i filed this month.  amex has me filing bk in april 2018.  i filed in 2017.   wow.  im currently on hold with experian trying to fix that.  then ill call eq and tu after i check their reports.   ill post a screenshot of some info soon as i get off the phone with these guys.  its nearly impossible to get a human..... 

[Anonymous]

Thats it, you found it. Correct that and I think you will be ok.