MadinKS Posted April 11, 2007 Report Share Posted April 11, 2007 What a trip. I didn't realize that between Feb and Mar w/my mortgage showing paid (while I waited for the new mortgage to report) it actually affected my FICO negatively. I would have figured that a paid mortgage, w/no other commitments, the score would have gone up like crazy. Just don't get this whole FICO thing. Never had good feelings about math and the unknown anyway. Link to comment Share on other sites More sharing options...
UNCForest Posted April 11, 2007 Report Share Posted April 11, 2007 If im reading you correctly, you're saying you essentially paid off the mortage? From what I hear, that could hurt your score slightly, only because FICO likes open credit, preferrably unused, avialable credit. Link to comment Share on other sites More sharing options...
MadinKS Posted April 11, 2007 Author Report Share Posted April 11, 2007 Yeah. When I refi'd in Jan., it essentially closed my old mortgage and Apr. 9th they reported my refi. It's just weird the way they see things. Seems to me that it would show more potential borrowing power if you don't have a lot of commitments. Like I said, weird. Link to comment Share on other sites More sharing options...
UNCForest Posted April 11, 2007 Report Share Posted April 11, 2007 I was listening to a audio program called "7 steps to a 720" or something. He went through some of the myths people believe to be true about credit. That was precisely one of them. The truth, according to what ive heard and read, is that FICO would rather you have current credit lines (but with low balances) then no credit commitments at all. But yes, you'd think that if you were all paid upon everything, that'd be great. But no, FICO seems to love OPEN accounts in good standing with low balances (no more than 30% of the limit of the account).Perhaps someone can correct me if I'm wrong on this. Link to comment Share on other sites More sharing options...
CantCU Posted April 12, 2007 Report Share Posted April 12, 2007 I can only respond to my own experience, and it idd not involve a mortgage but student loans (counting as installment loans). I had 5 separate student loans...ranging from 1.5 years to less than 6 month payment history. In June, 2006, I consolidated all 5 into one student loan. This resulted in closing (paid in full) 5 loans and a "new" loan was reported with no history. I dropped over 50 points for that consolidation, and am still recovering from that. My score is just now back to where it was before the consolidation...and that was 10 months ago. Link to comment Share on other sites More sharing options...
zfire Posted April 13, 2007 Report Share Posted April 13, 2007 If the FACO score is the combo of all 3 you get from say...truecredit,WHERE does the FICO score come from.Each individual reporting agency, or where?I keep reading FACO vs FICO here, and I would really like an explination if someone has the time please. Link to comment Share on other sites More sharing options...
newbie7069 Posted April 13, 2007 Report Share Posted April 13, 2007 WHERE does the FICO score come from.www.myfico.comYou may want to read this sticky at the top of this forum:http://www.debt-consolidation-credit-repair-service.com/forums/showthread.php?t=210474 Link to comment Share on other sites More sharing options...
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