Ouch new car, big drop.

[drktree]

I bought a car last month and the account recently showed up on all three CRA's.

I received a %8.75 rate with Wachovia. The only inquiry was equifax I had that removed right away. So inquiry's are not the issue for me.

Anyhow my fakos prior to this new account were:

Trans 670 Experian 699 Equifax 696

Now:

Trans 675 Experian 681 Equifax 666

30 point drop on Equifax!!!!

Any idea why the large drop and when I can expect a rebound?

[lovebug5]

I bought a car last month and the account recently showed up on all three CRA's.

I received a %8.75 rate and I am with Wachovia. The only inquiry was equifax so I had that removed right away.

Anyhow my fakos prior to this new account were:

Trans 670 Experian 699 Equifax 696

Now:

Trans 675 Experian 681 Equifax 666

30 point drop on Equifax!!!!

Any idea why the large drop and when I can expect a rebound?

FAKO's are basically worthless. It's your FICO's that matter here. Scores yo-yo all of the time, especially when new TL's are reported. Once you have established a positive payment history on the account, your score will go back up.

[drktree]

Do you think it will help after the first payment is posted?

[bigjohnstud4200]

I bought a car last month and the account recently showed up on all three CRA's.

I received a %8.75 rate with Wachovia. The only inquiry was equifax I had that removed right away. So inquiry's are not the issue for me.

Anyhow my fakos prior to this new account were:

Trans 670 Experian 699 Equifax 696

Now:

Trans 675 Experian 681 Equifax 666

30 point drop on Equifax!!!!

Any idea why the large drop and when I can expect a rebound?

Each CRA's has different score ranges. I believe shortest, EX has the largest and EQ is right about the middle. You have to include that when determining how much your FAKO's will drop. The good news is that FICO is even across the board and likely didn't drop that much.

[merkurfan]

wachovia is due to hit my reports soon. I have scorewatch so I will know what my fico does. ymmv but my drop should give you an idea.

My HSBC card hit the other day, dropped my fico 2 points. Not gonna sweat that at all.

[Ahntara]

"...why the large drop..."

New accounts cause the hit. Scoring programs look at the past to assess risk. Because new accounts don't have any history yet, there is nothing to indicate how you will pay {no data = deductions}.

"...when can I expect a rebound?"

As the account ages...I've read 4 mos., then 12. I've also read 6 mos, then 12, 36, etc. Truth is, that much detail would only be known by programmers and executives. Scoring programs are not only proprietary, but highly secret. From what has been published, we know there is a 'quasi-penalty' and also that your score will recover.