hopinglikecrazy Posted January 16, 2009 Report Share Posted January 16, 2009 Hi there, I got 4 new accounts (Crown-2500, Sams-900, BoA-300 secured,Hooter-600) that most started reporting in Sept. I don't see that my scores have went up AT ALL from getting them and in fact went down. Will I see a pretty good increase when they hit 6 months reporting?? I was at 619 on TU before they posted and bam.. went down to 560 and now at 570. I expected them to go up from 619.. not down so much and not to stay down. Help in understanding would be great. Link to comment Share on other sites More sharing options...
cap1kid Posted January 16, 2009 Report Share Posted January 16, 2009 What happened is the average lenght of credit history has effected your score. Tthe 4 new cards dropped that aspect of you score way down, also the new inquiries have had an impact. Keep the utilization around 25% or less and at the 6th month mark you will see a nice increase Link to comment Share on other sites More sharing options...
hopinglikecrazy Posted January 16, 2009 Author Report Share Posted January 16, 2009 Ok, that makes sense! Now I do have one card that I am using more.. I can pay it completely off at any time but since I don't plan on anything right now, I'm not really paying attention to when it reports etc. If I pay it all down to say 5% utilization right at the 6 month mark will I still see the nice increase or do I need to keep the utilization down now? Also, when you say nice increase.. any chance of getting back to the 619? Thanks so much! Link to comment Share on other sites More sharing options...
willingtocope Posted January 16, 2009 Report Share Posted January 16, 2009 What scores are you looking at? If its any of the FAKO's, don't worry about it. If its an actual FICO score, then what you see is closest to the FICO Bank Card score (what I call, the "sucker" score). When that goes down, its because the CCs aren't making any money off you...that's what "utilization" means...you carry balances and pay them interest and occasional late fees.Read my signature... Link to comment Share on other sites More sharing options...
hopinglikecrazy Posted January 16, 2009 Author Report Share Posted January 16, 2009 What scores are you looking at? If its any of the FAKO's, don't worry about it. If its an actual FICO score, then what you see is closest to the FICO Bank Card score (what I call, the "sucker" score). When that goes down, its because the CCs aren't making any money off you...that's what "utilization" means...you carry balances and pay them interest and occasional late fees.Read my signature...Well you are reading a bit of what I wrote and making an assumption. I'm not paying them any fees at all. I pay off the complete amount due to avoid fees each month.. I don't pay attention, however, to when they report. So, I don't make sure my utilization is low on report day. However, if this will really affect my score, then I want to change that. My goal is, by March, to get a loan for a vehicle. So for me, watching the score is very important. I'm, honestly, not worried about my debt etc. I never had an issue before my divorce, I know how to manage my debt. Having a late payment is just not going to happen. I appreciate there are people who come back to repair, just to fall back into old habits but that isn't the case here.. unless I get another divorce and have to pay ungodly amounts to attorneys.. but since I'm not married I was under the assumption (possibly false) that if say come Feb, I just pay and then don't use-ensuring utlization is reported as low that my scores will bounce right up (by March/April).. but what I'm trying to find out is do you need months of low utilization to affect the score. Link to comment Share on other sites More sharing options...
willingtocope Posted January 17, 2009 Report Share Posted January 17, 2009 Sorry, not trying to be smart-a$$ed, or make assumptions.It sounds like you're doing the right thing with your CCs. Pay them in full each month. I'm just suggesting you ignore the FAKO or FICO "sucker" score you can see, and continue to manage your credit as you already seem to be.When it comes time to look for a car...car fincanciers use and entirely different FICO scoring model, and your sucker score won't matter one way or the other. While the car people may pull your "standard" FICO reports, what they're most interested in is how you've dealt with car payments in the past. Most would even finance you within a couple months post BK (they know you can't do it again for 7 years) and, many would even take you on with a repo...but, at an inflated rate. Link to comment Share on other sites More sharing options...
cap1kid Posted January 17, 2009 Report Share Posted January 17, 2009 Hoping, I think the point that willing was trying to make is that alot of people get caught up in 'the score'- What is most important is the things you can control from this point forward- creating good habits, establishing good credit and letting them age, and living within your means and avoiding too much debt It isn't specific to you- but in general You are on the right track- and you are doing the right things. You seem to have a goal- getting a car loan in March, you will be able to do that-heres a few suggestions to help achieve that goal.1. Keep doing what your doing- keeping those balances low!2. Research the vehicles you want- www.edmunds.com3. Know how much you can afford (start saving that much a month- and see if you can manage)4. If you can join a credit union- put that money you save into an account there. Use a loan calculator- www.nfcu.com has a good one- also check into bi-weekly payment benefits5. Obtain credit- prior to going to dealer- (if your scores are low- DO NOT let the dealer run your credit check prior to negotiating)- After you negotiate a sale- ask them what they can do to finance you- they may be able to beat what you have- I have had real good financing through a credit union- they set up a nice payment plan on a refinanced car loan, gave me a 5000 line of credit and all because I started with a $1000 secured credit card that I carefully paid in full everymonth. The credit I've been extended doesn't fit my Fico score- but they seem to treat you good if you treat them good. Link to comment Share on other sites More sharing options...
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