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FICO score dropped by 50points .. no idea

x2thaz 2 10 May 29, 2016 at 12:16 AM
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I have a Discover and a Capital One Venture card, both give me my FICO score from the same company transunion. I noticed my COV gave me a FICO score of 758 as of May 24th, but Discover gave me a 763 in March, 727 in April and recently 719 in May. Discover says the reasoning for the drop in score is due to missed payment/delinquent bill which I can't figure out why it would drop so low. I haven't missed a payment in almost a yr let alone have a reason for it to drop 50points in 2 months.

I got my free annual credit report and did not see a delinquent payment for the last 12 months and can't understand what is causing this huge drop in my FICO score. I know both credit card companies use transunion for their results but for the same month on May Discover gave me 758 while COV gives me 719. Any ideas why the two would be so different if they are pulling from the same company? I tried giving transunion a call and the supervisor couldn't tell me exactly why my score dropped so low in a short period of time only that I was missing payments but from who. He told me I should contact Discover but they couldn't tell me because they just get their score from transunion and they would know better. So irritated here, can anyone help out, ideas? Thanks

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#2
When you go into the details and look at each account, it should show the one with missed payments. If it does and you don't have missed payments, dispute it.
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"This whole.. I have XX company so my pee pee is 2" longer talk is hilarious. Who cares what company is cheapest, best, etc. Pick the company and plan you want and keep it to yourself."
#3
You should pull your credit report from all three agencies if you haven't already done so. Just to be sure all three are consistent. Double check for lines of credit that you did not open.
Maybe use credit karma as well to see what score they provide. If you only have two credit cards maybe call both and ask them, if you have not already done that.
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#4
i check all free
credit karma
credit sesame
credit. com

and got free account from tmobile data breach while back
protectmyid. com

they sometimes show different info
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#5
Aside from checking all your reports, truth be told no one really knows precisely how these companies calculate scores. My score recently dropped 20 points even though my income went up, my debt went down, and no new accounts were opened. Meanwhile, my wife took on a $30K loan and her credit went up 20+ points.
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As the username says ...
#6
Quote from ManUpOrShutUp View Post :
Aside from checking all your reports, truth be told no one really knows precisely how these companies calculate scores. My score recently dropped 20 points even though my income went up, my debt went down, and no new accounts were opened. Meanwhile, my wife took on a $30K loan and her credit went up 20+ points.
Probably just took your 20 points and gave them to your wifeWink

their formulas are kept secret.

I know for me I don't have a car or house loan. if I changed my mix my score would go up. Although if I use cash, and never borrow my credit score really doesn't matter (except maybe getting job or renting apartment)
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#7
Quote from ManUpOrShutUp View Post :
Aside from checking all your reports, truth be told no one really knows precisely how these companies calculate scores. My score recently dropped 20 points even though my income went up, my debt went down, and no new accounts were opened. Meanwhile, my wife took on a $30K loan and her credit went up 20+ points.
Shows, she has a mix 'of credit. I am missing A revolving loan which keeps me from getting beyond 822
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#8
Quote from ballershanelle View Post :
Shows, she has a mix 'of credit. I am missing A revolving loan which keeps me from getting beyond 822
822! dang nice
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#9
the numbers that go into calls change monthly and your credit will go up and down for no valid reason. yours almost to 800 so relax
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#10
You know what the difference is between a 720 and 850 FICO score is?

Absolutely nothing. Ego notwithstanding.

In the end, as long as you are in the top tier range, how high you get provides nothing other than bragging rights and maybe a personal goal to feel good about. You'll qualify for the same loan terms, interest rates, credit cards, etc. -- at least as far as a credit score matters.

With that said, your credit score, and the report associated with it, is only one piece of the puzzle. While it certainly shows a fairly universal metric to judge your past behavior, most if not all banks have their own underwriting requirements that go well beyond just your credit report. Things that make up only a part of your profile, or may not even be taken into consideration. Income for example is not computed into any scoring system, but your debt-to-income ratio is extremely important for things like mortgages where they will almost always verify it (credit cards take this mostly on faith unless you trigger an audit). Total debt outstanding, especially with them, plays a big part too. Many banks routinely give low initial credit lines and want you to build a relationship with them before opening up the purse strings.

Once you get into the upper tier, your score will almost certainly vary from month to month. You can have wide swings based on spending habits, opening up new lines of credit, etc. The older you get, with a high AAoA and other factors, the smaller the swings will be. But as long as your score stays in that range, it really doesn't matter. It's more important to watch for fraud or errors than to care about your score.
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#11
Quote from phonic View Post :
You know what the difference is between a 720 and 850 FICO score is?

Absolutely nothing. Ego notwithstanding.

In the end, as long as you are in the top tier range, how high you get provides nothing other than bragging rights and maybe a personal goal to feel good about. You'll qualify for the same loan terms, interest rates, credit cards, etc. -- at least as far as a credit score matters.

With that said, your credit score, and the report associated with it, is only one piece of the puzzle. While it certainly shows a fairly universal metric to judge your past behavior, most if not all banks have their own underwriting requirements that go well beyond just your credit report. Things that make up only a part of your profile, or may not even be taken into consideration. Income for example is not computed into any scoring system, but your debt-to-income ratio is extremely important for things like mortgages where they will almost always verify it (credit cards take this mostly on faith unless you trigger an audit). Total debt outstanding, especially with them, plays a big part too. Many banks routinely give low initial credit lines and want you to build a relationship with them before opening up the purse strings.

Once you get into the upper tier, your score will almost certainly vary from month to month. You can have wide swings based on spending habits, opening up new lines of credit, etc. The older you get, with a high AAoA and other factors, the smaller the swings will be. But as long as your score stays in that range, it really doesn't matter. It's more important to watch for fraud or errors than to care about your score.
Iagree

Now with the advent of credit scores on every account and constantly seeing the "secret score" that you were never allowed to have (even though there are zillions of scoring models) exacerbates the issue.

Once you hit the best tier, the only thing that matters is hanging out in the tier -- any point derivation within that tier means squatty-mcpooperson.

I also notice that credit score is a new "look at me" tool instead of income.

Then the lack of knowledge of credit scoring and how they really apply to real life (such as mortgage underwriting) only fuels wide debates about why one score is a few points off from another and why my score went up or down.

Debt-to-income (DTI) is a HUGE factor in credit extension. Your ability to repay borrowed money is the main concern, your score just helps them see whether or not you tend to do that among other things.

You should learn howto maintain good credit (it's not rocket science and is all common sense), but other than that, stop worrying about a few points or whether or not someone might pull a hard inquiry on you. There's a bit too much paranoia out there.
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#12
I did read a story (years back) where a banker gave an incredibly low interest rate because wanted to be able to say he gave loan to someone with perfect credit score.

IMO hard pulls do matter. CC companies will deny for too many bc people are chasing the bonuses.
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#13
I always thought 760 is top tier not 720? I guess it depends on the lender. Besides meaningless bragging rights to having a extremely high credit score, I think it doesnt hurt if you enjoy churning credit cards like crazy. At least in my head Im willing to churn more due to my credit score been excellent. Same with my wife but she can always keep her credit score above 800 somehow...
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#14
Quote from tennis4789 View Post :
I did read a story (years back) where a banker gave an incredibly low interest rate because wanted to be able to say he gave loan to someone with perfect credit score.

IMO hard pulls do matter. CC companies will deny for too many bc people are chasing the bonuses.
Yeah but now you are changing the argument. If you are getting tens of credit pulls, then yes it matters in some circumstances. But most people in a normal setting get a couple here and there and their total count over time remains very low. Bonus chasers love to work "hard" to gain a few extra bucks rather than admit they could make more doing something more productive -- it's all hidden with "I'm not going to tell you my fragile secret or it will be killed off". Companies see through that -- but depending on other factors it may not matter at all if the person has very good DTI or other factors. Habitual lendees such as bonus chasers and payday loan customers are clearly spotted on a bureau pull.
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#15
Quote from eekthecat View Post :
Yeah but now you are changing the argument. If you are getting tens of credit pulls, then yes it matters in some circumstances. But most people in a normal setting get a couple here and there and their total count over time remains very low. Bonus chasers love to work "hard" to gain a few extra bucks rather than admit they could make more doing something more productive -- it's all hidden with "I'm not going to tell you my fragile secret or it will be killed off". Companies see through that -- but depending on other factors it may not matter at all if the person has very good DTI or other factors. Habitual lendees such as bonus chasers and payday loan customers are clearly spotted on a bureau pull.
my take on doing something more productive vs. chasing bonuses is it normally reduces my flexibility thus my quality of life because of more hours at certain times. whereas bonuses are on my time schedule.

again my experience revealing secrets does crowd a space and kill it.
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