I recently got an old collection deleted, which was going to fall off at the end of the year any way but I did'nt want to wait. Now I check my scores and EQ went down a point, EX went down 9 but TU jumped up like 25...what the heck is going on?
You probably eliminated some history and that's the result. So what? It's better to take a small hit short term and have and have a clean CR than have some baddies and risk a rejection.
Whatever points that collection was giving you for age were hardly worth it. Many potential creditors don't want to see any sort of collection and won't approve with one appearing on a report no matter how old it may be. Be glad it's gone.
I am very glad it is gone, I just don't see how EQ and EX can go down after the deletion, espeacialy when TU went up like 25 points. Dang screwy CRAs.
Go back and check your CRs, if you have "pre-deletion" copies. Look to see if TU had it "aged" differently with a more recent "Date of First Major Deliquency" or "Date of Last Activity". My guess is that TU had it aged more recently.
Nope EQ had the most recent age on it, not to mention the were showing a balance that had been paid along time ago. TU and EX at least showed it as paid. I don't know, maybe I just need to wait a little longer to see if my score goes up on EQ and EX. All very strange to me...
Score formulas are complex, and FAKOs are not perfect beasts. Old tradelines, even negative ones, can have positive scores - where the negative points for being late/COed are less than the positive points for being more mature, having a higher credit limit, etc.
First, don't kill yourself trying to completely understand the FICO scoring model, and changes in your score. It is not a straight formula, say...1+1=2, it looks at the whole of your credit report, and then reduces all of your history into a probability of default on paying your debt. And, if we did know exactly how the scoring formula worked, then Fair Isaac would be out of business! In your case you would need to factor what negative information was "left" on your report after the deletion. There is a relativity factor to negative information on reports and scoring. By this, I mean of you have 10 negs, the deletion of your first neg will not impact your score as much as the deletion of the last neg on your report. Most likely your TU report has less negs than Eq or Ex. Also remember that your FICO score is impacted just as much by what is happening in the entire credit markets. It is likely that deletion of this CA account could have thrown you into a different scoring "bucket", where you are now "scored" relative to other people with similar histories and credit profiles. So, don't get too hung up on how the FICO model works, it is not perfect, and there is much more NOT published about computation than we know. Just keep working the repair process, and your scores should trend in the right direction.
Well, if you want a really crazy one I know a man who has a middle score of 602 according to free credit report. com and he has not even one positive tradeline! He has several negatives on his report but has never had any credit from any lender of any kind whatever. He has never bought anything on credit in his entire life. He has never applied for credit in his entire life. He is 25 years old. He wanted a cell phone the other day and he was turned down he owes them about a hundred on an old cell phone bill from back in 2004. Problem is that he has never had any cell phones except the prepaid kind. He was stunned to learn about that old cellphone bill. So being a bit outraged to say the least. Then he came to me and asked me how he could get a copy of his credit report so he could find out about that and I had him pull a 3 bureau report from free credit report dot com. So he found out that he had several bad tradelines and the biggest was about $700. NCO has a couple of his bad accounts and some other debt collectors have the rest. Another problem he ran into is that he has never lived at the address they claim he lives at and never used the name that opened the accounts. The last name is a funny mis-spelling of his real name but the social and other identifying information is correct. So it is an obvious case of identity theft. The address is a real address. At first I thought it was a false address as well but I took him there to check on that since he don't have a car. But with all that bad tradelines and he has a 602 middle score and the person who gave him all that bad info apparently never paid a dime on any of the accounts. He now not only has the problem of being saddled with an identity theft situation but he also has the problem that he can't dispute the trade lines he already has until he does something to build some positive trade lines and let them age because if he does dispute successfully his score will drop like a rock. Seems to me like he is stuck between a rock and a hard place because of an identity thief. All of that seems to knock a big hole in some of the things that are supposed to be true for scoring models.
