My mortgage broker called me today with or pre-qualification stats. The interest rate we can get on a sub-prime loan has gone up from when we first applied! He said it was because our FICO was below 500. On Feb.12 the first broker we were working with ran our credit and our FICO was 534 but now it has gone down to 497 which cost us a whole point on our interest rate. They are quoting us 12%!!!! This is really depressing since I am just getting started with credit repair and now my score has gone down.....and I have no idea why....I would have thought it maybe would have gone up a few points but not down????......no changes in accounts just another month on our positive lines. Any ideas why it would have gone down? I was getting really excited from reading all the success stories on this board beginning to think we could actually improve our scores with a little work but now I am discouraged! :-( We have now decided to go the lease purchase route for sure so that we can get our credit in shape....we are NOT going to pay 12%!
Hmm, I had a hard inquiry lower my score 7 points just this month. Also, your balances on your credit cards or other loans may have went up. Balance to credit limit ratios can hurt you big time. I think 15% or below, balance to CL is the best. I think mine is about 90%. I bet that's worth about 50 points. Good Luck. MikeB
SHelby try not to let this get to you, I do understand your frustration though, when we went to prequalify on October I jus about cried at my 540 scores, but a little over 5 months later I have greatly improved them. Your scores can change alot for various reasons. Haave you added more debt to your balances?? Recent inquries?? Also depending on when your creditors update your accounts, sometimes your reports get pulled before your payments are reported so it can appear you owe more than you do?? If you are going with Junum, wait to see what they can do most have seen results in 60 days, you never know. Did they mention what your reasoning codes were?? If so you may have a clue as to what is bringing your scores down. Most of all don't give up hope, you will get back up there it just may take some time. Mom
My balances are the same and I have not applied for anymore credit.....I can't figure out what could have brought my score down.
