3 months ago I was considering purchasing a home and pulled my credit report and scores. Several mortgage lenders pulled my score during a 14 day period as well. For reasons other than financial, I decided to hold off on purchasing until the summer. In the meantime, I have paid off my car loan ($9K)-through sale, paid off 2 credit cards ($3K), a loan $1K. My only remaining debt is a student loan (9K) and a credit line balance of $2600. I checked my scores a couple of days ago and noticed that they went down. I don't know how to explain this given that I have significantly reduced my debt and have no balances on my credit cards. Any ideas?
Have you closed any of your older accounts recently? If so, the average age and/or age of the oldest open account may have decreased, thus lowering your score. If that isn't the case, have you applied for other credit following your earlier mortgage application? If those inquiries took place in the last six months, they may place a slight ding on your score. These are a couple ideas...Hope they help!
