A question for the experts: What impact does a mortgage with an "UNRATED" status have on the FICO score? Recently, I got my mortgage co. to agree to delete a single 30 day late via a goodwill letter with strong supporting documentation. They sent me a letter saying that they had notified all three CRAs that the account was "Current, never late". Now EQ and TU are showing the account as "unrated" and when I asked them what this meant they said that is how the creditor reported it. EX still hasn't done anything (of course). I know the account is not negatively impacting my scores, but does the unrated status positively impact the score to the same degree as if it read current, pays as agreed? It's a very large mortgage I've had for nearly 4 years. Should I dispute the unrated status, or just be happy that the late payment was removed? I am trying to do a refi so every point counts a great deal right now and I am borderline...
In my personal experience, unrated does not give you as many FICO points as a MOP history of R1, I1, or O1, meaning paid, never late. I cannot say how many points an urated account will give you as compared to not having the account at all.
Actually, unrated means just that. There is not enough information to rate the account. I had an account with my credit union that reported for six months as an "unrated" status, deemed R0 or I0. It did not hurt my score, nor did it help my score. My guess is unrated is a lot better than a late 30 day. So your score may have gone up a little since having that removed. I would probably dispute it with the CRA that is reporting it late (Equifax, I think) and keep it as it is with TU and EXP. I just don't want the creditor to add the late back on. By the way, did they (the mortgage co.) give you anything in writing about this transaction? If they said, saying they would delete it, then go ahead and dispute with all 3, since you have the written information as proof, just in case they add it back on. Dani
Yes, I have a letter from them saying that they were notifying all 3 CRAs to report my account as "Current, never late." So I think there is little risk of the 30 day late returning. My TU fake score dropped 17 points when it went from 1 30 day late to an unrated account. Trying to figure out what else changed, if anything. So far I can't find anything other than the bullshit hard inq TU pulled when I ordered the real FICO score and paid for it. And now my fake score has a notation of too many inquiries as one of the negative factors. Just outrageous.
msb, I would then dispute the unrated accounts with all three CRAs. Send a copy of the letter from the mortgage company along for proof. They will probably omit is as sound proof, but by seeing it they mayl actually verify the account with the OC. An ontime mortgage history is a great score booster. Good luck. Dani
