Score Change w/ paid collectio

Discussion in 'Credit Talk' started by Kelly, Apr 3, 2001.

  1. Kelly

    Kelly Well-Known Member

    The first time I pulled my score Equifax still had my collection account showing unpaid. I got notice that the collection was updated to paid, so I thought WTH lets pull score again. BTW, I had to buy report too. :-( Score increased from 650 to 671

    Kelly
     
  2. Momof3

    Momof3 Well-Known Member

    Re: Score Change w/ paid colle

    That's great Kelly, how did you get your score again?? My friend tried to get another score and report but it only offered another report for 8.50 no score??
     
  3. Momof3

    Momof3 Well-Known Member

    Re: Score Change w/ paid colle

    Hmmm everyone also said paid/unpaid doesn't make a difference. Well now we see it does. Interesting



    Mom
     
  4. roni

    roni Well-Known Member

    MOMof3

    Well!

    roni
     
  5. Kelly

    Kelly Well-Known Member

    Re: MOMof3

    I did as another poster mentioned. Clicked on get score $12.95 on the consumer's page. NOT from Member's Center.

    Kelly
     
  6. Momof3

    Momof3 Well-Known Member

    Re: MOMof3

    Thanks Kelly my friend did that, but it said you are already on file please log in???
     
  7. Kelly

    Kelly Well-Known Member

    Re: MOMof3

    I was logged in, It's just not an option from member center page - you have to go back to consumer screen.

    Kelly
     
  8. Momof3

    Momof3 Well-Known Member

    Re: MOMof3

    Hmmm I tell them.

    But thanks for bringing that paid collection changing your score to the boards. That will raise alot of eyebrows around here, it has been drummed in our heads paid/unpaid no difference, you have proved them wrong LOL.


    Mom
     
  9. Saar

    Saar Banned

    Re: MOMof3

    Kelly, I doubt this is what caused it.

    Dozens of factors affect the score. Even a slight change in ratios, inquiries aging, or an account aging one month (thus scored, for example, as a 3-year account rather than a 2-year account) could have caused this.

    This is not a lab test where we can change just one variable and know for sure that all the others remained the same. Anything else would be a sheer speculation.


    Saar
     
  10. MistyEyed

    MistyEyed Well-Known Member

    Re: MOMof3

    Ya I was thinking the same. Did you compare the reports and see what the differences were just to make sure the only change was that paid collection?
     
  11. roni

    roni Well-Known Member

    702 to 701

    1 point drop....

    And this time I had a new reason code....too many finance company accounts.

    1) householdauto finance
    2) MBNA line of credit with Ethan Allen (they may consider that a finance b/c it is furniture).

    roni
     
  12. Kelly

    Kelly Well-Known Member

    what's changed

    It's been 15 days - what's changed -

    Paid Collection

    All account balances same except Student Loan balance decreased $40

    Additional Inquiry from Credco/Monitrust.Com - supposed to be soft inquiry????

    reason codes changed from 38 14 8 2 to 40 14 8 20

    Kelly
     
  13. zip

    zip Well-Known Member

    Re: what's changed

    I just got my updated FICO and I went from 640 to a whoppin 646!Thats with my final collection deleted and no new inquires.My reason codes were 14-10-8-5.I noticed that none of my credit balances had yet been updated, so they were showing feb. balances. I have paid off 1 card and lowered my balances and also speigel raised my credit limit 1,000. Go figure!
     
  14. Saar

    Saar Banned

    Re: what's changed

    "reason codes changed from 38 14 8 2 to 40 14 8 20"


    Why don't you give us the reason wording :)

    (2 of the 4 main codes changed in those 15 days, including the first which is the most significant).


    Saar
     
  15. Momof3

    Momof3 Well-Known Member

    Re: Reason codes

    Look I have always thought paid/unpaid meant nothing and Fair Issac has always agreed but let's look at this.

    Well it just has us wondering, 2 of her scoring factors changed with 2 weeks. The first codes were:
    38:Serious delinquency, and public record or collection filed
    14:Length of time accounts have been established
    8:Too many inquiries last 12 months
    2:Level of delinquency on account

    Two weeks later balances remained the same, collection paid and student loan balance went down 40.00
    Now the codes
    40:Derogatory public record or collection filed
    14:Length of time accounts have been established
    8:Too many inquiries last 12 months
    20:Length of time since derogatory public record or collection is too short

    I find it odd that the first reason code went from 38 to 40 and the fourth reason code went from 2 to 20. These seemed to be associated with the collection acount??
     
  16. TX Mommy

    TX Mommy Guest

    Re: Reason codes

    I also have a collection account that I just recently paid in full. I have not re-pulled my score yet (I want to wait about 2 more weeks to give them enough time to report paid).
    I was under the impression, as many here on the board, that a paid, settled or unpaid collection didn't matter - it was still a collection. Well, I am getting "mortgage ready" and working with a loan officer who I have become pretty good friends with. She told me definitely pay the collection off (even if the CA wouldn't remove from my report) because it could drastically effect my score. She even said it could increase by as much as 30 pts.

    This is VERY encouraging for me to read. Also, my original reason codes were the exact same except for the 4th one (mine was about my debt to limit ratio being too high).

    I will definitely keep everyone posted once I re-pull my score. (I would like to pull it now, but I am doing everything I can to wait. I used to be on the wagon with inquiries, now I'm on my own wagon with my own inquiries! I have to set limits!!!! lol)

    Tx Mommy
     
  17. Saar

    Saar Banned

    Re: Reason codes

    A mortgage is indeed a different story. The axiom of mortgage market is to auto-decline any applicant with unpaid collections or unsatisfied judgments, regardless of score.


    Saar
     
  18. Anyone???

    Anyone??? Guest

    Re: Reason codes

    You are all so quick to disagree with the original post, care to explain the change in reasoning codes?????? Anyone????????
     

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