Question

I just wanted to share some information since everyday I see people posting asking how their credit will be effected with opening/closing credit cards or car loans. When you have a credit inquiry, your score takes a ding. When you pay off a loan or car and the account closes, your score takes a ding. When you close a credit card, your score takes a ding and changes your available credit limit and several other things. BUT you want to be debt free! You want to pay off your car! You should never be struggling with the decision of paying bills or worrying about a credit score. We paid off our car a month ago and it just hit my credit and I lost 19 points. But it will recover! I would rather be saving $475 a month from my car payment! Credit scores are a rollercoaster! You gotta play the game and it’s constantly fluctuating. What have been your credit score journeys?!  

Answer 1

I would be interested to see how long it takes for it to rebound.  

Comments

@poore for us personally we still have credit card debt so every month we make those payments we will slowly be going back up

Answer 2

Yep! When I closed my oldest credit card late last year my score went down but a couple months later was higher than before. 100% close unneeded cards!  

Answer 3

Yep one of mortgages closed and my husbands score went down over 70 points. Mine went up. It was weird.  

Answer 4

Currently over a 700 score. Been working at it the last couple years. We're refinancing in August or September to drop our PMI off our mortgage (around $300 a month). After that's done we'll pay off our pickup and another loan so that paying those off doesn't mess up our credit score for refinancing.  

Answer 5

I’m sorry, I don’t mean to be that person. What app is this (or site)

Comments

@dun this is MyFICO. It gives you all 28 of your FICO scores including mortgage and it doesn’t security monitoring and stuff. It does have a monthly fee.  

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Thank you. All I have so far is credit Karma and I’m not a fan. I appreciate this

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@dun no problem! CK isn’t FICO scoring so it’s not even the scores lenders look at

Answer 6

When me and my ex sold our house mine when down about 100 points. It’s crazy.  

Answer 7

The algorithms for credit scores are so interesting because everyone's experience and situation is different. When we sold our house last July we used most of the proceeds to pay off all CC debt and my student loans. Once those reported to the bureaus my score shot up over 150 pts (according to Credit Karma, which isn't the most accurate but I'll take the 824 it gave me! ) A few months after that we had to get my husband a new car and now our scores have steadily been in the high 700s. We are now in the process of buying another house so our scores will change again. The credit score rollercoaster.  

Answer 8

I sold two houses between February and April that I owned and after both sales my credit score went up about 20 points. I was really surprised. Due to the most recent sale I just hit 800! Now my only debt is one cc which I have been throwing money at since the house sales. Hoping to be completely debt free next month!