Posted on: 22nd Aug, 2009 12:14 pm
Hey guys, thanks for a great forum.
I'm trying to get a handle on my credit score. About 9 months ago my fico came in at 668. At that time I had a good bit of credit card debt. The 'simulator' I had told me I could be up to 725 if I paid it all off, which I did by april of this year. I was shocked to just check and my fico is only 677. Now, I did just use one credit card for a large purchase which I paid off within a month. (I did this to obtain an additional warrantee). My credit doesn't show the last 2 months of payments and thus that I haven't paid it off already. So my question is, can I expect my fico to jump a good bit when the next update comes in showing that i've paid it off?
I'm also curious if a mortgage lender would see this lag. My spouse recently paid off a large credit card and we we are looking to get a loan. Do we need to wait 2 months for the balances to clear up? Seems like these companies are pretty quick to show you've charged something, but slow that you've paid it off.
Thanks for the help!
I'm trying to get a handle on my credit score. About 9 months ago my fico came in at 668. At that time I had a good bit of credit card debt. The 'simulator' I had told me I could be up to 725 if I paid it all off, which I did by april of this year. I was shocked to just check and my fico is only 677. Now, I did just use one credit card for a large purchase which I paid off within a month. (I did this to obtain an additional warrantee). My credit doesn't show the last 2 months of payments and thus that I haven't paid it off already. So my question is, can I expect my fico to jump a good bit when the next update comes in showing that i've paid it off?
I'm also curious if a mortgage lender would see this lag. My spouse recently paid off a large credit card and we we are looking to get a loan. Do we need to wait 2 months for the balances to clear up? Seems like these companies are pretty quick to show you've charged something, but slow that you've paid it off.
Thanks for the help!
I don't think credit score is a jump process. It seems a misguide, or check if there was any other strong issue to raise your score. It must have dropped for delayed payments. Check if there are any negative marks on the report. If you have paid within one month after due date and that still have negative effect, you can request the lender to take them off.
Mortgage lender will be able to see this lag, certainly.
Mortgage lender will be able to see this lag, certainly.
this "lag" ought not to prevent a lender from granting a loan at this time. your overall credit performance is still good, apparently, and there ought not to be any red flags for a lender.
furthermore, the lender isn't going to know that you were above 700 in the first place, unless you decide it wise to tell them.
furthermore, the lender isn't going to know that you were above 700 in the first place, unless you decide it wise to tell them.
