Why is my Beacon Score going down?

[BKDebby]

I filed Chapter 7 in September 2010, I was discharged January 2011. I reaffirmed my mortgage and car loan and they are ALWAYS paid on time, even a week or two early sometimes. I have a savings account now with a few thousand in it which I've never had until now, I'm learning to save! I have no credit cards, I cannot trust myself yet.

I always had good credit before I filed, but too much on cc's. I needed a new car, my 13 year old car was falling apart, and that is the reason I first contacted an attorney. I couldn't afford to pay my credit cards and a car loan too (being single). My attorney told me to buy a new car and then file 3 months later, which I did. My credit was so good I qualified for 0% APR w/Toyota Financial. My credit score was 780 the day I bought my new car. After I quit paying my credit cards and filed, my lowest score was 580.

Now, it's 18 months later and in April 2012 my score was back up to 700. Today I got another score (my credit union gives us one no charge every 3 months - it's a Beacon Score) --- today it is 698. I thought it would go up, not down.

What gives?

[justbroke]

There are too many factors to explain a score. It can vary on a day to day basis depending on what's reported. Even when you think nothing changed, the score might fluctuate. If it's only bouncing 10-20 points per month... it's nothing to worry about.

Certainly don't concentrate on your score. Score models change and are based on the population at large as well. I would not be concerned with 2 points. You may also be at the point where not having revolving credit will keep you from getting a higher score. I'm not saying that you should go open a Mastercard/VISA, but the score does like to see a "mix" of credit.

[DesdemonaB]

Hi BKDebby

Please understand I don't mean to sound snotty but no matter how I write it, it comes out that way.... You bounced back from a 200 point drop in 18 months and you are asking about a 2 point drop? Don't sweat the small stuff, unless you are planning on purchasing a new car or home in the in future forgetaboutit (your score)

Good work by the way, I'm bit jealous

[BKDebby]

Thanks, justbroke. I used to be stressed out from cc debt (part of my debt was medical charges, go figure!). I've been stress-free since this is all behind me now....and today I see my score going down 2 points and guess what? Stressed out over it! I will try and calm down.

[BKDebby]

Hi BKDebby

Please understand I don't mean to sound snotty but no matter how I write it, it comes out that way.... You bounced back from a 200 point drop in 18 months and you are asking about a 2 point drop? Don't sweat the small stuff, unless you are planning on purchasing a new car or home in the in future forgetaboutit (your score)

Good work by the way, I'm bit jealous

LOL! No, not planning on purchasing either one anytime soon!

[Pjmax]

Bkdebby, you're doing great!! There is something psychological about that 700 mark, isn't there? It'll probably be up to 710 in a week or two the way you're headed. Good work!

[BKDebby]

Bkdebby, you're doing great!! There is something psychological about that 700 mark, isn't there? It'll probably be up to 710 in a week or two the way you're headed. Good work!

Thanks, PJ. Yes, I think it is psychological! I was so excited to see 700 3 months ago, I thought it would be a little higher today. Oh well!