Equifax Back in the 700's...

[FilingOnMyOwn]

So after an old collection account hit my credit reports, my equifax score drops 112 points. Then once its deleted, I only gained back 82 points? This credit scoring system is so messed up. On the bright side, 700's are pretty good so recently after bk.

Anyone else wonder how my score/credit was this good? Well me too... Until now. Apparently I was overlooking something on my reports all this time. It seems that an old marshall fields store card account that I haven't used in forever has been reporting as open and in good standing for the past 7 years...

[CindyLou]

I would probably refrain from closing anymore accounts. This could have caused your score to go down. As you pointed out the older your open accounts are the better your credit. I don't know if your closed acounts were in correlation of your credit score drop...just a thought.

[FilingOnMyOwn]

Yeah you're right, I forgot about that. In retrospect, I maybe should have only closed household & target for the time being. But I really can't regret closing orchard with a $59 annual fee. Although I am looking forward to closing hooters and maybe airtran (juniper), both have interest rates in the high 20's.

[Minnymouth]

Any long standing open accounts that are reporting correctly, or have no balance on them and were not affected by the bankruptcy, I would leave them open for right now...... They are keeping your credit score higher, by showing a good pay record on them....

Some companies WILL NOT close your account just because you filed bankruptcy especially if you a "clean slate"with them..... though many do close the accounts.

Be careful about opening and closing a lot of new accounts just starting out to get better interest rates..... this will affect your score also....

Hope this helps....

[poorme]

I know we all abhor annual fees, but I would look at the $59 annual fee as an investment in my effort for credit improvement. Maybe use the card once every couple of months for a small purchase, pay-in-full, and keep it in the drawer in between. Just my $.02

[NASCAR20FAN]

So after an old collection account hit my credit reports, my equifax score drops 112 points. Then once its deleted, I only gained back 82 points? This credit scoring system is so messed up. On the bright side, 700's are pretty good so recently after bk.

Anyone else wonder how my score/credit was this good? Well me too... Until now. Apparently I was overlooking something on my reports all this time. It seems that an old marshall fields store card account that I haven't used in forever has been reporting as open and in good standing for the past 7 years...

That's great! I'm almost back there myself

[bkdone]

Having just paid off my Ch. 13 BK, I am now in a position to rebuild my credit. I am familiar with opening new accounts to help increase credit scores, but I have a question: Why are you guys opening so many new credit cards? I can see opening 2 or so, but it seems that opening all of these accounts is temptation to get you back into debt...right where we all began. Can someone explain to me why all these new accounts are a good thing?

[Minnymouth]

Some members will go to the extreme in re-opening credit cards trying to raise their credit score backup..... OFTEN this hinders them more then helps..... Creditors look at this too...

Often just 2 new credit cards in a revolving state will improve the credit report a lot quicker.

Often members start out with a high rate card, find a lower one, and close out one of the high rate ones.

Often you have to decide which is working in your best interest at the time....

Too many cards can be very damaging to your credit worthiness again....

[FilingOnMyOwn]

I know we all abhor annual fees, but I would look at the $59 annual fee as an investment in my effort for credit improvement. Maybe use the card once every couple of months for a small purchase, pay-in-full, and keep it in the drawer in between. Just my $.02

Yeah, unfortunately too late, I already closed them.

[FilingOnMyOwn]

Having just paid off my Ch. 13 BK, I am now in a position to rebuild my credit. I am familiar with opening new accounts to help increase credit scores, but I have a question: Why are you guys opening so many new credit cards? I can see opening 2 or so, but it seems that opening all of these accounts is temptation to get you back into debt...right where we all began. Can someone explain to me why all these new accounts are a good thing?

In order to get 'better' cards, with lower or no fees, low interest rates, and decent terms and limits, you have to start out with the crappy ones to build your credit. Then as your scores improve, so do your cards, and you can start to cancel the crappy cards.

If someone is of the type that they cannot handle credit cards to begin with, than it may perhaps be a good idea that they not try to obtain new cards.

[FilingOnMyOwn]

I would probably refrain from closing anymore accounts. This could have caused your score to go down. As you pointed out the older your open accounts are the better your credit. I don't know if your closed acounts were in correlation of your credit score drop...just a thought.

Unfortunately, now I have to cancel airtran too after they're trying to rip me off on even more fees. As if the $39 annual fee wasn't bad enough. Watch out for juniper, these bastards try to tack on all kinds of stuff to your statements.