Reader mail: Experian updated discharged charge-off and score went down 100 points
Good Morning,
I came across your blog and wanted to ask you how everything turned out? I ask because Experian just “updated” a charge off that was included in bankruptcy, and took my credit score down 100 points! the other two bureaus left it alone. How can this be that an “update” to an item that is correct takes down my score?
Can you please help, advice, or give me feedback?Thanks,
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I don’t know WHICH blog you read, if you’re referring to my post Experian REFUSING to correct rehabbed student loan and incomplete and false Afni collection reporting—attorney Chang forwarded my email to an Experian in-house attorney and I’m waiting for the response.
My first question regarding your problem:
WHICH score went down 100 points?
Since Experian FICO scores are no longer available at myFICO.com, I suspect you are looking at the COMPLETELY USELESS bureau scores used primarily to deceive consumers and of course to increase the credit bureau profits. MOST lenders use FICO scores and I documented that they can differ from the bureau scores sold to consumers by 50 or even 100 points.
Please read Credit Scoring Basics for more information.
If you actually got the Experian FICO scores because you’re applying for a mortgage, you should also have the score factors and the change in factors should provide important clues. And of course you can compare the reporting on the Experian reports—what EXACTLY was updated?
For FICO scores the Experian STATUS DATE is very important. I documented years ago that when Experian changed the status date for a discharged account to a more RECENT date, the FICO scores were lowered dramatically. That’s because the more recent an account was charged off or discharged, the lower your FICO scores.
They could also have removed the bk notation and/or reported a delinquent balance. But without actually reviewing the reporting, I can’t say what happened.
To learn more about FICO scoring and how to analyze your reports, please subscribe to my CreditFactors knowledgebase and forum.
