What is pulling my score down?

Follow

CMH hawley

• June 25, 2023 21:30

I do not understand just what is pulling my score down but each time I am notified it is due to my scoring taking a hit.  I have already been approved for a new mortgage and have made a payment on it (remind you no problem getting the loan) to pay all my bills.  However, there was a mishap in which Kohls reported a skipped payment.  I tried explaining to Kohls the move and all that I simply missed it if they would reage the account and after nearly 20 years of perfect history with them what do you think they said?  Oh hell to the no. My score has hit an all-time low of 590.  I also had a collection account which I fought and that was removed.  There are a lot of inquiries some from trying to get a mortgage and you know the deal and a lot from prior years which a lot will be dropping off this year.  Help!   What is going on? How can I bring my score up?

0

• Official comment

  

  Victor D

  • June 29, 2023 17:08
  • Edited

  Hi there,

   

  Thanks for reaching out to NerdWallet! While we're not able to see your credit score or report directly, we're happy to help point you in the right direction to figure out what might have caused your credit score to drop.

   

  Even though we can't say the exact reason why your credit score has dropped, we can share that in most cases a score drop  can be caused by an increase in your reported credit utilization ratio.

   

  If you had a card with a higher balance that was reported to the credit bureaus, it can cause a significant dip in your credit score, even if the higher balance was reported just before it was paid down. If a higher than usual balance is what caused your score to drop, your credit score should jump back up on its own next month, if you have already paid off the additional balances on any of your credit cards. 

   

  However, if you don't believe that higher credit utilization is what has caused your credit score to drop, we highly recommend reviewing your credit report carefully to search for other possible causes, and reviewing What Factors Affect Your Credit Score for more information. A missed payment typically remains on your credit report for 7 years. Some scoring models will still penalize a paid collections account, while other scoring models may not. 

   

  Best regards,

  Victor

  Comment actions Permalink

Please sign in to leave a comment.