Why is my score so terrible

Submitted by Anonymous (not verified) on Fri, 04/23/2010 - 04:43
Forums

I'm trying to fix my credit. I receive my report from Transunion. Right now my score is 555. I am shocked !!! I have a fairly long credit history, with many loans that have been paid off in full. Other than this I have 2 credit cards, both in good standing. However, their are a couple of negative things on the account.

-Credit card, with a 90 day late notice back in Dec 2004. The card has been paid off and closed.

-I am currently over my limit on my VISA by $200.00, but I am continually making monthly payments. It does have a high balance of over 12,000. There was 1 late payment in 2006 but now the late payment appears to have been removed as I no longer see it on my report.

-I also have 7 inquiries over 2 years.

I pay ALL my bills on time, I had a car lease and a few loans. All were paid off early, and are in good standing. I'm really confused as how the score can be that bad. I thought I would be in the mid or maybe high 600's at a minimum. I did pull my Equifax report about 6 months ago, and my score came in at around 630. My TransUnion was 590 months ago.

I need a mortgage. So, how can I improve my score?

Thanks.

Hi Pip,

Can you tell what the 90 day late paid off account status is? Is it listed as "Paid"? What are the status of the loans that has been paid off in full? The high balance (12,000) may be affecting your score negatively. Thus, you need to make more than minimum payments on that account. As for the inquiries, you can dispute those which are still there on your report after the 2 years. Inquiries can stay on your report only for 2 years. Dispute these inquiries to improve your credit score.

Hope this helps.

Regards,

Aaron

Fri, 04/23/2010 - 07:44 Permalink

I think you should send a polite letter to the 90 day late CC company asking for records and notifying them that this mark is preventing your mortgage. sort of a combo 623 and goodwill.

I would settle this overdrawn VISA. this account could get closed. Could you work something out with them? close it and freeze the interest at something reasonable and get it paid down. You can't use it overdrawn anyway. if it stays overdrawn , it will close trust me

Fri, 04/23/2010 - 11:17 Permalink