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Karmaholic

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Credit Simulator - why does it lower my score when paying off all credit cards with a fresh HELOC?
The Credit Karma Credit Score Simulator estimates that my credit score will be lowered after paying off about $30K with a brand-new Home Equity Line of Credit (currently with $0 balance).

Any ideas on why that is? Credit card financial institutions perhaps want to encourage some small level of credit card debt - conspiracy going on here? ;)

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Same problem

Helpful to 0 out of 1 people

The only difference I am not using a HELOC to pay off credit cards and my score sttill falls 6 points. The simulator seems to go the opposite direction of what's expected no matter what I change.

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