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ESquareT

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i deont understand why my credit score went down so much by 32 points
i had chase freeedom card and i later on went into financing some electronics i bought for 1700 dollars with GE Capital Retail Bank to be down in 12 months. i dont understand why just at the posting of this credit card to my account brought down my credit by 32 points where as is not even yet due date for my first payment. co can someone please explain this to me if they knw why?. thanks peeps

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EsquareT

I am guessing that your credit of 1700 isnt against a credit card.  It is just basically a loan for that amount to buy your electronics.  This may appear to the credit formula as credit utilization going up by 1700 bucks.  I see a similar effect on mine because of my Amex card.  With Amex there is no limit to gauge the utilization against.  This sounds like maybe the same scenario.  As you make payments your number should creep back up, and you will have another smiley face paid acct on your credit report with always helps.  If there is something else I dont know about, then maybe I am way off base here, but with what your note says, thats my guess.  Basically you increased your utilization, because the 1700 shows increased debt without a corresponding available credit card increase to offset it.

Just my opinion/guess.

Rich

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Credit Score down credit worthiness up?

I got a $200 credit card limit increase with utilization down yet my credit score went down 10 points.  That makes no sense.  I don't like the fact that I can't ask credit karma why when they report all positives on my credit spending  and say that credit lenders will find me more positive.

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