Credit Advice

Have a question? Have advice to share? The combined knowledge and experience of everyone in the Credit Karma community can help you. Enter your question or help others below to get started!

Question

Posted in Credit Scores
Profile Image

Question By
Johndoe19

0 Contributions
0 People Helped
Paid down debt, why did my score go down?
To be clear: I changed NOTHING about my report. No new anything, didn't close anything, didn't charge anything, didn't move, didn't inquire about anything, NOTHING WAS DIFFERENT about my report except 2 things:

1. I paid down...not off, down some CC debt. Limits did not change.

2. my score dropped from 747 to 707.


You heard me when I said nothing else happened right. Report was identical. NOTHING changed except my score.

Is the fact that I stopped using credit and just cash causing my score to lower? If so, it's not a measure of how likely I am to pay a debt....It's a measure of how good a "customer" I will be...a good interest payer.

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW
All Responses

Results 1-10 of 36Results per page: 5 | 10 | 25Page 1 of 4   Previous | Next
1 Contribution
18 People Helped
Most Helpful Response

Same thing happened to me

Helpful to 18 out of 20 people

I was so excited that in the past year I nearly paid off all my student loans. Decreased my debt by over $15000. Thought it would help my credit score, but it just dropped a couple points. Granted that is not a lot, but I thought it would go up! This whole credit score system is a total scam that has all of slaves to credit card companies. It is total BS! I am actually shocked our country lets such corruption exist. You need a good credit score to get a decent mortgage rate...but you have to be in debt to do that....errr.

1 Contribution
10 People Helped

Penalized for paying on time?!?

Helpful to 10 out of 13 people

Can someone help me understand why on earth my credit keeps going down when the only thing I'm doing is paying my bills on time????? What the hell am I supposed to do to get my credit score back to normal?????   This is really ****ing me off and very frustrating.  And for absolutely no apparent reason that I can seem to make sense of.  Oh and forget about trying to talk to someone at one of the credit reporting agencies.  I think I might have a better chance contacting GOD than them.  Enough is enough, what the hell is going on and who the hell can I talk to about fixing this problem.  Why won't anyone get back to me about this.  I've sent several requests with supporting documentation and my credit score keeps going down.  Somebody please tell me why so I can try and fix it.  

1 Contribution
6 People Helped

I have a car payment and one credit card

Helpful to 6 out of 7 people

that's it.. wich have both been payed on time every month. My score was finally almost to 600 last month and I check today and my score also went down 40 points for NO reason??? Why would it go up so many months in a row, nothing has changed and suddenly drop?? Like everyone else here has said so much for being responsible. why do they have to make it so complicated when they'd be getting all our money either way? Just makes me sad that this is the way the world works and i hope you fix this ****

1 Contribution
9 People Helped

Paid off house, credit cards and car

Helpful to 9 out of 12 people

I paid off all my debt at the end of December and my credit score dropped.  What a bunch of BS.  I worked hard and it took 25 years to pay off my home and all along I though wow my credit score is going straight up!? Wrong!  What a scam of a system.

1 Contribution
5 People Helped

Karma Krap

Helpful to 5 out of 8 people

Go figure.  I run my free credit score with this website and I'm told 792 and 802.  Well, you'd think with all the debt I recently dumped.  No, my actual score was in the 730s.  Keeps going down.  We're all fools for trying to be such outstanding idiots.  

1 Contribution
3 People Helped

I feel your pain

Helpful to 3 out of 3 people

I recently paid off my truck and a credit card and had no new credit inquiries but my Experian credit score went down 30 points while my Trans Union score went up 14. My scores are over 40 points apart so depending g on which score is used I either have good credit or fair credit. That has HUGE implications on interest rates for future credit. There either needs to be ONE credit report, or every reporting agency has to report on the same information. Having different reports is like having multiple yet different driving records. With one you get good insurance rates with the other you are gouged. At the very least, if scores are going to be different, consumers should be allowed to choose which report lenders can use.

1 Contribution
2 People Helped

The credit rating system is complete BS

Helpful to 2 out of 2 people

Same thing happened to me although after paying off one CC and paying another down to where it only has $100 left for a balance, my score dropped by 57 points.  Those were the only two changes that showed up on my report too.

The credit rating system is ridiculously broken and in terrible need of an overhaul or dissolution. 

The credit rating system = common core for adults.

1 Contribution
16 People Helped

Paid off car, credit score goes down

Helpful to 16 out of 19 people

I agree! I'm so ****ed! Its almost like you have to be swimming in dept to have a great credit score. I'm the only one working in my household and for years I have worked hard to get my score up. Finally got it to 692 last month, (Oct 2013). I paid off my car Nov 2013 thinking I'm finally going to hit 700, WRONG!!! My score went down 9 points! I'm military and move from place to place every 2 to 3 years. I do not own a home and I'm retiring in 2016 and tring to pay off all the credit cards and vehicles prior to retirement so I can purschase a house when I retire. However, if I continue to pay off things it seems my credit score will keep going down and I want be able to get credit to purchas a shoe box when I retire.

DO NOT pentalize me because I pay my bills on time and then pay them OFF! These are the good people. No wander the people of our Country is in so much dept, they have to STAY in dept in order to have good credit to have decent things. UGGGG!!

Reply by
Genevawatch

1 Contribution
0 People Helped
Helpful to 0 out of 1 people

Debt, not dept

1 Contribution
1 Person Helped

This is CRAZY

Helpful to 1 out of 1 people

I paid down my CC and continued to pay my car payment on time as I should, yet my score dropped almost 10 points. WHAT THE !!!! You can't win... it's all about the financial institution. 

1 Contribution
2 People Helped

Down 40 points

Helpful to 2 out of 3 people

This happened to me today after paying off a card. Ive worked so hard in the past couple months. I'm so disappointed. Maybe it's a problem with the app? Maybe we should be going directly through the companies. Has anyone double checked with the actual credit companies to see if they compare?

Results 1-10 of 36Results per page: 5 | 10 | 25Page 1 of 4   Previous | Next

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW

Reply to this Question

Write your response:
Enter Your Comments

The Credit Advice pages of the Site may contain messages submitted by users over whom Credit Karma has no control. Credit Karma cannot guarantee the accuracy, integrity or quality of any such messages. Some users may post messages that are misleading, untrue or offensive. You must bear all risk associated with your use of the Credit Advice pages and should not rely on messages in making (or refraining from making) any specific financial or other decisions.