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Question By
honeyboobooben

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Why did my credit score drop 21 points because a collection was removed
a collection of $199.00 was removed but credit karma says my balance increased by $199.00 and my credit score dropped 21 points! I'm trying to understand why?

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Helpful to 5 out of 6 people

If the account was removed entirely it may have decreased the average age of your accounts which is a factor.

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Helpful to 6 out of 8 people

May want to give it a month or two until things even out. If it's still there, ring up the bureaus and ask them what's going on.

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Rose with a thorn

Helpful to 2 out of 2 people

If the debt was an older debt, then paying it off would then reflect basically like a new "bad" debt but with a zero balance.  Any new activity will have the biggest impact on the score, both the good and bad.  The older the debt, the less the impact on your score.  That's why I have always been told to leave an old debt to cycle off and keep your new/newer activity clean.  It does reduce your amount of debt in paying off old collections which is a positive and certainly a good reflection from a lender that you resolved your responsibility, but that's only after you get them to look at you past your number score.  Carefully assess what will be advantages to pay.  

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Sorry!!

I didn't mean to go off topic, I apologize.  I wanted to just submit a separate question.

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Short sale 2nd closed/score drops 89

2nd mortgage that was settled in 2014 during short sale but was only recently reported as closed and balance went down to 0  Account was originally reported as open with balance of 153K which was incorrect. 

Disputes resulted in the account finally being reported as closed with 0 balance. EQ credit score dropped 89 points as a result.  No derogatory remarks on account.  Any ideas why this might have happened?  Thanks in advance.

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Typical exploitation

Helpful to 0 out of 12 people

We didnt get your permission but we are going to collect all your personal financial info and shsre it with everyone without your permission. Not sure how it started but we report ur stuff like it or not not. If its wrong .. heck u fix it ....etc etc

Reply by
1957sungod

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Helpful to 2 out of 2 people

What kind of response was that? Did you threaten her about going into her account?

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