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hogeyphenogey

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Why did my score drop 119 points in one week?
The only thing I saw that was different was a $30,000 HELOC account with no balance was paid off and closed. It had no balance for about 6 months, but there was a $75 recording fee to the county that was outstanding that I paid a few weeks back- not part of the debt, so no derogatory issues as my monthly bills were $0- and it finally reported as closed two days ago. Last week I was a 791 and now I'm a 672. I know my debt to income is probably a little high, but I'm at less than 10% credit card usage, I have 3 inquiries reflected, I have one card at about $2000 of a $4600 limit. I have no late payments- literally the ONLY thing that changed was a $0 balance account was closed. Did that drop my available vs. used credit amount so much that it killed my score? I'm looking to sell my house and move soon, but this may have just put a knife in that. HELP!!!

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Closing the HELOC was likely the cause.  When you closed it, you lost $30,000 from your available credit and the more credit you have available, the higher your score, as is explained in the articles here.  If you haven't read them already, I do advise doing so. Also, get that  credit card balance paid off, since you are close to 50% on that usage..

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Closing an account causes damage to credit reports. Reducing available credit causes damage to credit reports. Both occurred here. I suggest that you look at your FICO scores as most FICO scoring systems factor in "closed accounts" for average age of accounts, so the damage may not have been severe with FICO. Most lenders use FICO, so they are the important scores.

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