Credit score lowered without proper reason

Submitted by Anonymous (not verified) on Wed, 04/21/2010 - 03:37
Forums

I did a report in Jan 2010. At the time, my score was 700.

On the report there were:

2 accounts in collections
5 active credit accounts (all cards)
2 closed credit accounts (with no balance)
2 inquiries

I did one yesterday, the score had dropped to 650!!
And on the report now is:

1 accounts in collections
2 active credit accounts (all cards)
5 closed credit accounts (with no balance)
1 inquiry

Also, it has a credit account listed as closed, but it is in fact active.
The total amount of my debt has went down too. So I don't understand why the score has lowered so much. What do I need to do to have this corrected?

Thanks.

Hi Shaun,

Your score may have got lowered mainly due to the closed accounts. If these accounts had a good payment history, then the history of those accounts will no longer be reported. As you close accounts, your credit history becomes shorter, and as a result your credit score too gets lowered.

You can dispute the wrong listing on the account which is being reported as closed, but is in fact open. First talk to the creditor about this. Request them to update the account status. If this doesn't work, you can try to dispute this wrong listing with the credit bureaus.

As for the inquiry, can you tell if this was done without your knowledge? If the inquiry was done without your knowledge, you can dispute this too.

Thanks,

Aaron

Wed, 04/21/2010 - 05:34 Permalink