Credit Impact on FiCO Scores

[AZchick2]

Thought this was interesting:

[StuckInAZ]

160 points doesn't sound too bad right now. Seems to be on the lighter side from the other estimates floating around out there.

[noguiltwalkawayca]

I have an interesting one for you!!! We did a short sale on our investment property here in Cali last June, and just refinanced our current VA loan on our personal residence to a reduced rate. Funny huh?? The real funny part is my credit score went up to 700 from 680 since the short sale, and yes the short sale shows up on my credit report.
Thanks
Noguilt - Wilton Ca

[RN009]

AZCHICK2, you beat me to it . Just about to post this article. Very interesting. The most surprised me was maxed-out card.

[auroraproblem]

Also something to note, bankruptcy though it lowers your score, removes some of those 'maxed' out credit cards as well.

I have heard instances where half the negative credit score impact of a bankruptcy can be countered by the maxed out credit being relieved.

[LexieMustang]

I've made my peace with my 105 point drop after it's all said and done. FICO can kick rocks!

[Submersible]

When my credit score finally does go down the tubes, I'll cry myself to sleep on that gigantic pile of cash I'm saving.

[nvjen]

I think that article said the lowest score is 300...did I read that right? We're finally paying our bills on time, so it'll even out someday. Someday.

[Woody]

Submersible...I loved your response! I agree completely....who gives a rat's ass about FICO? It is a license for debt, so I just don't care anymore....
Now, what to do with all this money....
A) take a trip with the family
B) sign my daughter up for dancing lessons
C) put some money away for college AND retirement
D) stop harrassing my wife for spending 50 bucks at Target
E) ALL OF THE ABOVE

The correct answer? E!

[StuckInAZ]

Haha, I love Option D. I harass my wife about that all the time!

[AZchick2]

I think all this credit score nonsense is a scare tactic used by the banks to scare us and keep us paying

[SciGuy]

Submersible, I also love your response! People only need credit if they don't have cash to pay for things, and realistically the only thing I even remotely need credit for is if I want to buy a home again, which after this nightmare I've been going through is far from my mind. I'd much rather rent a nicer place and still save lots of money to cry myself to sleep on.

[KFish]

I have looked all over but can't find an answer to this FICO question...maybe someone here knows?

When you have multiple foreclosures (3) does the hit multiply? We are walking away from 3, a total of 5 loans (2 of them have HELOC's) Our credit scores before we in the 775-800 range (husband and I)

We are resigned for the scores to tank...but wondering how bad so we can guess how long it will take to rebuild....

[Dizzle831]

I read this the other day and thought the foreclosure ding wasn't that bad either but what kills your FICO is the foreclosure process. I had a 800+ FICO score when i stopped paying my mortgage (Feb. 09) and by May my AMEX with a 30k limit was closed, had a MC with 8k limit dropped to $300 with a new crazy APR. The hit wouldnt be so bad if you could go straight to foreclosure without missing payments but i dont mind saving the extra 2k a month until BofA decides to file the NOD.

[skeeter55]

WOW im 4-months behind so dose that mean from my 840 fico, im now down in the 400 fico. Oh well screw them.

[KFish]

Unfortunately, there is no way to get into the foreclosure process without being late

Nobody knows if multiple foreclosures means you multiply the hits? Oh well...what does it matter. We cant afford the keep the places, so we will just expect our credit to hit the negative numbers and anything else is gravy

[knownick]

I'm about 3 months on the other side of a trustee sale and my score has gone from high 700s to low 600s. I expect it will go down some more as the public foreclosure record hasn't hit my credit report yet. In all, I'm guessing the "about 200 points" number that seems to be the rule of thumb is probably going to be pretty accurate in my case.

[azhardspot]

Knownick .. when you say public foreclosre record .. is this different from the Notice of trustee sale ? is this also filed in the county recorder's office ? if yes under what document title ?

[knownick]

Knownick .. when you say public foreclosre record .. is this different from the Notice of trustee sale ? is this also filed in the county recorder's office ? if yes under what document title ?

No, that's exactly what I mean. When you pull your FICO there's a section at the bottom that says "public records" and includes filings of bankruptcy, foreclosure, and things of that sort.

Not sure how long it takes them to scrape up that data, but as of 3 months past that aspect is still not recorded on my Experian FICO.