When will my credit score change?

Question

I am trying to obtain a mortgage and I have 3 credit charge offs on my credit plus medical collections, I am paying them all off this week, when will I see a change in my credit score after I pay them all off. I really wanted to get a mortgage asap, please help

Answer 1

As you may or may not know it is very difficult to buy a house now for people with low credit scores (less than 700.) The stock markets are falling and companies are failing because they lent money to people who were not creditworthy at ridiculous rates they could not afford. So to be blunt you don't have a lot of opportunity now as it stands, but that's not to say there isn't hope. First let me say that for you it may be cheaper and more financially sound for you to rent until you either get a better credit score or the housing economy improves again (which can take years). Fixing your credit score though won't take as long so focus on that for now.

It doesn't take long for short term changes like account balances, payments, and available credit to show up on your credit report and effect your score -- likely these are the things to have impact over the short term, and you have a better change of fixing your score if you try to address one of those issues, which you can do easily in a matter of weeks.


Let me share with you my tips that you can use to build your credit score quickly. I raised mine to well over 700 points fro 500 using these steps in less than a year -- :

# Know and Track Your Credit Score (be sure to sign up for the free trial of your credit score tracking listed below. It really helped my get my score up.)
# Never Miss a Payment, Starting Today
# Never use more than 20% of your Available Credit
# Keep Credit Cards that Have No Annual Fees Open For as Long as Possible
# Extend Your Credit Limit on Cards You Already Have before You Get New Ones
# Get Credit Cards that Have CashBack Rewards to Contribute to your Balance
# Transfer Your Balance to a Credit Card with a Lower Interest Rate and a Higher Available Credit-
# If You Think You Are Going to be FORCED to Pay a Bill Late Ask for an Extension or Payment Plan
# Take out a Small Personal Loan and Repay it Over a Year
# Ask Someone With Good Credit if They will Account Shadow you

Read more here:
10-Ways to Boost Your MyFico Score
http://millionster.com/articles/debt/increase-fico-credit-score/

When you're trying to build a solid credit score it's important to get a comprehensive view of what is actually effecting it...
Your Credit Score (also known as your MyFico score) is calculated with the following breakdown:
35% - Payment History
30% - Credit to Debt Ratio
15% - Credit History
10% - New Credit
10% - Credit Types in Use

If you excel in one area and lack in another, only fixing the areas which you lack are going to improve your score

Best of luck to you, I hope this info helps you figure your credit situation out!

Answer 2

I am no expert in this department and I am in the exact same boat as you are. But some advice people have been giving me is to work deals with the creditors that you are paying off so they will erase the blemish on your credit if you agree to pay off the debt. This is different than jut showing that you have paid the debt on your credit.

Hope that helps and good luck ;)

Oh, and I hear that credit scores are updated once a month, every month.

Answer 3

Oh one more thing there is no 10 years or seven that your credit replenishes itself, there however is your hard inquaries from every time you have aloud anyone to look at your credit scores including credit score sites u pay to see your score that get removed in two years from the time you got those put on you credit report.

Answer 4

How old are those negatives? Any hope that some will fall off your report?

I think you're going to have to wait awhile to get that mortgage. You probably will need at least 2 years of consistent, on time payment, and a really good explanation for those negatives, to get a mortgage. You're going to run into much tougher requirements to qualify.

Answer 5

Mine fluctuated every 30 days I saw a different score. Get score watch with equifax http://www.equifax.com/home/ you can monitor your score change. Mine rose over 100 pts after a year