Rapid Rescore of Credit/: Off-topic discussion forum: Grassroots Motorsports Magazine

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April 19, 2011 10:28 a.m. wearymicrobe Reader

OK quick question we have a offer out on a house, loan officer is saying if I can get my credit score up around 22 points I qualify for the best rates. Its ~.8% on the rate which is a big deal given the value of the home.

They pulled my credit score. I have two auto loans and a line of credit that have been paid off ~6 months which are still showing as owed. Plus apparently I owe the city 112$ for some unknown reason from 2 years back that just showed up on my report. Plus something from ~9 year ago is still showing even though I have documentation that it was pulled and its past the 7 year limit.

Do these restore things work as quick as they say. He has this fancy software that shows what will happen to a score after you fix stuff and its definitely good enough to get the tier one loans.
April 19, 2011 10:33 a.m. carguy123 SuperDork

Rapid rescore does nothing except update your monthly score UNLESS you add data points. Basically the credit scorers used be the credit bureaus rescore the first week of the month and every score you receive afterward is a guesstimate of what your score should have done for the rest of the month. Rapid Rescore just makes them give you the actual score UNLESS you add new or updated data points.

Paid a loan down? Send them the info. Try to get your loan balance down to 50% or less of your credit limit.

Credit info out of date? (most is up to 4 months out of date) Send them the updated info.

File a complaint with your local Office of the Attorney General on the 9 year old stuff. It'll take months to come off, but that's better than staying on their forever.
April 19, 2011 10:40 a.m. monark192 Reader

They do work quickly - it seems to take about a week in my experience. I am currently working on it with a borrower to update an account currently showing as delinquent that was paid off 3 years ago (he has the paid receipt). We need 12 points to cross the FICO score threshold for better rates.
April 19, 2011 10:44 a.m. carguy123 SuperDork

I work with RR all the time and as long as you introduce new data such as the info monark192 is mentioning it's worth spending the $$. But without new data it's an expensive crap shoot.

Given 45-60 days we find we can usually get people's scores up 80-100 points. That includes working directly with the credit bureau, a few phone calls to creditors and possibly a RR. Usually we do it the free way and not pay RR any $$ unless time is an issue.
April 19, 2011 10:57 a.m. wearymicrobe Reader

carguy123 wrote:

Rapid rescore does nothing except update your monthly score UNLESS you add data points. Basically the credit scorers used be the credit bureaus rescore the first week of the month and every score you receive afterward is a guesstimate of what your score should have done for the rest of the month. Rapid Rescore just makes them give you the actual score UNLESS you add new or updated data points.

Paid a loan down? Send them the info. Try to get your loan balance down to 50% or less of your credit limit.

Credit info out of date? (most is up to 4 months out of date) Send them the updated info.

Definitely removal of data points, not really adding stuff. Don't know if that changes things.

Get the 9 year old thing off the credit, pay the city off if I actually owe it and get a delete. It shows as owed but no late dings.

Right now they are also showing ~54K in car loans as active when I have 0 balance, plus my wifes lease which was returned two months ago. ~400$ or so a month.

But it shows as revolving debt and I think it is mucking up the score. I think that's right. Mind you even if I had the payments they would be very small according to a debt/income perspective but they don't have income information on the credit forms.

FYI no credit cards, I have a line of credit ~40K with 0$ Balance. Really just have a 200$ lease for work and my current mortgage.
April 21, 2011 1:30 p.m. AngryCorvair SuperDork

wearymicrobe wrote:

Right now they are also showing ~54K in car loans as active when I have 0 balance, plus my wifes lease which was returned two months ago. ~400$ or so a month.

surely you have the payoff letters from the lenders. show those to the mortgage guy and ask if he can give you the "preferred" rate based upon those loan payoff docs.
April 21, 2011 2:00 p.m. Strizzo SuperDork

AngryCorvair wrote:

wearymicrobe wrote:

Right now they are also showing ~54K in car loans as active when I have 0 balance, plus my wifes lease which was returned two months ago. ~400$ or so a month.

surely you have the payoff letters from the lenders. show those to the mortgage guy and ask if he can give you the "preferred" rate based upon those loan payoff docs.

this.

they should be able to give you the better rate based on more information than just your credit reports
April 21, 2011 2:05 p.m. huge-O-chavez SuperDork

wearymicrobe wrote:

OK quick question we have a offer out on a house, loan officer is saying if I can get my credit score up around 22 points I qualify for the best rates.

Go shop a good local credit union. Something sounds fishtacular about 22 points, given that each rating company has a different scheme and the value changes drastically...

Sounds like this guy is trying to sell you additional services...
April 21, 2011 2:22 p.m. BoxheadTim SuperDork

wearymicrobe wrote:

OK quick question we have a offer out on a house, loan officer is saying if I can get my credit score up around 22 points I qualify for the best rates. Its ~.8% on the rate which is a big deal given the value of the home.

They pulled my credit score. I have two auto loans and a line of credit that have been paid off ~6 months which are still showing as owed. Plus apparently I owe the city 112$ for some unknown reason from 2 years back that just showed up on my report. Plus something from ~9 year ago is still showing even though I have documentation that it was pulled and its past the 7 year limit.

Right. First thing to do before you go apply for loans for big stuff should be that you pull your credit reports yourself. You get one free shot a year on that.

Also, ask which credit bureau they're using, then go talk to the people who are holding the paid off auto loans and ask why there still showing as owed and ask them to fix this. If they're mumbling and not willing to do anything about it, you can dispute the entry on your credit record with the credit bureau, which should get the lender's attention. You can't "fix" the entries yourself IIRC (and neither can those "credit repair services", which are a scam more often than not), even by showing the pay-off documents, the credit bureau wants confirmation from the lenders. But if they don't move and you dispute the entry, it gets taken off at least temporarily.

You'll basically have to do a little legwork and talk to the various people who show up as having money owed on your report and get it sorted. There might be a reputable services that does it for you but they can't do anything you can't, either, so why give them money? And don't give them money upfront, either.
April 21, 2011 2:24 p.m. BoxheadTim SuperDork

AngryCorvair wrote:

wearymicrobe wrote:

Right now they are also showing ~54K in car loans as active when I have 0 balance, plus my wifes lease which was returned two months ago. ~400$ or so a month.

surely you have the payoff letters from the lenders. show those to the mortgage guy and ask if he can give you the "preferred" rate based upon those loan payoff docs.

IIRC there's even a federal law which states that you can specifically ask them to take additional information like on-time rent payments and on-time bill payments for those bills that don't show on your credit report (cable and stuff like that) into account when making the loan decision and they are required to do so.

Of course this information would be much more useful if I could remember what the name of the act is.
April 21, 2011 2:33 p.m. wearymicrobe Reader

AngryCorvair wrote:

wearymicrobe wrote:

Right now they are also showing ~54K in car loans as active when I have 0 balance, plus my wifes lease which was returned two months ago. ~400$ or so a month.

surely you have the payoff letters from the lenders. show those to the mortgage guy and ask if he can give you the "preferred" rate based upon those loan payoff docs.

I do and I sent them to the mortgage dude. he is going to put them in the system. It ran me ~15$ a item to have them updated with 72 hour turnaround time.

They found one other odd thing which was that I owed the state of California 112 dollars for some unknown reason. They are calling in to figure out if its a mistake or if I should just pay it. It shows as deliquant but has no 30/60 day dings on it for some reason.

The new credit scores/rules for Jumbo's are insanely high for someone like me to get to without taking on a lot of debt for a long period of time to build up the score. Plus they don't take into income which is the most ridiculous thing I have ever seen.

The debt that I had was nothing in comparison to my income but to a standard family it would seems astronomical so I keep getting dinged for that as well without context its a stupid system.