credit score dropped by 77 in one month!!

mawk86 · 7 February 2018 at 3:53PM

I checked my credit score in July last year and I was 'fair', I've just checked today and I am now on the low side of 'poor', and it says that I have gone down 77 points this month!!!

I have joined the MSE Credit Club and it says I have no credit searches that will have impacted my score, as I wondered if it was because I had just renewed my insurance and paid monthly. I have not spent on my credit cards since July 2017 and have direct debits set up for them and my other bills. I have used my agreed overdraft on a couple of occasions but it's my understanding that this will not affect my credit score?

I'm at a bit of a loss as to how my credit score has gone down so much, is there any way I can find out how this has happened?

[Deleted User] · 7 February 2018 at 4:00PM

The score is fictional - it's just a marketing gimmick. Ignore it.

Try not to use your overdraft if you can help it.

mawk86 · 7 February 2018 at 4:11PM

Ah right!! Thanks you, I was worried that this might prevent me from getting car finance later in the year.

[Deleted User] · 7 February 2018 at 4:12PM

Only your credit history and the lenders' criteria can do that.

Manage your credit responsibly and let the magic number do what it wants.

Shakin_Steve · 7 February 2018 at 8:58PM

mawk86 wrote: »

I checked my credit score in July last year and I was 'fair', I've just checked today and I am now on the low side of 'poor', and it says that I have gone down 77 points this month!!!

I have joined the MSE Credit Club and it says I have no credit searches that will have impacted my score, as I wondered if it was because I had just renewed my insurance and paid monthly. I have not spent on my credit cards since July 2017 and have direct debits set up for them and my other bills. I have used my agreed overdraft on a couple of occasions but it's my understanding that this will not affect my credit score?

I'm at a bit of a loss as to how my credit score has gone down so much, is there any way I can find out how this has happened?

Yes, your insurance policy paid in instalments is a new credit agreement.

dazzaofdagenham · 7 February 2018 at 9:34PM

Over the past year I have monitored my ‘credit score’ with noodle and it sways from 550<>675

This is dispite a

A CCJ coming off
2 x default falling off
Down to 3 credit cards now, with minimal balances on each ...always paying more than the minimum
No other hiccups showing on the file

Yet noodle still has me as poor....

The score can only be described as fictional and bears no relation to a persons financeial point in time

Candyapple · 8 February 2018 at 1:00PM

And a fun thread to see how pitiful the differences are between the bands:
http://forums.moneysavingexpert.com/showthread.php?t=5584855

seatbeltnoob · 8 February 2018 at 2:36PM

someone paying their car insurance in instalments must be a bad credit indicator surely. Some of their rates are payday loan levels.

My car insurers premium was £1200 when i first started driving, asked about pay monthly option and the total would have been £1800. I said no thanks and paid in full.

Assuming most car insurance payments have high rates like this, I would imagine that it would be a bad credit indicator for you to take that offer.

mawk86 · 8 February 2018 at 3:28PM

Oh gosh that is quite a difference!! The difference between my annual and monthly payment is £38.61 over the year.

Shakin_Steve · 8 February 2018 at 3:32PM

I paid in full last year with LV=, but the chap on the phone said I could pay monthly and it would be exactly the same price.
In April I've got car insurance x2, home insurance, sons 3rd uni accommodation payment (£1800:eek:) and my car needs a service and MOT. I might just take them up on it.

Fireflyaway · 10 February 2018 at 10:45AM

I've stopped checking my score. It was up and down all the time. I am worried because I want a mortgage but the score thing seems ridiculous.

credit score dropped by 77 in one month!!

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