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Why does credit score go down even though I pay on time and in full?

I wanted to build my credit up so i got my first credit card through capital one in May of 2014. However, there have been some issues as of late.

I check the credit tracker after my due date has passed and, even though I pay my balance on time and in full I notice my score keeps fluctuating down. It went up to 708, then down to 698, then 701, now 700. Also twice it has said I owe capital one (38.00) then now $8.00 even though I pay my balances before my due date with is the 7th of every month. I thought as long as you pay in full by your due date that your score goes up. So I don’t understand why my score keeps going down, and why sometimes on the credit tracker it says I owe money when I’ve long since paid it before my due date.

I've talked to capital one and they said they don't deal with credit scores. So I called trans-union and they say you can't dispute a score so I don't know what to do. I got a credit card pacifically to raise my score, and now it's acting weird even though I paying full and on time. I don't know what to do on my end since I thought I was doing everything right in the first place.

Also I must be doing the right thing by the credit card because after 6 months my credit line went up from 200 to 500. So if i'm doing something wrong why reward me?


You might need to increase your limit. They look at the ratio of available credit to loan balance, among other things.

A plan to raise your credit score in 2016

Clark Howard is an excellent resource for consumer information.



Here's a good one:

7 Fast Ways to Raise Your Credit Score


Because the banks use algorithms that make no rational sense when they calculate your debt levels and other stuff like that?


OP was fixated on Capital One and its credit card as the sole driver of the credit score. The bank had already replied that the credit score is a tool it uses, but it neither makes nor maintains.

Other (monthly) bills can affect the score.

And as you wrote, there is an algorithm that takes into account whether one is capable of taking on a larger debt-load and still pay more than the 'minimum' required.


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Well to be fair to the OP there are other random factors that YOU CAN'T CONTROL that affect your credit score.

For instance -- they actually calculate your credit score based your neighborhood, crime rates in your neighborhood, your eating habits(which they derive from debit card purchases that banks pool in data mining databases), insurance premiums, insurance company risk profiles(they also buy data about what you buy with your debit cards or grocery store discount cards) -- and there are other things -- like for instance in my state insurance premiums are going up by a fifth in a single year because so many people are uninsured.

The insurance companies penalize law abiding responsible people for the f-ck ups of others.

Your credit rating is based on a lot of weird, arbitrary things like that. Crime rate in your city, what region you live in, insurance premiums, general salary rates and tax rates in your area - etc.

His thesis that its something you can't really control is I'd say 50% or more factual. The idea that "you can do something" is stupid. The system is rigged against you -- and the banks aren't your fcking friends. They want to make cash off of you -- and that's the extent of your relationship with them.


None of that stuff has anything to do with your credit scores (the OP is talking about what's known as bankcard scores). You're thinking of the insurance score, which is different.

You have different scores for different types of transactions. Mortgages, car loans, insurance, etc. The factors that go into determining those scores have nothing to do with the scores used for credit cards.

Bankcard scores take into account how much credit you have, how much of it you're using, what types of credit you use, how long you've been using credit, your payment history, and how often you apply for credit. Your neighborhood, crime rates, purchasing habits and even income are not used to compute credit scores. Your income is used by creditors to determine how much credit to give you, but it's not used to compute credit scores.

What you've posted here, though it's popularly believed (like "I've been paying into unemployment my whole life!" when employees don't pay into unemployment... employers do), is misinformation.