Surely the drop in credit score is attributed to opening a load of accounts in a short space of time - it's something that people generally do when they're desperate for credit so is used as an indicator.
It was around 620 by the time I got around to opening new cards.
I think the crash was mainly due to the length of my average active credit history going from 10 years to 0 years, as I really did only use Chase credit cards.
It would have crashed from having a credit limit, number of lines of credit, and age of credit of 0 since all of the accounts were closed.
If I remember correctly all hard inquiries that happen within a 30 day window get bundled together on your credit report. This allows people to shop around for credit cards when opening a new one without killing your credit score. So opening all of the new cards would have added a hard inquiry but it would have caused the number of lines of credit and average age of credit to start increasing thereby causing the credit score to start rising from the score when all of the accounts were terminated.
ic4l|4 years ago
It was around 620 by the time I got around to opening new cards.
I think the crash was mainly due to the length of my average active credit history going from 10 years to 0 years, as I really did only use Chase credit cards.
fedorareis|4 years ago
If I remember correctly all hard inquiries that happen within a 30 day window get bundled together on your credit report. This allows people to shop around for credit cards when opening a new one without killing your credit score. So opening all of the new cards would have added a hard inquiry but it would have caused the number of lines of credit and average age of credit to start increasing thereby causing the credit score to start rising from the score when all of the accounts were terminated.