Your credit score may have dropped by 70 points because negative information, like late payments, a collection account, a foreclosure or a repossession, was added to your credit report. Credit scores are based on the contents of your credit report and are adversely impacted by derogatory marks.
You can check your credit score and find out why it changed for free at WalletHub. Also, our free simulator shows how your score will likely change due to various actions, which can help you determine the most efficient way to improve your credit.
Why Your Credit Score May Have Dropped 70 Points
- Increased balances on credit cards or lines of credit
- Missed or late payments
- Unpaid debt sent to collections
- Delinquent account charged-off
- Repossession
- Property foreclosure
- Inaccurate information on your credit report
If you have good to excellent credit, negative information will have a greater impact on your score than if your credit is already poor. Fortunately, in either case, the effect of a negative entry diminishes over time.
You can remove negative information from your credit report if it is inaccurate by filing a dispute with the three major credit bureaus. You can also check your credit report and access personalized credit-improvement tips for free here at WalletHub.
This answer was first published on 10/20/22. For the most current information about a financial product, you should always check and confirm accuracy with the offering financial institution. Editorial and user-generated content is not provided, reviewed or endorsed by any company.
