Increase Credit Score | Derogatory Marks Really Hurt Your Fico/Credit Score

Duane here with How To Build Credit TV and in this video I'm gonna talk to you about how a derogatory mark really hurts your credit score and your ability to get credit But before we get started I have a quick message

Once again my name is Duane with how to build credit TV this channel offers 100% free information about how to build credit how to get cash back actual cash money from using credit cards, as well as credit card reviews If this sounds like something in which you're interested be sure to subscribe and click the notification bells so you don't miss a thing So it turns out that derogatory marks hurt your credit score more than you might think I decided to do this video because I wanted to show you guys that when you have something that's derogatory on your account like for me for example I had I had two derogatory marks on my account and that just simply means that I had two accounts that went bad and I wasn't able to pay it So it stayed on my credit report for up to seven years okay

One of them fell off of my account and I wanted to take the time to show you just how much this affect my credit and how much you hurt my credit score So what I'm gonna do is I'm gonna show you guys a recording from my screen I'm gonna log in to one of the apps that I use to check my credit report and I'm gonna show you what the current credit score is and then I'm gonna show you when they update the credit report what the current score will be after that mark has fallen off of my account The reason why I know is because with my other account I have a Credit Karma and Credit Karma account I have a nerd Wallet account and I have a the credit wise account with Capital One and I used those three accounts to check my credit score So what happens is those account they update like every seven days and so one might be updated this Friday and then the next one's gonna be updated on Sunday and then the next one's gonna be updated on Tuesday

So it turns out that on one of my one of my account I think it's my Capital One account that's how I know that that excuse me that derogatory mark really affected my score and I wanted to just notate that and show you guys Alright so for this part of the video I'm gonna go ahead and log into my Credit Karma app if you look at the phone screen I'll have it on the I have it on the screen Today is Sunday April the 8th I think the app is going to update on Monday or Tuesday So whenever it does I'll actually make a video showing you guys just exactly how much a derogatory mark affects your credit score So I'll go ahead login to my Credit Karma app here I'll show you guys you'll have you'll have my phone screen on the screen

I'll put my fingerprint in there Alright so here we go, alright so I'm gonna click on my TransUnion report because that's the report that I noticed that it falls off of and so I'll click on that to show you guys that I do have a derogatory mark on the transunion report Alright so as you can see right there on the left that says derogatory mark 1 and I'll touch it ok so it says we notice a negative mark on your report and it talks about the fact that it takes seven to ten years to come off of your your credit report and as you can see here they have a little this is what I like about credit comment they actually have a little a little chart right that kind of shows you if you have four or more derogatory mark you'd be in the red and then you know the closer you move to zero the closer it moves to being green Derogatory marks really affect your credit score a whole lot so what I'll do is I'll go ahead and end the video for today and I'll see you guys in a second which will be Monday or Tuesday and I'll show you the updated credit score for TransUnion Alright so you guys some

Alright so today as you can see on the phone is April than nine today's Monday I'm gonna go ahead and log into my Credit Karma app I'll show you guys here hopefully you can see that well it doesn't matter I'll have my phone screen on the screen So I'll go and log in and show you guys that the derogatory mark how much it affects my credit so as you can see my score yesterday I think was 707 and it went out 47 points I mean look let me touch the transuion score here yeah it was 707 so like I said it updated Derogatory remarks really affect your credit score like a whole lot if possible try to avoid getting your account in a situation where it would go bad and go to collections and be on your credit report for up to seven years

A lot of people talk about how the effects of a derogatory account fades over time but this one just fell off of my credit report and my credit score went up by 47 points That's a lot of points and I still have another one that's gonna fall off I think in October so my credit score should go up some more Thank you for watching this video if you have any questions please leave them in the comments below be sure to like subscribe and comment Thank you again for watching until next time take care and be blessed Peace!