Dear Liz: You recently stated that the latest FICO credit-scoring formula, FICO 08, excludes collections under $100. Not so. My 820 credit score was recently dinged by a $65 collection. It dropped my score over 100 points and took me a lot of time to get it removed.
Answer: Not every lender uses FICO 08. When a new version of the FICO formula is rolled out, some lenders adopt it immediately while others may take month or years, or may never do so at all.
The bureaus only started offering FICO 08 to lenders this year, so it’s rather likely that many lenders will still be using the older versions to calculate your scores.