20 May My credit score just went down and I don’t know why. Help!

Q. My credit score has consistently been in the low 800s or higher, and when I just checked it was only 775 and nothing has changed that I can tell. Why did this happen?
— Concerned

A. There are plenty of reasons why your credit score may have fallen a little.

But first, it’s important to realize that a score of 775 is still high enough to get the best possible interest rates on loans and more.

Now, your credit score is a snapshot in time, and it changes a little on a regular basis. It’s a moving target.

Perhaps you had a balance on a card or two on the day this most recent snapshot was taken. On that day, you may have been using more of your available credit than usual, which affected your so-called credit utilization ratio. Even if you pay off your balance in full, it’s possible that on that particular day, the balances were higher.

Also, have you canceled a credit card recently? Or have you finished paying off a car loan? You might think removing certain accounts would be good for your score, but if you remove available credit — even for a good reason — that, too, will affect your credit utilization ratio. It also could remove an older account from your report, which may impact your length of credit history.

Even opening a new credit account can ding your score.

The most important thing you can do is make sure no one has taken out credit in your name and that no unusual accounts appear on your credit reports.
You can check your credit reports for free at AnnualCreditReport.com.

Email your questions to Ask@NJMoneyHelp.com.

This story was originally published in May 2025.

NJMoneyHelp.com presents certain general financial planning principles and advice, but should never be viewed as a substitute for obtaining advice from a personal professional advisor who understands your unique individual circumstances.