I went into Regions Bank and opened a c.d. , a small one. After leaving I checked my credit score and it had fell by 75 points. I have been working on it for about 3 years and had it up to 725. This dropped me back into poor credit. What the hell happened, does anyone know. I have been back to the bank, call the numbers they gave me to inquire but get no answer. Anyone clue me in on the possibilities?

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    Opening a CD does not require a credit check. Are you sure they did it? You can check your credit and see who the inquiry is from then go from there, their contact information would be listed as well. And 75 points is unrealistic and more than a simple inquiry would ding you. Check to make sure someone hasn't reported a missed payment, or collection or something, that would hurt more. Oct 12, 2023 at 17:24

2 Answers 2


Opening a CD in and of itself should't harm your credit rating but if you provided them with application details like reduced income, that could harm your credit. Also different credit scoring systems are used for different reasons so your score that would be used in you applying for a loan at bank X could be totally different from the score you're seeing.

Also for a credit score to update right after you leave the bank, your bank must have reported something to the major credit bureaus. Or someone else did something to your credit that coincidentally got updated at that time.


It is highly unlikely that opening a CD caused your credit score to drop.

Keep in mind credit score algorithms change somewhat over time. Something may have changed in the calculation that caused your score to change. It may have nothing to do with you. One of the goals of the calculation is to prevent people from gaming the system.

For example, many years ago just opening a American Express card greatly increased your score. You didn't have to use it but by staying in good standing with the old AMEX (that had to be paid off every month) made you seem like a good risk. Never mind the fact that some people only had to pay off the annual fee. That loophole has long since closed.

For my own score I see small changes when my monthly credit card statements come out. If the statement balance is higher than last month, then my score drops. I pay off the balance every month so it shouldn't matter, but evidentially it does.

Just as an editorial comment, you are far better off buying CDs through you brokerage account. Fidelity, Vanguard, and Schwab all offer them. They most certainly offer better deals and are typically sold in $1k increments. You can pick the maturity that suits you best and it is done with a few clicks rather than going into a bank and possibly opening an account.


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