Six accounts with balances down to four with balances

[BGMWPD320]

One of the factors hurting my score was:  "You have too many credit accounts with balances."  I had six accounts that had balances so I just paid two of them off.  It says that "FICO high achievers" have an average of 3 credit accounts carrying a balance. Do you think I will see an increase in my score since I went from six accounts with a balance to four accounts with a balance?

[marty56]

What is your total util.  IMHO util weighs more than # cards.

[BGMWPD320]

My util % is still high, upper 40s.  I have four credit cards and my total credit limit is only $3200.  I purchased a laptop through Del which is why my util is so high.  I am trying to get a CLI so I can transfer that balance to another card that has a lower APR. 

Do you think I will see any change in score for having two zero balances now?

Message Edited by BGMWPD320 on 07-04-2008 05:10 PM

[Anonymous]

I have 9 accounts reporting with balances. 

6 revolving

2 installment

1 mortgage

I also have 10 revolving accounts with a zero balance.

My negatives are:

1) high revolving balances ($XX,XXX.0)

2) new account (7 months)

3) high credit usage (35%)

I wonder why you would get a message about to many accounts with balances if I didn't.  Perhaps I have "better" negative stuff on my CR and my number of "accounts with balances" would have been negative item #4.

[marty56]

I dont have a feel for how much your score would go up for reducing the # of cards reporting from 6 to 4 since I didnt really start tracking my score until last October and my util was going down along with the # of balances being reported.

I can say with 100% certainty that you would see a good score boost in getting util to 9%.  I know that could take time to do so if the BT lowers your payment and you could pay more each month, that would get you closer to your goal.

[BGMWPD320]

Phoenix, here are my four negative factors: 

1. High Credit Usage (50%, that was before I paid off two CC)

2. New Account (two months ago)

3. Short Account History (oldest 4 yrs. 7 months / average 2 years)

4. Too many accounts with balances (6 accounts, that was before I paid off two CC)

I know there isn't anything I can do about #2 or #3 so I can only "fix" #1 and #4.  I am going to call Orchard tomorrow, if they are open, and see if I can get my lousy $500 CL increased to $750 or $1000.

[smallfry]

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@BGMWPD320 wrote:

Phoenix, here are my four negative factors:

1. High Credit Usage (50%, that was before I paid off two CC)

2. New Account (two months ago)

3. Short Account History (oldest 4 yrs. 7 months / average 2 years)

4. Too many accounts with balances (6 accounts, that was before I paid off two CC)

I know there isn't anything I can do about #2 or #3 so I can only "fix" #1 and #4. I am going to call Orchard tomorrow, if they are open, and see if I can get my lousy $500 CL increased to $750 or $1000.

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I know you got dinged for a new account BUT with only $3200 available it is going to be an uphill battle every month to keep utilization low. Why not go for a high quality CU CC if your income is decent? This will bring your utilization down and give you a few more options. Relying on the likes of Orchard isn't something I would want to be doing.

[BGMWPD320]

Which CC would you recommend?  I know I need something with a higher CL so it will help with my util.  You can see me FICO scores in my sig. 

[Anonymous]

Do you have a BofA card yet?  That's the next card that DH plans to get.

[marty56]

National City Visa.  They pull TU in Texas.