01-30-2013 07:52 AM
Hello board, I currently have a fico score of 587 eq and 581 tu. Using the estimator, i can bring these scores up about 65 points by paying cc debt. Now I am desperatly in the need for a new car. ONly problem is I still owe about 4500 on my current vehicle(which has a blown motor now). WIll paying off the current loan or cc to help raise my scores best help me get a new car loan? Or should I pay half and half on both? Thanks for any advice in advance...
01-30-2013 08:35 AM - edited 01-30-2013 08:36 AM
What I have been told by many loan officers and car finance people is that CC utilization is a killer. Deal with that first.
If you get your utilization down you will actually (as long as your income is OK and you have no collections/judgements/etc) qualify for a 2nd auto loan. So you will have something to drive while you figure out what to do with the other car.
With a ~580 score I was able to buy a brand new Mazda 3 even though I already had an open loan for a much more expensive car.
01-30-2013 06:54 PM
01-31-2013 11:28 AM
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