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Established Contributor
Posts: 1,006
Registered: ‎09-16-2012
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Balance transfer on CC?

So I splurged a little bit with a trip to Florida with my new found credit cards and CL's.  10yrs. of rebuilding and no credit will make it easy to reward yourself after a long, hard fought battle.

 

I've about $70K in available credit reporting, with utilization about $7500 in balances among 7 of the 13 CC accounts that I have.

Would it be best to transfer balances to 1 or 2 cards that have a $15K CL and $10K CL or leave them be and just pay them off, which will happen in the next few months.

As far as score is concerned, more accounts reporting $0 balances is better than 2 accounts reporting 25%-30% utilization, or is it? 

 

I ask this because I just would like to see my score go back up as quickly as possible.  I went from 745 EQ to 705 in a matter of a month-ish, due to AAoA, new credit, and balances reporting.  I, of course,  was prepared for the drop in points, but like most of us, I still don't like it. lol.

Frequent Contributor
Posts: 371
Registered: ‎12-30-2012
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Re: Balance transfer on CC?

doing a lot of shuffling is opening up potential to make late payments and whatnot. I prefer not to do that. Shuffling cards wont really make your score go up too much I dont think unless you are maxed out on some cards. Your overall util is still the same until you pay them down. Then you will see a score increase. 


CSP-$8700, Amex BCE-17.2k, Chase Freedom-$5700
Discover It-$6600, USAA MC-$5900 Ink Bold- $18k
EQ-742 EX-702 TU-737
Established Contributor
Posts: 1,006
Registered: ‎09-16-2012
0

Re: Balance transfer on CC?

[ Edited ]

I had a 6 pt drop in score a few months ago because a single account reported a $28 balance.  That's why I think, and from my experience and what I've researched, that having $0 balances on 85% of my accounts is better than having 50% of my accounts reporting balances, although overall utilization is the same.

Is that not correct thinking, or fact?

 

No cards over 25% utilization.  I have  (2) $15k accounts, (2) $10k accounts, (1) $6k account, (1) $5k account etc....the $7500 in account balances are among those accounts.

 

Also, putting my balances on 2 cards will make it easier to manange than managing 7 or 8 accounts with balances?  Not sure how consolidating balances to fewer cards makes paying your bills on time more difficult?

Frequent Contributor
Posts: 371
Registered: ‎12-30-2012
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Re: Balance transfer on CC?

Im saying because transfers take a couple of weeks to process. I have had the same ding for one extra balance reporting a $44 balance as well.  It just seems like a lot of hassle and juggling for 6 points. The real points makeup is the util. I thought about this when I had three cards with balances. I just decided to pay them off as fast I could. Theres no reason to take extra steps to coax my score up a few points when I wasnt going to apply for more credit anyway. It gave me a goal and a drive to pay it off as fast as I could. While I do not have the credit limits or debts and probably so the income you have, $2200 in 3 months was not too easy for me and now I get to see the fruits of my labor next month when my zero balances report for the first time. 


CSP-$8700, Amex BCE-17.2k, Chase Freedom-$5700
Discover It-$6600, USAA MC-$5900 Ink Bold- $18k
EQ-742 EX-702 TU-737
Established Contributor
Posts: 1,006
Registered: ‎09-16-2012
0

Re: Balance transfer on CC?

I guess balance transfer was the wrong wording. I would just pay off the credit cards with other credit cards. Thus doing balance transfers so to speak. Interest rates are 0% or very low.

Not trying to gain 6 points, more like 20-25 to get above 720 comfortably.
Established Contributor
Posts: 1,006
Registered: ‎09-16-2012
0

Re: Balance transfer on CC?

.....and my utiliz is about 10% currently, so that shouldn't be hurting my score much , if at all.
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