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Best option for utilization

Regular Contributor

Best option for utilization

In a nutshell:

What is the best method for decreasing utilization on my Chase Rewards? I am paying around $450 per month to knock it down as quick as possible

 

Chase Visa 9100/ 10,000 CL; 9.9 APR

 

Barclays 0/ 4500; 0% BT option for ??, then 9.9%

USAA 0/ 6000 22% APR; APR is too high, so BT is not an option

Discover It 0/ 3500;  BT option 0% for 16 mo. 

Bank of America 0/ 10,000; BT option 0% for 16 mo.

 

I would appreciate any help in obtaining information to make my utilization optimal for increased scoring. Currently I am at 728. AAoA- 6 years. Barclays, USAA, Discover It and BoA are all new accounts.

Capital One Venture- $30,000, CSP- $29,500, PenFed Promise Visa- $26,000, NASA Federal Credit Union Platinum Visa- $25,000, NASA Federal Credit Union PLOC- $25,000, Amex BCE- 23,500, Merrill +- $23,000, Western Federal Credit Union PLOC- $20,000, OCCU Platinum Visa- $20,000, Randolph Brooks Federal Credit UnionPlatinum Visa- $20,000, Security Service Federal Credit Union PLOC- $20,000, Security Service Federal Credit Union MasterCard- $15,000, Allied Credit Union Visa- $15,0000, BBVA NBA Amex $15,000, Houston Police Federal Credit Union Platinum Visa- $15,000, Amex PRG NPSL, Discover IT- $14,300, DCU Platinum Visa- $10,000, Smart Financial CU Platinum MC- $10,000, Citi Hilton Honors Visa- $7500, USAA Platinum Visa- $7000, GEMB/Dillard's-$7500.00, GEMB/JCP-$10,000
Message 1 of 29
28 REPLIES
Senior Contributor

Re: Best option for utilization

What an interesting question.  Here's my .02 and why.

 

Transfer $4,500 to B of A.  (45% util on that card.)

Transfer $2,500 to Discover (71% on that card.)

Transfer $2100 to Barclays (47% on that card.)

 

Your overall utilization won't change at all, of course, but if you do that, you'll have two cards reporting at zero utilization (USAA and Chase Visa) and NO cards maxed out.  (both of which REALLY affect your scores...ask me how I know...  Smiley Tongue )

 

Then, pay $100 per month to B of A and Barclays (each) and send $250 to Discover until you get it's utilization under 50 %.

 

Then you re do your math based on how long which zero interest deal lasts.  Good luck!



Zero percent financing is where the devil lives...

10/01/17 Fico8 scores: EX 660, EQ 647, TU 663
Message 2 of 29
Regular Contributor

Re: Best option for utilization

My .02 and a clever way to approach this.

 

1. Transfer entire Chase balance to your 0& BofA.

2. Check your reports for when Chase and BofA report to the bureaus.

3. You should time the balance transfer to show Chase with a zero balance and BofA with a zero balance (meaning BofA has not updated yet)

4. Apply for 2 cards or so to keep your UTIL down ... hoping for a 10k limit to match the other cards.

5. Pay away at your 0% interest :-)



FICO: EX 662 | EQ 670 | TU 681
Message 3 of 29
Regular Contributor

Re: Best option for utilization

Thank you blk8 and fade. That is the kind of outside of the box thinking I was looking for. The latter is particularly interesting, but unfortunatley the new TLs have come at the expense of inquiries. Additionally, I am a noob, so figuring out when cc's report would be challenging. I also do not know what my APR will be for BoA after the introductory 0% period. I could get screwed if it is high.

Capital One Venture- $30,000, CSP- $29,500, PenFed Promise Visa- $26,000, NASA Federal Credit Union Platinum Visa- $25,000, NASA Federal Credit Union PLOC- $25,000, Amex BCE- 23,500, Merrill +- $23,000, Western Federal Credit Union PLOC- $20,000, OCCU Platinum Visa- $20,000, Randolph Brooks Federal Credit UnionPlatinum Visa- $20,000, Security Service Federal Credit Union PLOC- $20,000, Security Service Federal Credit Union MasterCard- $15,000, Allied Credit Union Visa- $15,0000, BBVA NBA Amex $15,000, Houston Police Federal Credit Union Platinum Visa- $15,000, Amex PRG NPSL, Discover IT- $14,300, DCU Platinum Visa- $10,000, Smart Financial CU Platinum MC- $10,000, Citi Hilton Honors Visa- $7500, USAA Platinum Visa- $7000, GEMB/Dillard's-$7500.00, GEMB/JCP-$10,000
Message 4 of 29
Regular Contributor

Re: Best option for utilization

tcbofade

Is it not better to have 4 TL's reporting with 0 balance and one biggie balance? Just asking?

Capital One Venture- $30,000, CSP- $29,500, PenFed Promise Visa- $26,000, NASA Federal Credit Union Platinum Visa- $25,000, NASA Federal Credit Union PLOC- $25,000, Amex BCE- 23,500, Merrill +- $23,000, Western Federal Credit Union PLOC- $20,000, OCCU Platinum Visa- $20,000, Randolph Brooks Federal Credit UnionPlatinum Visa- $20,000, Security Service Federal Credit Union PLOC- $20,000, Security Service Federal Credit Union MasterCard- $15,000, Allied Credit Union Visa- $15,0000, BBVA NBA Amex $15,000, Houston Police Federal Credit Union Platinum Visa- $15,000, Amex PRG NPSL, Discover IT- $14,300, DCU Platinum Visa- $10,000, Smart Financial CU Platinum MC- $10,000, Citi Hilton Honors Visa- $7500, USAA Platinum Visa- $7000, GEMB/Dillard's-$7500.00, GEMB/JCP-$10,000
Message 5 of 29
Established Contributor

Re: Best option for utilization

Well played BLK8!

 

Hopefully, the OP's balance reporting intervals can make that happen easily.

Start (Sept 2011): low-mid 600s. NOW: TU FICO: 801, EQ FICO 808, EX FICO 798 (PSECU). Goal: Achieved! Now Maintain!
Message 6 of 29
Established Contributor

Re: Best option for utilization

OP,

 

My two cents to add onto what blk8 said and your response to it. 

 

It's not hard to figure out your reporting date. It's usually the date that your monthly cycle closes.....with very few exceptions (and I know Chase isn't one of them....I doubt BoA is either but I can't say for sure.)

 

The real trickiness is when the CRs update. In my experience, EX is almost immediate while EQ lags a day or so later and TU a day or so later still. 

 

So, to be safe, you need access to all three bureaus with daily updates. That's easy as a paid service with freecreditreport.com (EX) and equifax.com. TU's only free way, Credit Karma, no longer has unlimited daily updating. Whenever you update, you have to wait a week for another update. But believe me when I say that EX is usually first to update. I have seen it many times. If you get a subscription to freecreditreport.com, you can check daily the day after your monthly cycle closes and figure 2-3 days and it will be updated on the others as well. 

 

Hopefully, your BoA and Chase statement dates are far enough apart to allow some wiggle room in between. Check them out and let us know. If they are too close together, you'll need to call one of them and move the monthly cycle closing date ahead to accomodate enough room to work with.

 

You CAN do it. 

Start (Sept 2011): low-mid 600s. NOW: TU FICO: 801, EQ FICO 808, EX FICO 798 (PSECU). Goal: Achieved! Now Maintain!
Message 7 of 29
Valued Contributor

Re: Best option for utilization

Do you want to save the most money and pay it off the quickest of have the highest score while your paying down at the cost of paying more in interest?

Message 8 of 29
Regular Contributor

Re: Best option for utilization

High scores trumps a quick pay off. You "get it".
Capital One Venture- $30,000, CSP- $29,500, PenFed Promise Visa- $26,000, NASA Federal Credit Union Platinum Visa- $25,000, NASA Federal Credit Union PLOC- $25,000, Amex BCE- 23,500, Merrill +- $23,000, Western Federal Credit Union PLOC- $20,000, OCCU Platinum Visa- $20,000, Randolph Brooks Federal Credit UnionPlatinum Visa- $20,000, Security Service Federal Credit Union PLOC- $20,000, Security Service Federal Credit Union MasterCard- $15,000, Allied Credit Union Visa- $15,0000, BBVA NBA Amex $15,000, Houston Police Federal Credit Union Platinum Visa- $15,000, Amex PRG NPSL, Discover IT- $14,300, DCU Platinum Visa- $10,000, Smart Financial CU Platinum MC- $10,000, Citi Hilton Honors Visa- $7500, USAA Platinum Visa- $7000, GEMB/Dillard's-$7500.00, GEMB/JCP-$10,000
Message 9 of 29
Mega Contributor

Re: Best option for utilization


tcbofade wrote:

What an interesting question.  Here's my .02 and why.

 

Transfer $4,500 to B of A.  (45% util on that card.)

Transfer $2,500 to Discover (71% on that card.)

Transfer $2100 to Barclays (47% on that card.)

 

Your overall utilization won't change at all, of course, but if you do that, you'll have two cards reporting at zero utilization (USAA and Chase Visa) and NO cards maxed out.  (both of which REALLY affect your scores...ask me how I know...  Smiley Tongue )

 

Then, pay $100 per month to B of A and Barclays (each) and send $250 to Discover until you get it's utilization under 50 %.

 

Then you re do your math based on how long which zero interest deal lasts.  Good luck!


I like this approach!!! Smiley Happy




EQ FICO 548 3/3/16
Message 10 of 29