Need my Peers: Low CC limit hurting scores

[hazzmat1021]

About 2.5yrs ago, I made a pledge to clean up my credit history. At this moment my online EX score is 695, (myfico)TU: 668, and (myfico)EQ: 648. I found that one of the reason my scores aren't orbiting into the stratosphere is because I am being haunted by past baddies that were- since settled and awaiting the 7yr SOL. In addition, all CR agencies are stating that my low limit ($420) orchard bank CC @ 14.9% APR is also hurting my overall scores. When I first applied for this card, my limit was $300. They reward customers who diligently pay off their cards by raising the limit every so often. I've always made an effort to pay half, or in full, the amount that had been charged. I can't help but feel- it's time to move on to a card with lower APR, and a higher credit limit. But at the same time, I don"t want to hamper what I've already acomplished. I was able to pay of a car loan  17% APR (they know how to kick a person that's down). I was able to pay off a $4000 loan for a crotch rocket, and a $1992 retail credit card w/ a credit limit of $6300. I'm a military member, and USAA is offering a CC @ 8.9% APR w/o annual fees. I want to apply, but I also want to do what is right for my credit scores. I"m not one to seek uneccessary credit, I just want to improve my scores beyond the obvious- "pay your bills on time" and if this low limit card is hampering that,  I may need to close it. Seeking the advice of my peers who have-"been there, done that"

[hazzmat1021]

I forgot to add....as of now my available credit is 100%, debt-to-credit ratio-0

[Anonymous]

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hazzmat1021 wrote: 
all CR agencies are stating that my low limit ($420) orchard bank CC @ 14.9% APR is also hurting my overall scores.

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This statement is probably advice associated with a FAKO score rather than a FICO score.  You'll never see it on FICO reports, but I see it on my FAKO CCT reports for all 3 CRA's everyday.

CCT (and other sources) provide FAKO scores and FAKO comments such as the one you're referring to about low credit limits on your cards, which it's best to totally ignore.  Following FAKO advice can and will actually damage your FICO scores. 

FICO will never ding you for low credit limits on your cards.  And closing a bank card (which your Orchard is) will definitely hurt your FICO score because FICO likes to see a bank card. - it appears that Orchard is your only candidate in this category (for the time being).  I'm not familiar with USAA and don't know if it codes as a bank or a credit union.  I would definitely keep your Orchard open until you get an additional bank/national cc revolving account or card.

DH had a lovely 804 score with only one cc (an Orchard with a CL of $500)!

Keep to the FICO scores and advice - and if you do pull reports from other sources (as I do), ignore all FAKO scores AND advice.

Good luck!