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Valued Contributor
tcbofade
Posts: 2,328
Registered: ‎09-26-2011
0

New tactic?

OK, as some of you know, I've got a LOT of credit cards.

 

Some are maxed out, some are at zero, most are somewhere in the middle.

 

My overall utilization has been as high as 80% plus, and I've spent most of 2012 trying to reduce both my over all utilization and my number of accounts with balances....

 

Currently, I'm at 62.4% overall utilization, and have ten open accounts with zero balances. 

 

My scores have gone up and down this year, no real progress... (or loss, thank heavens...)

 

I also have "some number" of credit card accounts currently showing more than 90% utilization.

 

I have no baddies on any of my three cr's, and any and all of the "credit score information" sites point out having "some number" of cards over 90% as the largest negative factor effecting my credit score.

 

I just put pen to paper and discovered that I can have ZERO accounts reporting over 90% util by 01 February.

 

Do you think that will give me a noticeable score boost, or am I just spinning my wheels in a different direction?

 

Everyone's thoughts and opinions are appreciated, y'all be nice (to me, and to eachother) and put your two cents in...please.  :smileyhappy:



Current Scores: EX 671 (FCR) TU08: 638 Wally (TU08).10/11//14 Last app 05/29/2014.
Being held hostage in the garden until 01 November 2014.

Zero percent financing is where the devil lives...
Frequent Contributor
newportguy
Posts: 351
Registered: ‎11-11-2012
0

Re: New tactic?


tcbofade wrote:

OK, as some of you know, I've got a LOT of credit cards.

 

Some are maxed out, some are at zero, most are somewhere in the middle.

 

My overall utilization has been as high as 80% plus, and I've spent most of 2012 trying to reduce both my over all utilization and my number of accounts with balances....

 

Currently, I'm at 62.4% overall utilization, and have ten open accounts with zero balances. 

 

My scores have gone up and down this year, no real progress... (or loss, thank heavens...)

 

I also have "some number" of credit card accounts currently showing more than 90% utilization.

 

I have no baddies on any of my three cr's, and any and all of the "credit score information" sites point out having "some number" of cards over 90% as the largest negative factor effecting my credit score.

 

I just put pen to paper and discovered that I can have ZERO accounts reporting over 90% util by 01 February.

 

Do you think that will give me a noticeable score boost, or am I just spinning my wheels in a different direction?

 

Everyone's thoughts and opinions are appreciated, y'all be nice (to me, and to eachother) and put your two cents in...please.  :smileyhappy:



Get this down to 1%, and  i see your score going up 60 points


Current Score: myFico EQ - 794 ( 11/ 29/2012 ) amexFico EX - 787 (10/15/2012) myFico TU - 780 (11/29/2012) Credit Sesame - 809 (02/04/2013) Goal Score * 800 Club *
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Established Contributor
flowfaster
Posts: 787
Registered: ‎08-30-2011
0

Re: New tactic?

I would focus less on your Fico score and more on APRs.  What kind of APRs are we talking about here?  Seriously, unless you are planning a big purchase I would try for a 0% card for 15-18 months.  Look at the Chase Slate.

 

But to answer your question, Yes.  Your Fico will continue to rise until your Util hits >9% on 1 card YMMV.  Different scoring models weigh this differently. 

 

 

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Valued Contributor
tcbofade
Posts: 2,328
Registered: ‎09-26-2011
0

Re: New tactic?


flowfaster wrote:

I would focus less on your Fico score and more on APRs.  What kind of APRs are we talking about here?  Seriously, unless you are planning a big purchase I would try for a 0% card for 15-18 months.  Look at the Chase Slate.

 

But to answer your question, Yes.  Your Fico will continue to rise until your Util hits >9% on 1 card YMMV.  Different scoring models weigh this differently. 

 

 


APR's vary widely....several are zero percent...a few are over 20%, most are somewhere in the teens.

 

I don't qualify for Chase Slate yet... TU FICO (via wallymart) currently 642.  (EX FAKO 670).

 

I need to improve my score to qualify for the "better" cards with lower rates...

 

I am hoping that having zero cards reporting over 90% will result in a 20something point rise in my FICO score...

 



Current Scores: EX 671 (FCR) TU08: 638 Wally (TU08).10/11//14 Last app 05/29/2014.
Being held hostage in the garden until 01 November 2014.

Zero percent financing is where the devil lives...
Valued Contributor
tcbofade
Posts: 2,328
Registered: ‎09-26-2011
0

Re: New tactic?


newportguy wrote:



Get this down to 1%, and  i see your score going up 60 points


 

I'm sure that you're correct, but that isn't an option for me right now.  :smileytongue:



Current Scores: EX 671 (FCR) TU08: 638 Wally (TU08).10/11//14 Last app 05/29/2014.
Being held hostage in the garden until 01 November 2014.

Zero percent financing is where the devil lives...
Established Contributor
Cdnewmanpac
Posts: 767
Registered: ‎01-16-2012
0

Re: New tactic?

To no longer be considered"maxed out" by fico, you need to get every card below 80%, not 90%. also, if it will really take until February to pay your cards below 90%, you should stop reading this forum, stop worrying about getting "better" cards and focus on paying down your debt. The only thing you should be thinking about beyond that is whether a consolidation loan might help you in getting your debt safely under control (and taking utilization out of the equation).

In wallet: Ink Plus 10k, AMEX TE 25k. In bag: CSP 16k, USAA WMC 15k, Hyatt 13k, United MPE 12k, AMEX HHonors 3k. In SD: Cap 1 QS 5k, Discover IT 7k. FICO 08 says my EQ is now 844, was 510 in 2010.
Valued Contributor
SnackTrader
Posts: 1,566
Registered: ‎09-15-2012
0

Re: New tactic?

I suppose if your score is the most important thing to you, reducing all balances to under 90% might have an impact.  But I question whether or not that impact will be any greater than if you just apply that same amount of money on the highest APR card, thus still bringing down your total util, and saving you money on interest.

 

My money would all go to the highest interest if I was in your situation (and I sort of am, $60k in student loan debt :/).


In My Wallet: Amex BCP (12/12) $22.200, Cap1 Quicksilver (6/12) $14,000, Chase CSP (4/14) $12,000, Barclaycard Rewards (5/13) $10,500, Citi Forward (12/12) $9,600, Chase Freedom (12/12) $5,000

Last App: April 2, 2014
Valued Contributor
creditnocash
Posts: 2,255
Registered: ‎07-23-2012
0

Re: New tactic?

do you own a home? if you did id suggest a home equity. 

interest is only as low as 2.99 percent 

(obviously wouldnt touch the 0%) 

 

but seriously. 

 

depending on your limits/debt that could take years to pay off. 

not to be a bummer but id suggest pyramiding for you. 

starting with the highest apr. 

Current: Discover Fico 701 10/14 Walmart Fico 689 9/14

Inquiries (24 Months): EQ 3 TU 0 EX 0 | Most Recent: 09/26/2014


2014 Goals:
Lower Utility
47%(OUCH!!)
Freedom Signature

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Chase Freedom$1500
Discover IT$2900
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Frequent Contributor
pdog661
Posts: 377
Registered: ‎03-31-2012
0

Re: New tactic?

If you are not planning any major credit involved purchases in the near future do not worry about your credit score.

 

Worry about how to savings thousands in interest by paying smart and getting out of debit.  Moving from a 64 to a 9 % UTL will offer you a huge boost to your score, but not doing this smartly may cost you a large sum in interest.

 

Get into excel and list all accounts by APR, and balance.  Figure out your budget.  Pay all high APRs first, and then once you pay of one high APR snowball the payment you were paying on that APR onto the next highest APR.  Your debit will disappear rapidly. 

 

 

Senior Contributor
youngandcreditwrthy
Posts: 6,242
Registered: ‎08-16-2012
0

Re: New tactic?

Need to get it at around 10%.

Some ideas:
A) xfer high rate bals to a prime card (need a 680 fico most likely)
B) pay down debt more quickly
C) request clis on all accounts with sps only

Obviously, you don't have to pick one of the above... They all kinda work together!
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