@Anonymous wrote:
I've established about 50K in CCs since I began rebuilding last year. Most recently 16K from Synch (Ebates/Stash).
We have some debts to pay, medical stuff. Currently we pay two collection agencies (one reporting) and two doctor's offices directly. It's not much, probably 4 grand total.
If I put these things on a card or two, to get them away from the "debtor" world, besides meeting spend and such, are my creditors going to freak out? Obviously my AAoA is low since I got my first credit card last February (300$ Cap one that started it all).
I have high income, no real debt besides this stuff and a car loan, and only the one medical reporting as a derog. On top of that my current utilization is around 2%.
I read a lot of stories about AA here, so it does make me nervous, since I have such a short history, but at the same time I wouldn't be maxing anything out (Or heck, even getting to 50% utilization on any one card). Total utilization would still be under 10-15%, and it would only be for a few months.
I feel like I know the answer to this, I'm just looking for "You go girl" or "careful".
I would pay off all the bad debt and get it over with. Stay out of the collection world as much as you can.
You may pay a little interest but i would rather be making payments to my cc's than a collection agency.
Spread the debt among your cards in relevance to your credit limits. Don't freak out about utilization unless you are about to apply for a mortgage or such very soon.
Once you take the time to pay your "good debt" down, you may even get some auto cli's.
Put the numbers together and see if you can pay off your cc's in 6 moths, which is about when most cc companies give you an auto cli.
That may even work in your favor after all. They give you the credit, make use of it.
