Removed as an AU on a maxed out credit card.

[Anonymous]

Hello all, I posted in the rebuilding thread about what I should do because I was an AU on a maxed out card which was killing my debt to credit available.

I had that removed to get rid of that balance, my worry now is that I dont have enough accounts or enough credit available.

With that gone I only have 3 open accounts:

Amazon Card - $800 limit with a $250 balance

Peebles Card - $100 limit with a $0 balance

Used Auto Loan - 1/2 paid off

So with only $900 in available credit, I'm worried taking that maxed out AU cap one card may damage my credit?

The AU card had a $3500 limit carrying a $2600 balance, none of which charged by me.

Is decreasing my utillization helping more than having very little credit available hurts?

At the risk of sounding like the usual yuppie with bad credit that wants a magical fix .... I am saving up for a house and only have about two months before I will have enough for a down payment, so I would hate to apply for more credit before applying for a mortgage. I can be patient but just dont wanna be 

My EQ according to myFICO is 620

[TheGardner]

You should be fine, should. What is lowering your score? Any baddies? What's your current utilization?

With that low of a score, something is holding you down that should be addressed before worrying about other credit to get a mortgage. There are plenty of posters with 1 credit card (you have 2 store cards?) that have over 720 scores with a thin file and just the 1 line reporting.

If you want another card, apply for a capital one card I think you will be able to get one, depending on what baddies you have.

Good luck!

[Anonymous]

Thanks for the reply I have a few missed payments the worse being 90 days in 2011 and 60 days in Feb '14 no collections no public records and 4 inquiries, I had two closed accts in 2014 one card was closed (the one with a 60 day late) because I fell behind but has since been paid off for year now and the other just because I simply never used it in 4 years.

My score was once 715 in 2013 but all that stuff happened between then and now, so I attest those baddies in such a short amount of time to be causing my score to reside in the basement for months with no changes.

As of right now my report states 4400 credit availability with 3392 being utilized

But since I removed the au and paid down a lot of debt I should now be reporting:

900 available credit with 250 being utilized
( this hasn't shown up on any reports as of dec. 30 because these moves I made are very recent )

[takeshi74]

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@Anonymous wrote:

I had that removed to get rid of that balance, my worry now is that I dont have enough accounts or enough credit available.

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A number of scoring models and creditors don't even consider accounts where you're an AU so you need to build your own tradelines anyway.

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@Anonymous wrote:

Is decreasing my utillization helping more than having very little credit available hurts?

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Tough to say for certain but utilization is the second biggest factor below:

http://www.myfico.com/crediteducation/whatsinyourscore.aspx

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@Anonymous wrote:

At the risk of sounding like the usual yuppie with bad credit that wants a magical fix .... I am saving up for a house and only have about two months before I will have enough for a down payment, so I would hate to apply for more credit before applying for a mortgage.

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General advice is no new credit 6 months to 1 year prior to a mortgage.  It's a bit late at this point.