HELP - Which Should I pay HELC or CC Debt

[Teardrop]

I'm looking to apply for a VA home loan in the near future (I wanted it to be now but I have a low score and I have 2 serious baddies hurting me) .  My question is which should I pay off?

All my potential debts.  No car payment or anything else.  

1.  USAA HELC - bal approx $16K

2.  USAA AMEX - bal approx $3300/ CL $10000

3.  Discover - $63/ CL $5800

4.  Capital One - $0/CL $2500

5.  M&T Bank - Current Mortgage payments are $1228/balance of $171K

(I just started using the Discover card and will use the Capital One card to try and help increase my scores.  I had the cards previously but was not using them.  I have not and have no plans to apply for any new credit since I can't get it anyway.)

I was thinking paying off the HELC since I would be selling my current home before buying the new home, but should I be concerned with my utilization on the CC?  I currently am able to pay upwards of $4K a month towards my HELC.  I've been using the CC for upgrading and repairs to my current home as I prepare to put it on the market.

I thought I read somewhere that any profit I make from the sale would be used to pay off the HELC but it would definitely have to be paid before the house could sell/close.  I am thinking of putting my current home on the market at the beginning of May or mid-May.  Most homes in my area have been selling around 30 days.

I also am thinking of entering VA United's Lighthouse program because I have a few baddies (found theses as a result of the lender pull) &I need to increase my credit score:

1.  I have 2 Ocwen 2nd trust loans (these were investment properties) -  foreclosed in 2008 and is still showing as Open.  Due to go in a positive status in Nov/Dec 2014

2.  2 home loans showing as Foreclosed in 2008.  Due to go to a positive status in Feb 2015.

3.  USAA Auto Loan - 1-30 day late (12/09) - I have sent a GW Letter and they replied they will respond in 30 days

4.  SLC - 4 accounts have 2-30 day late payments (2-3/10) - I have sent 2 GW letters with no response

Also should I just wait to apply for a loan or even wait to get any help with my credit until those Open loans fall off?  I've tried disputing the 2 Open loans just asking that they closed them but they won't bulge.  I have an investigation opened with CFPB citing GA SOL laws hoping that they will force the OC to just close them.  The OC is not only showing them as Open, but I'm getting 120 late hits every month.  As well as the OC keeps transferring the debt in house so it looks like new derogatory accounts every few months.  At least that's what the CR states that was pulled by a lender.

Any thoughts, suggestions would be most helpful.

[TurboFX]

Pay off the CC. Your heloc will be paid off when you sell the house.

[TurboFX]

VA loans might not be as credit sensitive seeing as those bad items are old. You could try applying now and if the terms are favorable then go for it. If not then wait until the items drop off your credit.