Balance Chased - to PIF or not to PIF

[Anonymous]

From 83% util last month, I'm geting close to 40% (still waiting for cards to report).

The dilema: I can stretch and pay another $4,000 - that is another 10% of my overall util and bring one of the BofA cards I have to $0.

This is using the LOC which I can pay in full before it closes. 

Doing that will bring the overall util to 30%.

However, there is a good chance that BofA will balance chase me (they lowered my limit already once last month) if I PIF the card.

So, should I strech and to to 30%? or stay at 40%?

I hope this month to get close to 700.

Cards:	Current Balance	Limit
Amex (Costco)	$2,300	$5,000
BOAM Visa 1	$5,700	$6,000
BOAM Visa 2	$4,000	$5,200
BOAM (AAA)	$0	$500
Comenity (BJs)	$0	$1,030
USalliance CU (LOC)	$44	$12,000
	$12,044	$29,730

[Anonymous]

I'd stretch to get it to 30%... As low as possible is always the best.

[RobertEG]

Are you planning to apply for new credit in the near future?

If not, you may want to include a financially-based analysis of where to prioritize your payments, which could result in a decision to pay a given card that has high interest as opposed to high % util.

[Anonymous]

Main issue I see is too much debt. Get it to below 10% across the board, and let it report that way for a couple of months in a row. That will help your credit profile far more than a boost to 700 next month. Scores aren't everything.

Even if you have to stretch out payments over a few months (to avoid taking on more debt elsewhere), and possibly get CLDed by BofA in the meantime / scores remaining depressed, that better than contining to revolve that debt month after month.

After a couple of months of sub-10% reporting, apply for another card or maybe even two - it will reduce the impact of CLDs going forward. As it stands now, you could easily lose much of your credit line - too many eggs in one basket.

[Anonymous]

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@Anonymous wrote:

Main issue I see is too much debt. Get it to below 10% across the board, and let it report that way for a couple of months in a row. That will help your credit profile far more than a boost to 700 next month. Scores aren't everything.

Even if you have to stretch out payments over a few months (to avoid taking on more debt elsewhere), and possibly get CLDed by BofA in the meantime / scores remaining depressed, that better than contining to revolve that debt month after month.

After a couple of months of sub-10% reporting, apply for another card or maybe even two - it will reduce the impact of CLDs going forward. As it stands now, you could easily lose much of your credit line - too many eggs in one basket.

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Sub 10% is impossible right now, but can try sub 30% and see what holds. Even if I get CLD by BofA I believe I'll still be at 32%, so that is way better thatn the 83% I had last month.

If I understand correctly, you recommend to PIF even if it is followed by a CLD, I think I'll PIF one card and do min X 3 on the other. 

I want to apply for a CC with my CU after the cards report lower balances and see if I'm approved, if yes I'll BT the BofA cards all together. Than I can wait and see when to apply for another card. 

[Anonymous]

Thanks everyone for your feedback, I was able to get just below 20% and got over 700 on all CRAs:

EQ: 721

TU: 702

EX: 733 (was even up to 749 before my new car lease reported and dropped it by 16 points).

TU still waiting for one card to report so will get higher.