Score Update

[Anonymous]

Should I expect a score update on a CC that reports as zero balance? My account updated with the bureaus on Friday with zero balance (the previous month it reported as new zero balance), shows payment amount too, high balance for utilization. Would that trigger an alert and score increase? It is nerve wrecking checking MyFico every minute to see if there's a increase! Lol

[Anonymous]

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@Anonymous wrote:

Should I expect a score update on a CC that reports as zero balance? My account updated with the bureaus on Friday with zero balance (the previous month it reported as new zero balance), shows payment amount too, high balance for utilization. Would that trigger an alert and score increase? It is nerve wrecking checking MyFico every minute to see if there's a increase! Lol

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If there was no balance change from last month then no, there will not be an alert or a score change.

[Anonymous]

oh man, so what is the point of only having one card report a balance?  Should I let a dollar or two report?

[Anonymous]

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@Anonymous wrote:

oh man, so what is the point of only having one card report a balance?  Should I let a dollar or two report?

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One out of three (or more) cards reporting a balance prevents you from losing points due to "too many revolving accounts carrying a balance". FICO takes points away for half or more of you accounts carrying a balance. But FICO also takes away points for none of your accounts carrying a balance. The solution to that Catch-22 is to have three or more cards with only one carrying a small balance.

Now the thing to keep in mind here is that one does NOT need to continually maintain this UTI. The points hit is relatively small on damaged files, and bigger on clean files, but UTI has no "memory" of prior balances, so just keep your balances in control, and use the "ideal UTI" to peak your scores just before applying for credit.   

[Anonymous]

Thank you for this!  I always seen the 3 cards or more logic, but I am a visual person and need to read the actual concept behind it.  Makes sense now!  My 3rd card hasn't reported yet.  I am sure you can guess which company that is... Capital One.  So until it reports I guess I should carry a small balance on both to mix the UTI thingy.  Thanks!