What would be better for your score?

[Anonymous]

Paying off a med collection that started reporting in may of 09 and reports KD to only your Experian report every month or paying down all cc to 10 or 20% utilization? Generally speaking of course, I know everyones scores are different etc

[Anonymous]

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@Anonymous wrote:

Paying off a med collection that started reporting in may of 09 and reports KD to only your Experian report every month or paying down all cc to 10 or 20% utilization? Generally speaking of course, I know everyones scores are different etc

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A paid collection hurts as much as an unpaid collection. You'll want to PFD that med collection, or Google "HIPAA process, medical collection" to get information on another type of PFD reserved for med collections. Is this your *only* derog?

Without knowing what your current utilization is it's impossible to hasten a guess as to how much score rise you might see with a pay down to 20% UTI. It's also impossible (without knowing the specifics) to guess at which action will help more. A collection hurts badly. But, so does being maxed out. But, there are many unknowns here, and even more possible variables to FICO scoring.

[Wolf3]

Negatives can continue to hurt your score for 7.5 years.     There is no history of utilization,  so it only matter when applying  for credit.    

[Anonymous]

Thanks! THe med collection would be deleted  when PIF

[MarineVietVet]

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@Wolf3 wrote:

Negatives can continue to hurt your score for 7.5 years.     There is no history of utilization,  so it only matter when applying  for credit.    

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Not all negatives stay for 7.5 years. Only charge offs and collections. Individual lates that never went to a CO or collection will drop off at 7 years.

From a BK years ago to:
7/09 TU-742 EQ- 779
8/09 TU-765 EQ- 783
9/09 EX pulled by lender 802

You can do the same thing with hard work

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[Anonymous]

PFD on Med Collection would be best for your score!  However, maintaining a utilization of 20% would probably help more if you can't PFD the Med Collection.  My reasoning is that the longer a derog is on your CR, the less it is affecting your score as the account ages.  While the derog is having a less impact, the improved utilization is having more of an impact as time goes on.  IMO