04-29-2012 08:11 AM
We are trying to get score up in order to purchase a home. in doing so I have done the following: applied for and got 3 credit cards 6 months back. capitol one started with a 500 limit and just yesterday was increased to 750. two other cards both 300 each. i used them a few times however the smaller cards remin at zero balance, the capitol one card has 200 balance.
We had two car payments both are paid off as of last month. however one of the payments hurt my score because the way the automaticbill pay was working the payment was constantly late so it showed like 10 late payments until i caught on to what was happening. Like i said, i paid both vehicles off and that hasnt changed my fico score.
Had one furniture payment, balance was 1500. paid to zero about two monts ago. presently the only reporting debts i have are the cc payments everything else is paid off. Iam supprised that my score hasnt moved much with all the payoffs and even a small cc limit increase by capitol one. Score watch sends me weekly updats and every week it say the same thing..no alerts this week.
no collections on my report, one unpaid by scana energy from 2 years ago reporting a balance (i have already been told that this will have to be paid to satisfy most lenders) one tax lean from several years ago that has been paid and satisfied. so what am i doing wrong, what is the best angle to get my score up. btw if it matters we are currently renting a house it doesnt report. Thanks..
04-29-2012 08:47 AM
On the CCs, assuming that $200 on CapOne and $0 on the other two, then your before util would have been 18.1%. After the $250 CLI, and assuming it still reported the $200 (and of course the CLI), then the after util would have been 14.8%. I don't see much of a FICO change over 3-4%, if any at all. Get the CapOne down to $120 and you might see a little movement. All of this is assuming that there are no other CCs involved or any other accounts like CO'd CCs, HELOCs, LOCs, or anything else that could have impacted revolving util.
With respect to the CLI, FICO doesn't give points for adding to the CL. If you have $0 balances on all of your CCs, and take one CL from $200 to $10,000, your FICO wouldn't move any. The before and after util is 0%.
Installment utilization is a tiny part of FICO scoring. Adding a $20k car note or a $400k mortgage won't max you out resulting in points lost (other than new credit). Conversely, paying off a mortgage or car note won't help all that much either. At one point my only installment was a car note and took that from 20% of the org. balance down to $0 in one month. I pulled both FICOs the day before and the day after and found that one FICO dropped by 5 (mix issue?) and one increased by 7 (probably due to adding a additional $0 balance).
Send a GW to the utility asking for deletion.
If the tax lien is IRS, then get it removed (others would comment better than I).
04-29-2012 10:06 AM
thanks for the reply. I did send a gw letter to Scana energy, they refuse to delete. they say they will upgrade to paid but thats the best. the lien was from state of ga. same there.. no delete.
04-29-2012 12:58 PM
odviously what i have been doing isnt working well, maybe i need a good credit counselor. can someone on here recommend someone? better yet someone who can counsil and assist in the repair, like ending gw letters ect.
04-29-2012 04:13 PM
Have you pulled your FICO scores? If so, and if you are open to mentioning, where are they now? Why do you want to go score-wise?
Sending GW letters is a numbers game...it might take dozens of letters, but be consistent. Some had success with removing state tax liens. Every state is different, but look around.
IMO, don't pay anyone in doing what you can do for yourself.
04-29-2012 08:42 PM
what is score wise?
my current fico from equifax is 561 this was the last score watch change i got. I pull my score about every few months.
"Score-wise" as in "concerning FICO". It's a llecs-ism.
I wasn't sure if you were coming from a standpoint of having 700 FICOs and going to 800s, or if you are 400 wanting to hit 600. I bet your goal is 700 and beyond. Besides the lien and utility CO, and a decent util, is there anything else holding your FICO back?