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Established Member
rcurrier74
Posts: 15
Registered: ‎01-24-2011
0

will increasing credit limit help my fico scores

I need to raise my middle score by 15 pts for my mortgage loan approval. I have 3 low limit cc.s with a total of 1% utilization. My question is if i increase my secured card from 200 to 1000 credit limit will it improve my score. not much else i can do besides time to improve at this pt.


Starting Score: 585EQ
Current Score: 625EQ
Goal Score:700 850


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Valued Contributor
mauve
Posts: 2,487
Registered: ‎02-18-2010
0

Re: will increasing credit limit help my fico scores

No.  Although if you're carrying small balances on all three cards, you can get a boost by paying two of those to 0%. 


Starting Score: EQ 583 TU04 619 EX 592 (lender pull) 2010
Previous High Score: EQ 700 TU04 712 EX 726
Current Score: EQ 740 TU(Discover) 750 EX(AMEX) 747
Goal Score: 740+ all around


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MBOhio2
Posts: 946
Registered: ‎02-07-2011
0

Re: will increasing credit limit help my fico scores

Really mauve?? I thought having a higher limit (setting aside utilization %) does improve your score (though I imagine not significantly). Silly Experian tells me that one of the things hurting me is low credit limits on my cards. Not true?

Mid-2010 Starting Scores: FAKO EQ 476 FAKO EX 506 FICO TU98 575
Jan 2012 Current Scores: FICO EQ 604 FICO EX ??? TU98 623
Feb 2012 Goal Scores: EQ 620 EX 620 TR 620 (or just the middle to be 620!!)
Valued Contributor
mauve
Posts: 2,487
Registered: ‎02-18-2010
0

Re: will increasing credit limit help my fico scores

It may be true for FAKOs, but not for FICOs.  If you're getting a score from EX, it's a FAKO. 


Starting Score: EQ 583 TU04 619 EX 592 (lender pull) 2010
Previous High Score: EQ 700 TU04 712 EX 726
Current Score: EQ 740 TU(Discover) 750 EX(AMEX) 747
Goal Score: 740+ all around


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Moderator Emeritus
MarineVietVet
Posts: 14,084
Registered: ‎07-14-2009
0

Re: will increasing credit limit help my fico scores


MBOhio2 wrote:

Really mauve?? I thought having a higher limit (setting aside utilization %) does improve your score (though I imagine not significantly). Silly Experian tells me that one of the things hurting me is low credit limits on my cards. Not true?


If you got your reports and score from the EX website the reports are accurate but the scores and advice are best ignored.

 

 

 

From a BK years ago to:
EX - 9/09 pulled by lender 802, EQ - 10/10-813, TU - 10/10-774

"Some people spend an entire lifetime wondering if they've made a difference. The Marines don't have that problem".

Mega Contributor
RobertEG
Posts: 17,510
Registered: ‎03-19-2007
0

Re: will increasing credit limit help my fico scores

If your CL inreases without  proportional increase in balance, then yes the increased CL will lower your % util, which should improve your scoring of % util.

The key is your overall % util of your CLs, and not the CLs themselves.

Valued Contributor
mauve
Posts: 2,487
Registered: ‎02-18-2010
0

Re: will increasing credit limit help my fico scores

Robert, I said "no" because OP said balances were at 1% or less already.  An increase in CL wouldn't make a difference in this case. 


Starting Score: EQ 583 TU04 619 EX 592 (lender pull) 2010
Previous High Score: EQ 700 TU04 712 EX 726
Current Score: EQ 740 TU(Discover) 750 EX(AMEX) 747
Goal Score: 740+ all around


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Established Contributor
MBOhio2
Posts: 946
Registered: ‎02-07-2011
0

Re: will increasing credit limit help my fico scores

Oh yes, I totally realized that the score I was looking at was a FAKO (from Experian directly) but I thought there would at least be some truth to the advice they were giving... so annoying that they would suggest things to consumers (e.g. increase credit limits) that literally have no bearing on scores!!

 

Thanks for the answers!

Mid-2010 Starting Scores: FAKO EQ 476 FAKO EX 506 FICO TU98 575
Jan 2012 Current Scores: FICO EQ 604 FICO EX ??? TU98 623
Feb 2012 Goal Scores: EQ 620 EX 620 TR 620 (or just the middle to be 620!!)
Valued Contributor
mauve
Posts: 2,487
Registered: ‎02-18-2010
0

Re: will increasing credit limit help my fico scores

This is another problem with FAKOs - the advice will help you raise your FAKO, but some actions will raise your FAKO and lower your FICO. 


Starting Score: EQ 583 TU04 619 EX 592 (lender pull) 2010
Previous High Score: EQ 700 TU04 712 EX 726
Current Score: EQ 740 TU(Discover) 750 EX(AMEX) 747
Goal Score: 740+ all around


Take the myFICO Fitness Challenge
Established Contributor
MBOhio2
Posts: 946
Registered: ‎02-07-2011
0

Re: will increasing credit limit help my fico scores

That's so bizarre... you would think they'd all be on the "same team"... thanks for the info mauve!

Mid-2010 Starting Scores: FAKO EQ 476 FAKO EX 506 FICO TU98 575
Jan 2012 Current Scores: FICO EQ 604 FICO EX ??? TU98 623
Feb 2012 Goal Scores: EQ 620 EX 620 TR 620 (or just the middle to be 620!!)

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