140% to 34% utilization

[MontegoMack]

I'm trying to understand the impact of utilization in FICO scoring. 

I just decreased my utilization from a whopping 140% to a more desireable 34% by opening up a high CL CC and a CLOC (both NFCU). 

I know that I'll take a hit for the inquiries and the new accounts, but will that be minimal compared to the increase I should see with such a significantly lower utilization?

Also, what I may do is take 2 CC balances that are maxed out and BT them. One to my CLOC for $7500 and one to the CC for about $9000. That card would be the only one reporting a balance at that point. I was thinking that would help as well because I go from having 2 cards maxed out to having none maxed out and one reporting a 45% balance. 

Any ideas as to how my scores change just based on my new utilization?

[Anonymous]

You should see a score increase, but it's impossible really to predict what it will be.  People have reported 30-40 points gained from massive utilization drops and others have reported 5-10 point gains.  Remember the next threshold is at 29%; getting yourself to that or less is where you enter what is considered to be "good" utilization in the eyes of most creditors so your goal at this point should be to pay yourself down to that which should be within you reach very soon I would think.

[Anonymous]

You will likely see some boost. But it will be hard to predict what kind of a boost it will be as we don't have access to your credit file.  Bear in mind, utilization is not the only factor used in deciding your FICO scores.  So you might a get a few more points but it is all dependant on the rest of the factors that make up the score.

[righthererightnow]

You will definitely see a bump in your score from lowering the utilization. I cut mine down just 5% and I saw a few points raise... you should have much more than that. (And even if the inquiries balance it out in the short term, they will not in the long term). Well done!

[Anonymous]

It's impossible to say based on the information provided (limited) whether he will see "much more" than what you gained.  As I stated above, I dropped my utilization from 35% or so to 6% and saw 2-3 points across each bureau; that was the result of paying down $3500+ in balances.  He may see a significant drop, or he may not.  I think a lot of it has to do with length of credit history / file thickness.  The thinner the file, the more volatile it is to utilization changes IMO.  Since my file was pretty well established, I don't feel utilization impacted me as much.  Just my opinion on that though.