Am I doing this correctly, I am trying to figure total util%?

[Anonymous]

Hi,

I am paying all but one of my credit cards down to a 0 bal.  I am trying to figure my total util % with all cards now, and what it would be once I pay them off.  My plan is to put the information on a spreadsheet and monitor it on a monthly basis.

Util% formula

balance / credit limit x 100 = utl% is this right?

If so here is my current situation.

                                    Balance         CL                Util%

                                    50.00            2500.00            2%                 Credit Card active

                                    1047.00           500.00           209.4%           Charged off still showing the balance

                                    252.17           275.00              91.69%          Credit Card active

                                    295.66          320.00              92.39%           Credit Card Active

                                    342.00          370.00              92.43             Credit Card Active

                                    350.00           357.00            102.00%          Credit Card Active

Total                          2344.16          4315.00             ????

How would I get the total util% for all of the credit cards including the chargeoff?  Would I take the total balance, divide it by the total of my credit limits, and multiply that by 100 to get my total util% or am I way off base?

Please help, because there is more info that I would like to post to see if it will help my credit score as far as this util% thing goes.

[PayingTheBills]

2500+0+275+320+370+357 = $3,822 = CREDIT LIMIT

252.17+295.66+342+350+50+1047 = $2336.83 = TOTAL DEBT

So, $2336.83 / $3,822 = 61.14%

Your charged off card now has a limit of ZERO.

Unless you have the $ to pay down the maxed out cards, why not use your $2,500 card to pay off your other active cards, then work on paying that one card down?

Work on a PFD for the charged-off CC.

Message Edited by PayingTheBills on 03-16-2009 10:14 PM

[Anonymous]

I have actually just sent in payments for the remaining balances on all of the credit cards except for the charged off card.  So I was actually doing it right?  So, if I go from 61% to 28% could I see a pretty significant increase in my credit scores?

[llecs]

Tiger, you may have to include the CO into utilization. DW had a CO with CapOne. The balance was like $750 and the CL $250. On EQ, if I recall, the posted CL was the CL used into the calculations. On TU, it was the "high balance" which was listed lower than the actual balance (est. $650). Keep in mind also that not all CC COs are factored into util. YMMV.

You can also cheat and usually see your util on your FICO reports on page 2 or 3.

[PayingTheBills]

Sure. 10-40 points probably, hard to say because it depends on so many other things.  What are your FICO's now?

[Anonymous]

EQ-648

EX-???

TU-659

This is current as of Mar 10th 2009

[Anonymous]

llecs,

In my original formula I did include the CO into the equation. 

[PayingTheBills]

wow, mid 600's with all those cards close to maxed? lucky you. I predict 680+ when your scores update.

I assume you're at $0 on all cards now except for one that is reporting <9%, and the CO of course?

How old is the CO?

[Anonymous]

The CO is 4 years, yeas all of the cards are 0 balances except for the CO and the 2% util on the 2500 cl.  But they haven't reported yet.