In calculating FICO score, does the timing matter? Consider these 2 scenarios:
1) Currently I carry a balance of $5,000 & my utilization ratio is 70%. Every month I pay the minimum balance & my utilization after 2 years is 60%. At that time, I pay off almost the entire balance & bring my utilization down to 2%.
2) Currently I carry a balance of $5,000 & my utilization ratio is 70%. I paid off almost the entire balance today & bring my util down to 2% today. I keep my util at 2% for 2 years.
After 2 years, will my FICO be the same? Assume all other factors stay the same i.e no impact of inquiries, no payment delay etc.
P.S: This question is very important for me so please answer only if you're sure. Thanks!
Walmart Discover $10,000... Chase SW $8,500... Freedom $7,000... CSP $6,000... Amex Delta $3,000... Amex BCP $2,000... Local CU $1,500...