@Anonymous wrote:Hi Thomas_Thumb;
Many thanks to detailed response. For my (3B) program i don't see any changes in my Mortgage scores while only my FICO 8 is changing. My next credit repor is due in one month , do you think I will be able to see my UPDATED Mortgage Scores (FICO 4, FICO 5, & FICO 2).?
Also, what you have said about paying in advance (4 or 5 months) of Car payments may not be agood idea in imprving my Mortgage FICO score, I agree with that as it may not
But if it lowers my DTI ration, will that hlep?
Currently, I'm using my revovoling credit in the range of 9% to 12%, do you think this is a good ration to improve my Mortgage score?. Last month because I brought one of my CC balance to ZERO balance (my Experian FICO 8 dropped by 15 points). On the same time My Equifax FICO 8 went up to by 3 point. Sometimes managing (my Revolving Credit balance % could have a contaditionary implication). If you could advise with the best CC revolving Balance % approach to follow will be great.
Thanks!
Yes all of the non-baseline FICO 8 scores only update with the refreshed report, they don't change with the monitoring solution.
DTI doesn't work that way, if the account is on there (with very very few exceptions with some loans near the end of their lives with some individual lenders) it's factored into DTI; however, DTI isn't factored at all into FICO it only determines how much loan you're able to get and nothing else when we're talking mortgages.
Therefore unless you pay the car loan completely off, it won't improve your DTI calculation paying it ahead 5 months... keep as much cash as possible in hand for when you start into the mortgage process, fact is you can always tweak DTI during it if you have to but talk with your LO about that (and maybe here too, DTI isn't a complex calculation fortunately) but more cash is more better when getting financed (downpayment, reserves, etc ad naseum).
Generally for revolving utillization, having one credit card report a small amount (non zero though) and everything else at $0 is optimal for everyone on every file; that holds true for both the monitored FICO 8 scores, and also the FICO scores used for a mortgage.
