06-27-2012 07:01 AM
06-27-2012 07:26 AM - edited 06-27-2012 07:39 AM
You are getting dinged for two things, high utilization and number of cards reporting.
I see two possibilities for $5,000, 1) pay all cards, with the exception of Maycs, down to below 30%, 2) pay off Best Buy and Sears and have the other three just under 35%. I would vote for option 2 since it would get two of your cards to report zero. The FICO scoring model seems to like zero balance on some cards, more than half if possible. While this wouldn't get you to half it would at least give you two accounts at zero.
At only $4,000 I would also follow option 2, just with a larger percentage reporting on the three larger cards.
06-27-2012 09:00 AM
I wouuld pay off the Discover, Best Buy and Sears (thats $2,200) - then I would pay $850 on Chase to get it below 50% UTI - and use whatever remains of your $4 or $5K and put it on HSBC. I think that will give you the most bang for buck.
06-27-2012 06:01 PM - edited 06-27-2012 06:02 PM
I'd definitely pay off the smaller cards first and spread the rest out to the bigger ones, as per above suggestions. EDIT: This will also probably have the biggest impact to your DTI, since most lenders use minimum payment for calculations I think.
Also consider if Verizon and/or Amex would consider a GW, or PFD?
06-27-2012 06:21 PM
06-27-2012 07:15 PM
Good luck - let us know how your score comes out.
07-02-2012 10:55 PM
I like where this thread is going. I'm glad you were able to put your money in a spot where it's going to be most beneficial please keep us informed of your outcome this is a great thread. Good Luck!!!
07-07-2012 01:13 AM
07-25-2012 05:37 PM
Thank you all for your suggestions. I already paid off Best Buy, Sears and Chase - total of about 3k, then I put 1600 on HSBC and 400 on Discover which brings down my util on both cards to less than 50%. Hopefully that does it for the 28 points that I need. Keeping my fingers crossed. Wish me luck! Thanks again
Sounds like a well-crafted plan! I hope it gives you the point jump you need. Interested to find out what happens. Where did you find an organization to help with down payment assistance? I am looking for the same and don't know where to start.
07-26-2012 04:18 PM - edited 07-26-2012 04:20 PM