Re: Paying off CC debt vs. making payments

Anonymous · ‎01-27-2016

Hi all,

I have two credit cards that accumilated a higher balance than planned as of roughly 8 months ago. I've been making monthly payments since which sometimes are the minimum and sometimes more but there's still a balance on both. As I've educated myself since, I'm now eager to tie up any loose ends & make sure I do everything right in effect of my credit.

Which brings me to my question,

What score change should i expect paying the debt off in (ex:12 months) as oppose to now. Financially I'm capable I just want to do whats most benifical & i can't seem to find enough feedback on that.

Please share your knowledge!

Anonymous · ‎01-27-2016

Pay off all of the debt on both cards in a single month. There is no scoring benefit to stretching it out. And of course there is the financial benefit in paying no more monthly interest.

Once you have paid both cards down to $0, you should continue to make at least one purchase on at least one card every month. Let the card report a real positive balance and pay it within a week or two aftter the statement prints.

You mention that you had two cards on which you were carrying balances. Do you have other cards?

SouthJamaica · ‎01-28-2016

@Anonymous wrote:
Hi all,

I have two credit cards that accumilated a higher balance than planned as of roughly 8 months ago. I've been making monthly payments since which sometimes are the minimum and sometimes more but there's still a balance on both. As I've educated myself since, I'm now eager to tie up any loose ends & make sure I do everything right in effect of my credit.

Which brings me to my question,
What score change should i expect paying the debt off in (ex:12 months) as oppose to now. Financially I'm capable I just want to do whats most benifical & i can't seem to find enough feedback on that.

Please share your knowledge!

No one can tell you what score change to expect, but I can tell you that if you are capable of paying them off you should pay them off now, down to zero or a nominal balance. Period.