Which is lowering my scores more, closed cards or open cards?

[PCR20]

Thank you so much for the quick and detailed reply, you gave me a lot to think about.

One of the questions I have asked before but never received a clear answer is about Individual Card Utilization.  

I've often wondered if it is weighed at all, or if Overall Utilization is key.

If Individual is considered in the scoring, then it makes sense to pay down the Juniper even if it is my lowest Interest card.

This also came to my mind today when I was talking to Citi about lowering my rate.

They lowered it slightly, but also put up an BT offer at 0% until 10/01/2012 (then 23%).

I started thinking about paying off all three of the Chase Cards using it, but I'm still working the numbers.

So far I see that over the same period, using my current snowball plan, I would pay Chase about $1,600 in interest.

In the same timeframe, I could BT all three at 0% for a fee of about $410.00

This would free up an additional $400 per month to add to my $1,700.00, which I would apply to the Citi and pay it off by August, before it sees any interest.

For some reason, I'm having a hard time pulling the trigger on this one.

My mind keeps telling me I'm missing something... it sounds too good to be true.

[PCR20]

Also, does anyone know if a BT can be used to pay off a closed card?

[MarineVietVet]

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@TCarson wrote:

Also, does anyone know if a BT can be used to pay off a closed card?

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The company giving the BT doesn't care what you use the funds for. They make their money off any transfer fees and they also hope that the consumer won't pay the BT completely off before the promotional period ends; thus meaning interest for the issuer.

[haulingthescoreup]

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@TCarson wrote:

Thank you so much for the quick and detailed reply, you gave me a lot to think about.

One of the questions I have asked before but never received a clear answer is about Individual Card Utilization.  

I've often wondered if it is weighed at all, or if Overall Utilization is key.

If Individual is considered in the scoring, then it makes sense to pay down the Juniper even if it is my lowest Interest card...

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The answer is... both.

There's a ding for high util on an individual card, or for multiple high util cards, and there's a ding for high overall util.

One recommendation that you'll frequently read is that if you have both (high individual and overall), first get the one card down to 49% or lower, and then go after the overall util.

The most important thing is to do something.

[PCR20]

Thanks for the answers.

Well, I didn't see anyone objecting, and I can't find the flaw in my reasoning, so I'm going ahead with the BT and pay Chase 100% off.

I know I'll take a hit in the Indiviual Card Utilization, but in a few months it will be gone.

This will be a momentous day for me as I have wanted to stop giving Chase a penny of my hard earned money ever since Great WaMu debacle of 2009.

I will probably go so far as to close the remaining Chase account once I finance the Motorhome, even though it will effect my CR.

Again, my thanks to everyone for all of your suggestions.

On an unrelated side note.

I just noticed I got down-graded to a "New Contributor" after 5 years.

Seems odd that others that joined here last month are "Established Contributors", yet us old timers are considered new...

Not complaining, just a bit confused.

[MarineVietVet]

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@TCarson wrote:

On an unrelated side note.

I just noticed I got down-graded to a "New Contributor" after 5 years.

Seems odd that others that joined here last month are "Established Contributors", yet us old timers are considered new...

Not complaining, just a bit confused.

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A few months ago the ranks and the criteria needed to reach each rank were changed. The exact formula as to how each step is achieved is a mystery. 

[PCR20]

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@MarineVietVet wrote:

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A few months ago the ranks and the criteria needed to reach each rank were changed. The exact formula as to how each step is achieved is a mystery. 

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I guess they took their que from FICO Scores....

[PCR20]

Well I did it. I now owe Chase exacty $0.00 

This, along with my closing my two personal Chase Bank accounts, closing my Chase Auto Loan and transferring my two Chase IRA's to a Credit Union makes cutting my ties from Chase 100% complete.

Instead of seeing a few thousand dollars interest a year from me, they will see absolutly ZERO, nada, zilch, NOTHING!!

I almost feel as good as I did the day I convinced my company to buy one of our buildings from another bank rather than Chase.

I haven't yet figured out how much interest they lost on a 1.6M deal, but it must be quite substaintial.

This makes my Valentine's Day one of the best ever!!

[MarineVietVet]

It sounds to me like you made a good decision. Just make sure going forward that you don't run the charges back up on any of those paid off accounts.

Self-discipline is the key.