My wife has a mortgage in her name and a car payment. I have a balance of 5k on one credit card that is 0%. I probably have at least $60k in available credit on cards that I do not use so there is no balance on them. I also have a car payment. If I pay off my credit card and both our cars in the next 6 months, will my our FICO scores drop? I think my score right now is 750 and hers is 790. We are going to be getting a new mortgage in the next 12 months. If they do drop, will they drop enought to affect our mortgage rate? Thanks.
I owe $5,800 on $58,000 possible so that is right at 10%. If I pay it down to 5%, will 5% be better than 0%? I can pay it off within 2 months.
Also, my FICO in Dec 06, was 748. I had a lot more debt then on my credit cards. The comments under my score were:
Missed payments on credit accounts (It is only one payment and CapOne is getting removed within next 60-90 days)(It was a over 30 day late payment in 12/02 and they agreed it went to wrong address). Does missed payments mean late payments because this is the only thing I see as a late or a missed payment?
Time since your most recent account opening is very recent (I think I opened up a 0% credit card last fall but none since then)
The proportion of balances to credit limits (high credit) on your revolving/charge accounts is too high. This of course is not down to 10% and lower if I want (0-5%).
The amount owed on your revolving/charge accounts is too high. (It was probably $20k then so obviously this has been corrected also)
It looks like even if I pay it all off early, my score should go up because the above comments should be gone. I probably should keep $2k on the credit cards to keep it from 1-4%. Comments?
No, over 750 won't but I was worried about it dropping lower than 720 if I paid these off completely. It looks like I answered my own question. If I pay them off, it can only go up since all 4 of the comments will be taken care of. I may keep $2k on the 0% card but will pay it off after mortgage secured. Either way, I think I am fine. Thanks for the help!