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Valued Contributor
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Registered: ‎08-28-2010
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Re: cc pay off


red456 wrote:

No, he didn't close it. Just paid it off. We are trying to get to a 640 for a fha loan and we are 10 and 11 points away. Our banker is the one who came with the idea of getting it to zero.  I believe he thought we could get good points for both months if we split it and paid half and half.  Lesson learned. Now What reckon???


We need a lot more info,,, What credit lines do u have? What r ur balances? What r ur credit limits? What r ur scores? What is ur average age of accounts? How many inquires do u have?

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Re: cc pay off

[ Edited ]

red456 wrote:

No, he didnt close it. just paid it off. We are trying to get to a 640 for a fha loan and we are 10 and 11 points away. Our banker is the one who came with the idea of getting it to zero.  I beleive he thought we could get good points for both months if we split it and paid half and half.  Lesson learned. Now what reckon???


Wow really? The Banker should have known better IMO.

 

The very best thing you can do in your situation is charge $15 on the card and let it report that, that will give you some util, and from what I can see, that's really the only thing you can do in your situation. I have no idea if doing that will net you 10-11 points, but I believe you will see an increase in points


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Re: cc pay off


dalebb wrote:

red456 wrote:

No, he didn't close it. Just paid it off. We are trying to get to a 640 for a fha loan and we are 10 and 11 points away. Our banker is the one who came with the idea of getting it to zero.  I believe he thought we could get good points for both months if we split it and paid half and half.  Lesson learned. Now What reckon???


We need a lot more info,,, What credit lines do u have? What r ur balances? What r ur credit limits? What r ur scores? What is ur average age of accounts? How many inquires do u have?



I'm thinking he has only this one TL????


Starting Score: 583
Current Score: 3-03-12-EQ-802 TU-806 EX-798 (EQ Beacon 9: 804 Lender Pull 3-08-12) All FICO's
Goal Score: 800+ across all three

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Valued Contributor
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Registered: ‎08-28-2010
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Re: cc pay off

thats a good score for just 1 TL


Mustanglvr2006 wrote:

dalebb wrote:

red456 wrote:

No, he didn't close it. Just paid it off. We are trying to get to a 640 for a fha loan and we are 10 and 11 points away. Our banker is the one who came with the idea of getting it to zero.  I believe he thought we could get good points for both months if we split it and paid half and half.  Lesson learned. Now What reckon???


We need a lot more info,,, What credit lines do u have? What r ur balances? What r ur credit limits? What r ur scores? What is ur average age of accounts? How many inquires do u have?



I'm thinking he has only this one TL????


 

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Re: cc pay off


Mustanglvr2006 wrote:
...Wow really? The Banker should have known better IMO.

 


Yeah, but was it really a banker, or a "Mortgage Salesperson"? 

 

If he has a odor of old cigarretes, a pint of Mad Dog 20/20 in his shirt pocket, and half a bottle of gel slicking his hair back, that might be the case.

3-26-15: FICO EXP: 814 - EQU:813 - TRAN: 809 - AVG: 812 +262 points from JUN 2008 - MY CREDIT JOURNAL

Valued Contributor
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Registered: ‎06-05-2008
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Re: cc pay off

Did he tell you the mortgage was owned by an old lady that kept it in the garage and only drove it to the store once a week?

3-26-15: FICO EXP: 814 - EQU:813 - TRAN: 809 - AVG: 812 +262 points from JUN 2008 - MY CREDIT JOURNAL

Valued Contributor
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Re: cc pay off


dalebb wrote:

thats a good score for just 1 TL   Anythings possible I guess.


Starting Score: 583
Current Score: 3-03-12-EQ-802 TU-806 EX-798 (EQ Beacon 9: 804 Lender Pull 3-08-12) All FICO's
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Member
Posts: 15
Registered: ‎10-28-2011
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Re: cc pay off

ok sorry it took so long but had to work last night. yes, it was the VP of the bank who told us that. I remember him saying, I'm not a credit score expert but I would think a zero balance would be better that owing. So  with that said, that  is the only cc I have. My credit history is 12 years. I have 14 paid as agreed. my scores are tu 629, equifax 630 and experian 670. I owe 56,000 on a river lot, never been late, and that is it. I just have not had the need for credit, which I always thought was good, until now. I have zero public records, 2 inquiries, and zero collections.   Maybe I should charge a little back on the credit card just to get something going.?.? Any suggestions.

Valued Contributor
Posts: 1,671
Registered: ‎05-24-2007
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Re: cc pay off

The banker is mostly correct, less debt is better. As you saw, paying off revolving debt, like credit cards, will help your FICO score.

 

When you get down to the details, paying all of them to zero CAN have a small change for the worse. That sounds like the two points lost. If you have several CC, it seems your best score will be if all of them report zero except for one reporting a small balance. If you only have one or two, then it may be best to have a small balance report on one OR it might be best to have them report zero. I think you just found out you are better off to have one report a small balance, even $1.

 

The big point here is that the difference is very small. You are probably going to have to work on something else to get more than a couple points.

Member
Posts: 15
Registered: ‎10-28-2011
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Re: cc pay off

Thank you everyone. Think I will just sit still for a month or two and see what happens.  And pray. 

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