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how utilization affects scoring

Established Contributor

how utilization affects scoring

I know high utilization is a huge factor in scoring but does FICO view high utilization differently on say a credit card than an installment loan.  The reason I'm asking is that I've got my utilization nearly down to under 20% on my CC  but I'm waiting on my new auto loan to report which of course is going to show me owing nearly 100% until I get a few months payments made and even for about a year or so it's going to be pretty high utilization. 

Starting Scores 10/12: EQ 460 (FICO)/TU 502 (FAKO)/EX 474 (FAKO)
(7/14): EQ 572 (FICO)/TU 624 (FICO)/ EX 612 (FICO)

Current (2016): EQ 605 (FICO)/TU 657 (FICO)/EX 646 (FICO)




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Epic Contributor

Re: how utilization affects scoring

Yes there are 2 different utilizations, one for revolving, one for installment.

 

While revolving utilization is scored heavily, intstallment is not, probably 10% or less.

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