Valued Contributor
Boswd
Posts: 1,061
Registered: ‎04-26-2007
Re: High Utilization

‎06-20-2007 12:03 PM

LOL   i was thinking the same thing.    Not preaching here but with the scores you have, you should have no problem getting any card you want.  But you are having problems.   That should be telling you something.   That maybe your debt is getting a little out of control?   I would maybe think of getting some of your current debt down a bit.
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Super Contributor
MidnightVoice
Posts: 8,091
Registered: ‎03-25-2007
Re: High Utilization

‎06-20-2007 12:04 PM

And reducing util would considerably improve your scores!
The slide from grace is really more like gliding
And I've found the trick is not to stop the sliding
But to find a graceful way of staying slid
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Valued Contributor
Boswd
Posts: 1,061
Registered: ‎04-26-2007
Re: High Utilization

‎06-20-2007 12:06 PM

Agreed, if you can get all your utilizations to under at the very least  30%, your scores will be in the mid 700's.
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Established Member
renov8r
Posts: 33
Registered: ‎05-03-2007
Re: High Utilization

‎06-20-2007 12:38 PM

Thanks for the concern. 
 
My income will be increasing in the next couple of months, and I need to refinance my first mortgage to a fixed rate (no cash out needed) in October.  I plan on continuing to lower my util and overall debt. 
 
But - If I need to use credit between now and October, would it be worse to increase my util by using my existing TL's or to add on more TL and keep the util down? 
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Valued Contributor
Boswd
Posts: 1,061
Registered: ‎04-26-2007
Re: High Utilization

‎06-20-2007 12:41 PM

If you are going to be applying for a refinance,   the rule of thumb is basically not open up any new credit.    I would work on the utilization as much as you can before you refinance.
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Senior Contributor
ilovepizza
Posts: 3,071
Registered: ‎05-17-2007
Re: High Utilization
[ Edited ]

‎06-20-2007 12:43 PM - edited ‎06-20-2007 12:52 PM

I have a new question. Why are you borrowing over $82,800? Is your income greater than $100k?

Do you need it because you ran out?
Need it for investments? (I see this happen a lot!)
Want it for something?
Planning on taking a long holiday in another country?

Just an opinion, I think the banks might see this as a potential bankruptcy if income does not support it. If income supports it a recon letter or phone call to credit dept might over turn a denial. I see many people max out for investments producing more income someplace else.

Message Edited by ilovepizza on 06-20-2007 12:52 PM
If we never set higher goals we would never get as far.
sol, credit 101, acr, abbreviations, calc
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Established Member
renov8r
Posts: 33
Registered: ‎05-03-2007
Re: High Utilization

‎06-20-2007 12:49 PM

The current debt was to start a business and to home remodel.  The wife and daughter are traveling out of the country in August and I want to have plenty of credit available if they need it.
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Moderator Emeritus
Timothy
Posts: 9,252
Registered: ‎03-19-2007
Re: High Utilization

‎06-20-2007 12:53 PM

you are already at 80% UTL with about 4500 of available credit.

I don't know why but just seems NUTS to add more debt to this pile.
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Super Contributor
MidnightVoice
Posts: 8,091
Registered: ‎03-25-2007
Re: High Utilization

‎06-20-2007 12:57 PM


renov8r wrote:
The current debt was to start a business and to home remodel.  The wife and daughter are traveling out of the country in August and I want to have plenty of credit available if they need it.

Try for a CL of $50,000 to get your util down to about 30%.  Especially as your current score are not as good as they might be, and that could hurt the refi rate.
The slide from grace is really more like gliding
And I've found the trick is not to stop the sliding
But to find a graceful way of staying slid
(8,435 Views)
 
Senior Contributor
ilovepizza
Posts: 3,071
Registered: ‎05-17-2007
Re: High Utilization
[ Edited ]

‎06-20-2007 12:58 PM - edited ‎06-20-2007 01:17 PM

Try explaining your financial situation to Amex in reference to the denial. I just call them on the phone. Only thing that they see is score, history, credit limit and debt. You can fill in the gaps when talking to them.

Message Edited by ilovepizza on 06-20-2007 01:17 PM
If we never set higher goals we would never get as far.
sol, credit 101, acr, abbreviations, calc
(8,433 Views)