topic Re: Utility Question? in Credit Cards

Utility Question?

Anonymous — Thu, 19 Feb 2009 17:45:27 GMT

My Wal-Mart card has a $400 CL so i should only let $40 report to the CRA for good scoring purposes?

Message Edited by mjbfan79 on 02-19-2009 11:45 AM

Re: Utility Question?

oracles — Thu, 19 Feb 2009 17:47:54 GMT

It depends on what your other cards are reporting and how many cards are reporting.

Give us more info.

Also i would let only $20 dollars report a balance if this is the only card reporting. i always think 5% is better.

Re: Utility Question?

Anonymous — Thu, 19 Feb 2009 20:07:59 GMT

@oracles wrote:
It depends on what your other cards are reporting and how many cards are reporting.

Give us more info.

Also i would let only $20 dollars report a balance if this is the only card reporting. i always think 5% is better.

I have 12 CC accounts an i thought 10% was the max for each card.

Re: Utility Question?

Anonymous — Thu, 19 Feb 2009 21:02:41 GMT

My current cards

BOFA Secured CL $300 Balance $3

TJX Reward CL $300 Balance $65

Citgo Gas Card- CL $750 Balance $0

1st Premier CL $350 Balance $141

Penny's CL $650 Balance $38

Sam's Club CL $750 Balance $222

Wal-Mart CL $400 Balance $27

Orchard CL $700 Balance $0

Best Buy CL $600 Balance $529

Total Visa CL $275 Balance $0

Shell Gas Card CL $500 Balance $13

Capital One CL $500 not yet reporting to the CRA

Note this is what's reporting to the CRA i have paid Sam's Best Buy. 1st Primeir, TJX, they just have not updated to the CRA.

I thought the golden number was 10% for each card can someone help me out.

Message Edited by mjbfan79 on 02-19-2009 03:02 PM

Re: Utility Question?

oracles — Thu, 19 Feb 2009 21:04:05 GMT

MJB

Why are you allowing so many cards to report a balance.

The rule is, to max fico scoring, allow less than 1/2 of all accounts to report a balance.

I.E. if you have 6 ccs and 1 auto, and 1 mortgage.

The auto and mortgage will report a balance, therefore you have 2 right there. You should only allow 1 credit card to report a balance. On that credit card, you should allow it to onlt report 1-9% util.

Hope this helps

Re: Utility Question?

Anonymous — Thu, 19 Feb 2009 21:18:24 GMT

@oracles wrote:
MJB

Why are you allowing so many cards to report a balance.

The rule is, to max fico scoring, allow less than 1/2 of all accounts to report a balance.

I.E. if you have 6 ccs and 1 auto, and 1 mortgage.

The auto and mortgage will report a balance, therefore you have 2 right there. You should only allow 1 credit card to report a balance. On that credit card, you should allow it to onlt report 1-9% util.

Hope this helps

I do have a car loan an a personal loan out now also. So your saying just let one card report a balance i'm not sure i can do that i like to use my cards lol. I thought i read here before that you let half of yor card 6 of mine since i have 12 report a balance. This Utility stuff is so confusing that's why i try not to worry about scores an just make sure i don't get any lates.

Message Edited by mjbfan79 on 02-19-2009 03:18 PM

Re: Utility Question?

oracles — Thu, 19 Feb 2009 21:33:31 GMT

@Anonymous wrote:
@oracles wrote:
MJB

Why are you allowing so many cards to report a balance.

The rule is, to max fico scoring, allow less than 1/2 of all accounts to report a balance.

I.E. if you have 6 ccs and 1 auto, and 1 mortgage.

The auto and mortgage will report a balance, therefore you have 2 right there. You should only allow 1 credit card to report a balance. On that credit card, you should allow it to onlt report 1-9% util.

Hope this helps

I do have a car loan an a personal loan out now also. So your saying just let one card report a balance i'm not sure i can do that i like to use my cards lol. I thought i read here before that you let half of yor card 6 of mine since i have 12 report a balance. This Utility stuff is so confusing that's why i try not to worry about scores an just make sure i don't get any lates.
Message Edited by mjbfan79 on 02-19-2009 03:18 PM

You have 12 credit cards and 2 loans. Therefore you have 14 accounts. 2 (auto and loan) are going to report a balance.

You can only allow 6 overall to report a balance which means you can only allow 4 credit cards to report a balance. I understand you like to use your credit cards and you can, just make sure you pay the entire balance on a credit card before the statement date. Most credit cards will report the balance of the new statement. Only HSBC and US Bank that i know of, report the balance remaining on the last day of the month.

You can allow 4 ccs to report minimum util% and anything after that, PIF before statement cut.

hope this helps

Message Edited by oracles on 02-19-2009 04:33 PM

Re: Utility Question?

Anonymous — Thu, 19 Feb 2009 21:31:36 GMT

Also let me ad something don't have a hard time paying them on time i just have a hard time keep up when 12 cards will report to the CRA.

Re: Utility Question?

oracles — Thu, 19 Feb 2009 21:36:49 GMT

If You have 12 cards, you should have 1 everyday card and 11 rotating cards.

This is what i do.

I have my main every day card (chase freedom) and i rotate my other cards.

i have a chart that tells me what cards to use every month. In reality, with 12 cards, you only have to use 4 different cards every month and then rotate.

Use them once every 3 months and for HSBC, i would use every other month.

Re: Utility Question?

Anonymous — Thu, 19 Feb 2009 21:39:52 GMT

@oracles wrote:
You have 12 credit cards and 2 loans. Therefore you have 14 accounts. 2 (auto and loan) are going to report a balance.

You can only allow 6 overall to report a balance which means you can only allow 4 credit cards to report a balance. I understand you like to use your credit cards and you can, just make sure you pay the entire balance on a credit card before the statement date. Most credit cards will report the balance of the new statement. Only HSBC and US Bank that i know of, report the balance remaining on the last day of the month.

You can allow 4 ccs to report minimum util% and anything after that, PIF before statement cut.

hope this helps
Message Edited by oracles on 02-19-2009 04:33 PM

Ok i understand now thanks so much Oracles i'm gonna try my best to get it down to only letting 4 cards report only 10% of my CL.

Re: Utility Question?

Anonymous — Thu, 19 Feb 2009 21:42:05 GMT

@oracles wrote:
If You have 12 cards, you should have 1 everyday card and 11 rotating cards.

This is what i do.

I have my main every day card (chase freedom) and i rotate my other cards.

i have a chart that tells me what cards to use every month. In reality, with 12 cards, you only have to use 4 different cards every month and then rotate.

Use them once every 3 months and for HSBC, i would use every other month.

Ok thanks again got it..

Re: Utility Question?

oracles — Thu, 19 Feb 2009 21:44:08 GMT

@Anonymous wrote:
@oracles wrote:
You have 12 credit cards and 2 loans. Therefore you have 14 accounts. 2 (auto and loan) are going to report a balance.

You can only allow 6 overall to report a balance which means you can only allow 4 credit cards to report a balance. I understand you like to use your credit cards and you can, just make sure you pay the entire balance on a credit card before the statement date. Most credit cards will report the balance of the new statement. Only HSBC and US Bank that i know of, report the balance remaining on the last day of the month.

You can allow 4 ccs to report minimum util% and anything after that, PIF before statement cut.

hope this helps
Message Edited by oracles on 02-19-2009 04:33 PM

Ok i understand now thanks so much Oracles i'm gonna try my best to get it down to only letting 4 cards report only 10% of my CL.

MJB

i would let it report under 9% and not 10%. I know it seems triva, but it may make a difference.

Re: Utility Question?

oracles — Thu, 19 Feb 2009 21:45:00 GMT

No problem and keep us updated as to how much of a score increase there was.

Re: Utility Question?

Anonymous — Thu, 19 Feb 2009 21:53:19 GMT

Ok i well let you no how my scores change in the near future.