topic Re: Reorganizing Credit Cards to Improve FICO in Credit Cards

Reorganizing Credit Cards to Improve FICO

FocusOnFICO — Fri, 01 May 2009 23:12:39 GMT

I am impressed by the level of expertise on this forum.

I wanted to get input on my reorganization of my credit cards/limits. My goal is to improve my FICO score, while preparing to do a home purchase in the next 18-24 months. My current portfolio (no annual fees):

Credit Union Gold Visa $10,000 10.90%
Simmons Plat Visa $10,000 07.25%
Wells Fargo Plat Visa $09,000 16.85%
Amex Blue Cash $10,000 00.00% for 10 more months
Citi Plat MasterCard $07,300 00.00% for 10 more months
Amex Gold Pref Rewards no annual fee for 3 more months
First Command Pl Visa pending

Credit Union and Simmons are my longest credit (20 years).

What mix would you recommend?

Thank you.

Re: Reorganizing Credit Cards to Improve FICO

FocusOnFICO — Fri, 01 May 2009 23:15:52 GMT

Addition: my FICOs are 781-820.

Thanks.

Re: Reorganizing Credit Cards to Improve FICO

Anonymous — Fri, 01 May 2009 23:33:50 GMT

Other than possibly picking up a few points for adding a store or gas card I'm not sure how you could improve on what you already have.

Do you carry balances? Utilization might be the best way to pick up a few points.

Have you checked out this thread on high achievers characteristics?

http://ficoforums.myfico.com/fico/board/message?board.id=ficoscoring&thread.id=12673

Re: Reorganizing Credit Cards to Improve FICO

Anonymous — Sat, 02 May 2009 00:35:39 GMT

@FocusOnFICO wrote:
Addition: my FICOs are 781-820.

I guess you are where you want to go. A FiCO above 760 should be enough to qualify for the best rates.

Re: Reorganizing Credit Cards to Improve FICO

FocusOnFICO — Sat, 02 May 2009 00:59:49 GMT

Thank you. I do not carry. My utilization if about 6% - 7%. My charges are on the Amex Blue Cash for all but one individual token charge on each of the rest.

Re: Reorganizing Credit Cards to Improve FICO

Anonymous — Sat, 02 May 2009 04:14:44 GMT

I agree with Ulan that your scores are high enough for the best rates. I figured you already know that and are just looking for higher scores for the challenge of it.

Do you have an installment loan or a store/gas card?

Did you check out the link I posted above?

Re: Reorganizing Credit Cards to Improve FICO

FocusOnFICO — Sat, 02 May 2009 06:35:01 GMT

Thank you Ulan and Vee. I am actually not really looking for the challenge, but want to ensure that I have the best score possible, as I plan on buying in the West LA area and wanted to ensure that the score would be favorable. I haven't paid any attention to my score for some time and am discovering many of the ins and outs from your excellent posts and many of the other threads here.

I did have a car loan that I paid off last year. Would a gas card be a plus in addition to the group of cards that I currently have? (Does this play into the Mix of Accounts section?)

I did check the link and the information is quite detailed. I think that I'm in good shape on the Account Age section, although several of my lines are recent (layoff insurance--but I should be fine).

I did have a question on the number of accounts carrying a balance. Since I PIF each month, would my number be 0? Related ?---would the balance reported on CC's also be zero or a snapshot of what is currently on the cards (although I will PIF)?

Thank you in advance for your help.

Re: Reorganizing Credit Cards to Improve FICO

smallfry — Sat, 02 May 2009 10:40:57 GMT

You might pick up a few points if you report 4% utilization. I would try letting nothing report for giggles if you want to play the score game. Some high achievers get highest scores with no accounts reporting.

Re: Reorganizing Credit Cards to Improve FICO

FocusOnFICO — Sat, 02 May 2009 15:26:33 GMT

Another question related to your comment: would trading out my Amex Gold charge for an Amex Blue help or hinder?

Thanks.

Re: Reorganizing Credit Cards to Improve FICO

Anonymous — Sat, 02 May 2009 19:19:00 GMT

@FocusOnFICO wrote:
Thank you Ulan and Vee. I am actually not really looking for the challenge, but want to ensure that I have the best score possible, as I plan on buying in the West LA area and wanted to ensure that the score would be favorable. I haven't paid any attention to my score for some time and am discovering many of the ins and outs from your excellent posts and many of the other threads here.

I did have a car loan that I paid off last year. Would a gas card be a plus in addition to the group of cards that I currently have? (Does this play into the Mix of Accounts section?)

I did check the link and the information is quite detailed. I think that I'm in good shape on the Account Age section, although several of my lines are recent (layoff insurance--but I should be fine).

I did have a question on the number of accounts carrying a balance. Since I PIF each month, would my number be 0? Related ?---would the balance reported on CC's also be zero or a snapshot of what is currently on the cards (although I will PIF)?

Thank you in advance for your help.

Just to be sure....your scores are true FICOs received from this site, correct? If you obtained them anyplace else they are FAKOs and you would need to obtain your true scores here. If, indeed, they are FICO scores you should receive the best interest rates when you apply for a mortgage.

If you plan on buying soon DO NOT apply for any new card despite what I said above about a store/gas card adding a few points to your score.

I believe that I have read several posts here saying that after experimenting with reporting balances most posters show the highest score when having one card report a very small balance. They took a small ding when showing 0 balances on all cards.

When PIF you'll want to pay before your statement date to ensure this is reflected on your credit reports.

This is discussed in many threads here...a link to just one of them is below.

http://ficoforums.myfico.com/fico/board/message?board.id=ficoscoring&message.id=30503&query.id=124541#M30503

ETA: I don't believe changing your AMEX card from gold to blue will have any effect on your scores. Others may have more info on this. Since you do have an AMEX you might want to check out the liink below to a message from Haulingthescoreup about how they report balances.

http://ficoforums.myfico.com/fico/board/message?board.id=ficoscoring&message.id=29744&query.id=124737#M29744

Message Edited by VEEnVEGAS on 05-02-2009 12:19 PM

Re: Reorganizing Credit Cards to Improve FICO

Anonymous — Sat, 02 May 2009 20:12:10 GMT

For the 820 FICO's, I'm not sure you can do anything....once you get above 800, increases are tough to predict.

What are the differences in your CR (side by side comparison) from your CR with 780 and 820. Ideally you want to replicate your 820 CR onto your 780. So, if there are errors, inaccuracies, etc. you need to deal with them. however, it may be that your oldest TL's don't report on one of your CR's (some CU's only report to 1 or 2, not all 3). If this is the case, you can call and ask them if it is possible to report, but that won't be likely.

What are your CC balances? How many accounts have a balance? Do you have an auto loan? Do you have a current mortgage?

Re: Reorganizing Credit Cards to Improve FICO

FocusOnFICO — Sun, 03 May 2009 01:29:27 GMT

Vee-----thank you very much. The information is excellent.

One last question for now: I have been using freeannualcreditreport for pulling one report each four months. I pull scores periodically. What is the preferred product to track for both reports and scores that you would recommend?

Thanks again.

Re: Reorganizing Credit Cards to Improve FICO

Anonymous — Sun, 03 May 2009 01:54:45 GMT

@FocusOnFICO wrote:
Vee-----thank you very much. The information is excellent.

One last question for now: I have been using freeannualcreditreport for pulling one report each four months. I pull scores periodically. What is the preferred product to track for both reports and scores that you would recommend?

Thanks again.

You're so welome!

You can only obtain your true FICO score at this site. All other sites use different scoring that folks here refer to as FAKOs. Or I believe you can receive your true EQ score at the Equifax site.

If you need to monitor your credit reports daily for accuracy I use Creditchecktotal.com or TrueCredit.com.offers monthly updates. True Credit is good in that it shows the dates on which your credit cards report balances. The scores are FAKO but it's a good way to see what's going on if you are attempting to fix inaccuricies on your reports. Using one of these services, even temporarily, would be a good way to check out what Txjohn was talking about in his post. Making certain that all reports are accurate and reporting the same things. With either of these services you will be able to see all 3 credit reports.

I believe you'd do best to pull your reports and scores from this site as a starting point. (You should be able to google a discount code) You really want to pay attention to what balances are reported as utilization may be the only thing you could improve upon.

Re: Reorganizing Credit Cards to Improve FICO

FocusOnFICO — Sun, 03 May 2009 01:59:10 GMT

txjohn----thank you for the information.

I normally charge about $3K per month (sometimes more), but PIF on all accounts. My auto loan was paid off last year. I am prepping my score to buy a house in the next 18-24 months and wanted to ensure that I'm doing the best I can in preparation.

Your signature tag shows you've done great in the last four years. Same question I asked to Vee---what product do you recommend to regularly check your scores?

Thanks.

Re: Reorganizing Credit Cards to Improve FICO

Anonymous — Sun, 03 May 2009 02:09:50 GMT

Be sure to google myfico discount code before purchasing. And not sure you know, but you can no longer see your Experian FICO score although you can still view your report.

Re: Reorganizing Credit Cards to Improve FICO

FocusOnFICO — Mon, 04 May 2009 02:45:31 GMT

Thank you for the great advice. I was able to save with the coupon.

I have increased my WF line and will do nominal charges (4% or less of line) on all but the Amex Blue Cash. I will charge the remainder of my monthly charges on the Blue Cash and hit the best possible rebate. To ensure that I time things correctly (great advice--thanks), I will pay the account twice to ensure that by statement time I will have 4% or less as a balance of the total line. I will also work my payments to only have three cards showing a balance and will pay the others before the billing cycle closes.

My true FICOs are TU: 789 and EQ: 784. My goal is to utilize the great tips here to meet or exceed the High Achievers Profile and put myself in great position for a home purchase.

Vee---Thank you again for the outstanding tips and support. I appreciated that everyone took me seriously (good scores--but definite areas to clean up) and I am very grateful.