topic Re: Does Zync help with util? in Credit Cards

Does Zync help with util?

bichonmom — Mon, 13 Feb 2012 21:55:32 GMT

I thought that being a charge card, it had no effect on util for FICO. But I've read some posts that say that it is factored in. I'd really appreciate some clarity on this.

Thank you.

Re: Does Zync help with util?

LS2982 — Mon, 13 Feb 2012 21:58:17 GMT

@bichonmom wrote:
I thought that being a charge card, it had no effect on util for FICO. But I've read some posts that say that it is factored in. I'd really appreciate some clarity on this.

Thank you.

I believe it's factored in from your highest bal. reporting which becomes your limit, may be wrong on this so I hope an existing cardholder can chime in here!

Re: Does Zync help with util?

Anonymous — Mon, 13 Feb 2012 21:59:16 GMT

Ive read it doesnt help. Similar to a Visa sig or MC world, theres no balance to compare your charges to for uti calculation.

Re: Does Zync help with util?

bichonmom — Mon, 13 Feb 2012 22:11:38 GMT

Any Zync holders out there? I'd really love to know if the Zync charge is counted towards util on FICO.

Re: Does Zync help with util?

Anonymous — Mon, 13 Feb 2012 22:14:58 GMT

@bichonmom wrote:
Any Zync holders out there? I'd really love to know if the Zync charge is counted towards util on FICO.

My understanding is that it does not count on the newer scoring models. The EQ that you get from here does not factor it in for util. But, the TU from here does; however, it's not the latest model.

If I'm wrong, then I hope that someone will correct me. But, this seems to hold true for the way usage on my Green affects my util.

Re: Does Zync help with util?

LS2982 — Mon, 13 Feb 2012 22:16:35 GMT

@Anonymous wrote:
@bichonmom wrote:
Any Zync holders out there? I'd really love to know if the Zync charge is counted towards util on FICO.

My understanding is that it does not count on the newer scoring models. The EQ that you get from here does not factor it in for util. But, the TU from here does; however, it's not the latest model.

If I'm wrong, then I hope that someone will correct me. But, this seems to hold true for the way usage on my Green affects my util.

I would think if the green is how you described it the Zync should be the same way because it's in the same family.

Re: Does Zync help with util?

bichonmom — Mon, 13 Feb 2012 22:18:07 GMT

Thanks! That is what I thought, but then I read that it was helping with util, so wasn't quite sure.

Re: Does Zync help with util?

Anonymous — Mon, 13 Feb 2012 22:18:13 GMT

Platinum is the same way.

Re: Does Zync help with util?

Anonymous — Mon, 13 Feb 2012 23:11:07 GMT

@bichonmom wrote:
Thanks! That is what I thought, but then I read that it was helping with util, so wasn't quite sure.

Well, only in the sense that it's "absorbing" the util from cards that would otherwise count. For instance, if I allowed a balance to report on my MC or Visa, that would count towards my util. But, if I use my Amex charge card (Zync, Green, Gold, Plat), then that's so many charges that are NOT sitting on my MC or Visa. So, if I have a Visa with a $5000 CL and that's all (for simplicity's sake), and I allow $4500 worth of charges to report, I'm at 90% util -- not good! But, if I have a NPSL Amex along with the Visa, and I allow $500 to report on the Visa and put the remaining $4000 on my Amex, then I'm only at 10%, because the Amex balance doesn't factor in -- much better!

Does that make sense?

Re: Does Zync help with util?

bichonmom — Mon, 13 Feb 2012 23:31:15 GMT

Wow! That's cool! Thank you.

Fortunately, my util isn't an issue, but that's because I pre-pay before the stmt cuts. It would be nice to not have to do that. Definite perk to having a charge card.

Re: Does Zync help with util?

pizzadude — Tue, 14 Feb 2012 00:14:40 GMT

@Anonymous wrote:

My understanding is that it does not count on the newer scoring models. The EQ that you get from here does not factor it in for util. But, the TU from here does; however, it's not the latest model.

If I'm wrong, then I hope that someone will correct me. But, this seems to hold true for the way usage on my Green affects my util.

You are correct, the TU98 FICO sold here at MyFICO does include charge card balances towards your revolving utilization.

All other FICO scoring models, from EQ, TU, or EX do not count it.

Re: Does Zync help with util?

bichonmom — Tue, 14 Feb 2012 00:31:51 GMT

Fortunately most lenders don't use TU98, so I won't worry abou it.

Re: Does Zync help with util?

pizzadude — Tue, 14 Feb 2012 02:24:29 GMT

Yep, you are right, it's the "old" TU FICO ~ can't recall hearing of any creditors that use it, they've moved on to TU 04 or 08

Re: Does Zync help with util?

MarineVietVet — Tue, 14 Feb 2012 02:26:09 GMT

@pizzadude wrote:
Yep, you are right, it's the "old" TU FICO ~ can't recall hearing of any creditors that use it, they've moved on to TU 04 or 08

Actually there are still millions of TU98 pulls done each year but the move is definitely towards the newer versions.

Re: Does Zync help with util?

pizzadude — Tue, 14 Feb 2012 02:30:47 GMT

Ok ~ thanks for the clarification !! So some companies still use it, but likely fewer will as they upgrade to the newer models...

Re: Does Zync help with util?

MarineVietVet — Tue, 14 Feb 2012 02:32:45 GMT

@pizzadude wrote:
Ok ~ thanks for the clarification !! So some companies still use it, but likely fewer will as they upgrade to the newer models...

Ther's no doubt about that. But the credit world can move awfully slowly when it comes to change. (In case you haven't noticed)

Re: Does Zync help with util?

Open123 — Tue, 14 Feb 2012 03:05:49 GMT

@bichonmom wrote:
Wow! That's cool! Thank you.

Fortunately, my util isn't an issue, but that's because I pre-pay before the stmt cuts. It would be nice to not have to do that. Definite perk to having a charge card.

One of the best attributes about using a charge card is not having to micro-manage it. Just charge, and pay whatever amount is due. There's no need to pay in frequent increments or before the due date. AmEx prefers single payments in full rather than prepay or a bunch of little ones.

In my reports, my charge card balances are never reflected in utility.

Re: Does Zync help with util?

ccb2115 — Tue, 14 Feb 2012 05:26:16 GMT

@MarineVietVet wrote:
@pizzadude wrote:
Yep, you are right, it's the "old" TU FICO ~ can't recall hearing of any creditors that use it, they've moved on to TU 04 or 08

Actually there are still millions of TU98 pulls done each year but the move is definitely towards the newer versions.

Yeah, Barlcays pulled my TU98 score.

Re: Does Zync help with util?

spengbab — Tue, 14 Feb 2012 08:34:22 GMT

I read that AMEX reports its charge balances as open lines of credit so it does not report in credit card balances and won't help or hurt util rates. Some charge cards by companies are reported in the FICO score. Seems like a YMMV thing. The link has a good description of it and a good graph detailing who reports what.

http://www.cardhub.com/edu/no-preset-spending-limit-2010/

Re: Does Zync help with util?

bichonmom — Tue, 14 Feb 2012 09:34:57 GMT

That's a great resource! Thanks!