topic Re: Visa Signature Help in Credit Cards

Visa Signature Help

Anonymous — Wed, 20 Mar 2013 23:30:56 GMT

Still in need of 100% verification of what happens when a balance reports on a Visa Signature that currently reports $0 CL. The CL is 5k but that is not reported, only $0. I need to do a BT tonight or tomorrow to beat the high util card statement next week.

Will the Visa Signature 'hide' the util and/or balance from FICO and other scoring models? There will be 87% util on the Signature card when I do the BT . Would like a little more advice before I do the BT. Anybody noticed how the Signature card reports and what the results were? I'm going to lose a little money doing the BT fee, but if it will improve my score a little and remove the high util, then I am going to do it.

Re: Visa Signature Help

scenery_guy — Thu, 21 Mar 2013 03:22:36 GMT

@Anonymous wrote:
Still in need of 100% verification of what happens when a balance reports on a Visa Signature that currently reports $0 CL. The CL is 5k but that is not reported, only $0. I need to do a BT tonight or tomorrow to beat the high util card statement next week.

Will the Visa Signature 'hide' the util and/or balance from FICO and other scoring models? There will be 87% util on the Signature card when I do the BT . Would like a little more advice before I do the BT. Anybody noticed how the Signature card reports and what the results were? I'm going to lose a little money doing the BT fee, but if it will improve my score a little and remove the high util, then I am going to do it.

Sorry I have not seen other posts by you on this. I'll post to bump it up to see if you get others answering. I am going to assume it will show that 87% UTL as pretty much every Visa Signature card reports limits. Also assuming you are BT due to 0% interest on the card? If that's better than the old card just do it and start paying it down.

Re: Visa Signature Help

HiLine — Thu, 21 Mar 2013 03:42:41 GMT

@Anonymous wrote:
Still in need of 100% verification of what happens when a balance reports on a Visa Signature that currently reports $0 CL. The CL is 5k but that is not reported, only $0. I need to do a BT tonight or tomorrow to beat the high util card statement next week.

Will the Visa Signature 'hide' the util and/or balance from FICO and other scoring models? There will be 87% util on the Signature card when I do the BT . Would like a little more advice before I do the BT. Anybody noticed how the Signature card reports and what the results were? I'm going to lose a little money doing the BT fee, but if it will improve my score a little and remove the high util, then I am going to do it.

If your card is with Bank of America, the credit limit will not be reported. However, FICO will regard the high balance as the credit limit. It's the daily balance, not the statement balance. As long as you pay off the balance becfore the statement closes you'll get a 0% utilization on the card.

Re: Visa Signature Help

Anonymous — Thu, 21 Mar 2013 14:16:07 GMT

So FICO will score my card as bad if I leave a statement balance. Yes, it is a BofA card. I had thought FICO would not calculate a card with no limit reported into util.

I have a Discover card balance at 50% util that I wanted to hide from FICO by a BT to my BofA. My util would be 90% on the BofA after the BT. So this would cause a greater decrease in my score than leaving my Discover at 50%? Like I say, just thought FICO would not consider a card with no limit into util scoring, etc.

Re: Visa Signature Help

Bay_Area_Joe — Thu, 21 Mar 2013 14:37:27 GMT

Just for info.

I had a new B of A account report today, as it is a brand new account, it is a Sig version and I was surprised that the limit was not reported. Granted I only saw this on Credit Karma and not MyFico though.

I will wait and see how MyFico reports it later on when the rest of my new accounts report.

I did take a 2 point hit on CK for the new account, not as bad as I thought it would be. CK has me at 743 now.

Re: Visa Signature Help

jsucool76 — Thu, 21 Mar 2013 15:08:52 GMT

@Bones

The only cards fico (newer versions at least) doesn't take into account is charge card balances. Siggys are flexible spend accounts which operate a little differently. They're still credit cards.

Re: Visa Signature Help

thom02099 — Thu, 21 Mar 2013 15:42:09 GMT

@Anonymous wrote:
Still in need of 100% verification of what happens when a balance reports on a Visa Signature that currently reports $0 CL. The CL is 5k but that is not reported, only $0. I need to do a BT tonight or tomorrow to beat the high util card statement next week.

Will the Visa Signature 'hide' the util and/or balance from FICO and other scoring models? There will be 87% util on the Signature card when I do the BT . Would like a little more advice before I do the BT. Anybody noticed how the Signature card reports and what the results were? I'm going to lose a little money doing the BT fee, but if it will improve my score a little and remove the high util, then I am going to do it.

Sorry, but you're not going to be able to get "100% verification of what happens..." because there is no 100% guarantee.

Much depends on the card issuer and what they report to the CRA. Also, apparently it may depend on how your Signature card was sourced -- was it an original application or was it a PC from a regular Visa to a Signature Visa.

I have 4 Signature Visa cards. They were NOT PC from regular Visas, they were original apps. All of them report, on all 3 CRA, a Credit Limit, a High Balance, and the notation of Flexible Spending Card. The only ones that truly don't factor in are the NPSL charge cards. There is a misnomer that a Signature Visa is a NPSL card. That's not entirely correct. Depending on the issuer, they MAY allow you to go over some mythical amount deemed your credit limit, but the expectation is that the amount over will be a PIF rather quickly.

Re: Visa Signature Help

Anonymous — Sat, 24 Aug 2013 18:58:19 GMT

Your BT will show as High CL this should factor as Good for your FICO after you pay it down. Until then, you may take a Util. hit simply because most V-Sig's do not report the credit line because it's not a limit but rather a guideline that can be approved for overages.

Re: Visa Signature Help

zerobacan — Sat, 24 Aug 2013 19:14:51 GMT

@Anonymous wrote:
Your BT will show as High CL this should factor as Good for your FICO after you pay it down. Until then, you may take a Util. hit simply because most V-Sig's do not report the credit line because it's not a limit but rather a guideline that can be approved for overages.

So it will be look worse to have a

Visa Siggy 5k balance Flexible spending (CL 20ks) CL not being reported

than

Regular Visa 5k, 50% utility CL 10ks

Overall utilization will be hurt as having 5k balance in the overall utilization that doesnt get counter weighted by its CL being reported?

Re: Visa Signature Help

resilient — Sat, 24 Aug 2013 23:23:25 GMT

Way to bring back a 5 month old dead thread lol

Re: Visa Signature Help

ezdoesit — Sat, 24 Aug 2013 23:32:58 GMT

@Bones

Are you planning on apping soon, is that why your concerned about your util? If not I wouldn't worry about it and do the BT. Like someone pointed out in the long run it will help you Fico score because it will base your score as the high limit as your credit limit so when you bring that down your util will look a lot lower.

Re: Visa Signature Help

Anonymous — Sun, 25 Aug 2013 01:50:58 GMT

For me, I have three Siggy's and one MC World and a MC World Elite and all report a flexible spending limit. The no pre-set spending limit ranges from 10% of CL to 50% of CL with a note, spending over the flexible limit is on a purchase by purchase basis and all over flex limits must be repaid as part of the minimum payment due for the revovling credit limit.