topic Re: Just thought of this... a UT question. in Credit Cards

Just thought of this... a UT question.

kroberts67 — Fri, 24 May 2013 15:07:54 GMT

I need to PIF all cards, leaving a bal of 2-9% on only one card to report. Does it make a difference score-wise what the CL is on the card I use?

If I were to leave a $400 balance each month, the UT on the card itself would be lower on a $3k limit card than on a $500 card if it were judges on the card alone. I thought that the score is based on overall UT; does the single limit on the card I let report play a part at all?

Hmmm.

Re: Just thought of this... a UT question.

pizzadude — Fri, 24 May 2013 17:48:30 GMT

Both individual card and overall utilization are scored by FICO. You'll want to leave a balance on the single card such that both individual and overall utilization are optimized.

Re: Just thought of this... a UT question.

b_seeker — Fri, 24 May 2013 18:41:17 GMT

If you leave $400 on $500 CL card, I believe FICO considers the card as maxed out and dings your score. I've seen people mention any individual card with over 75% UTL is considered maxed. Not sure if that percent is correct or not.

Re: Just thought of this... a UT question.

kroberts67 — Fri, 24 May 2013 19:27:29 GMT

@pizzadude wrote:
Both individual card and overall utilization are scored by FICO. You'll want to leave a balance on the single card such that both individual and overall utilization are optimized.

That's what I was thinking but wasn't sure. Maybe when I'm at that point I'll try switching cards from one month to another leaving the exact same balance just to see the difference. When I'm at that point.

Re: Just thought of this... a UT question.

kroberts67 — Fri, 24 May 2013 19:28:13 GMT

@b_seeker wrote:
If you leave $400 on $500 CL card, I believe FICO considers the card as maxed out and dings your score. I've seen people mention any individual card with over 75% UTL is considered maxed. Not sure if that percent is correct or not.

Good to know!