topic Re: NPSL Charge Card Balances Impact on Utilization Credit Score Calculations in Credit Cards

NPSL Charge Card Balances Impact on Utilization Credit Score Calculations

Anonymous — Fri, 04 Apr 2014 03:48:54 GMT

It is my understanding that Fico scoring ignores NPSL charge cards when calculating utilization in credit scores since there is no credit limit.

Please confirm if this includes the balances on these charge cards as well.

If I have 3 credit cards (total CL: $4500) with zero balances. But I have a $1000 balance on my NPSL charge card...does that mean I still have 0% util or does the $1000 get divided by the $4500 CL on my credit cards leaving me with a 22% util? Essentially, I need to know if the charge card's limits AND balances is ignored in the FICO scoring for util calculation purposes.

Re: NPSL Charge Card Balances Impact on Utilization Credit Score Calculations

Kenny — Fri, 04 Apr 2014 03:52:56 GMT

http://ficoforums.myfico.com/t5/Understanding-FICO-Scoring/Do-charge-cards-help-your-score/m-p/2730751/highlight/true#M76529

This thread would be helpful for your questions.

Re: NPSL Charge Card Balances Impact on Utilization Credit Score Calculations

myjourney — Fri, 04 Apr 2014 03:52:44 GMT

Depends on the scoring model some do include UTL on NPSL cards in scoring

Also some NPSL cards report a limit which can also affect UTL

Re: NPSL Charge Card Balances Impact on Utilization Credit Score Calculations

Anonymous — Fri, 04 Apr 2014 04:02:11 GMT

Based on the artical and responses here it is YMMV.

Does anyone know how Amex NPSL reports? Any general consenses?

Re: NPSL Charge Card Balances Impact on Utilization Credit Score Calculations

09Lexie — Fri, 04 Apr 2014 04:03:39 GMT

@Anonymous wrote:
Based on the artical and responses here it is YMMV.

Does anyone know how Amex NPSL reports? Any general consenses?

Amex charge cards do not report a CL.

Re: NPSL Charge Card Balances Impact on Utilization Credit Score Calculations

Anonymous — Fri, 04 Apr 2014 04:06:48 GMT

Lexie - if Amex does not report a CL, does that mean my balance will be calculated into my other credit card CL's? Or as long as it's paid in full it won't matter because they report after the 30day payment opportunity period?

Re: NPSL Charge Card Balances Impact on Utilization Credit Score Calculations

09Lexie — Fri, 04 Apr 2014 04:20:02 GMT

@Anonymous wrote:
Lexie - if Amex does not report a CL, does that mean my balance will be calculated into my other credit card CL's? Or as long as it's paid in full it won't matter because they report after the 30day payment opportunity period?

Some FICO models will calculate your bal but most do not.