topic Re: Trying to increase fico in Understanding FICO® Scoring

Trying to increase fico

Anonymous — Tue, 16 Oct 2007 17:04:53 GMT

Will paying off one of my credit cards increase my fico and if so by how much? Thanks

Re: Trying to increase fico

Anonymous — Tue, 16 Oct 2007 18:07:44 GMT

Definitely. Very rough est, you loose about 10-15 points lost for every 10% of revolving debt used. When you pay back revolving debt scores generally go way up. The more debt you use the lower your scores generally goes. Constantly changing with your debt usage.

Message Edited by ilovepizza on 10-16-2007 11:07 AM

Re: Trying to increase fico

fused — Tue, 16 Oct 2007 22:34:01 GMT

What are the credit limits and balances on all of your CCs?

Re: Trying to increase fico

2IMPROVE — Wed, 17 Oct 2007 00:04:27 GMT

Definitely!

Re: Trying to increase fico

RobertEG — Wed, 17 Oct 2007 04:28:44 GMT

The answer is definately not definately. The answer is maybe. You are asking about only a single card. Only one droplet in the bucket. Paying off one card, if it is a low CL card, will have minimal impact if your overall &util is not substantially changed. It is how much of your total debt you have paid off, and not so much the %util of a single card. Sure, the %util of each card counts, but the total %util of all cards counts far more. And, if in paying off one card, you simply shift debt/spending to another card, and drive its %util up, you may in fact lose points, especially if the other card is a low CL card, and you drive up the %util of that card to a higher bracket One card does not the big picture make.

If you pay off $3000 to get %util of a card down to zero, big help.

If you pay off $50 to get %util of a card down to zero, no biggie.

As Fused has so insightfully asked, the balances and CLs of all other cards is needed to offer any sort of intelligent answer to your question.

Message Edited by RobertEG on 10-16-2007 09:28 PM