topic Re: UTL Threshholds when above 80% in Understanding FICO® Scoring

UTL Threshholds when above 80%

bott6698 — Thu, 27 Mar 2008 04:08:59 GMT

Ok, I was wondering if there is anymore dings on credit when loc's go from 80 to 90 or even to 100. Or are you just dinged to a certain utl?

Re: UTL Threshholds when above 80%

Anonymous — Thu, 27 Mar 2008 04:10:35 GMT

bott6698 wrote:

Ok, I was wondering if there is anymore dings on credit when loc's go from 80 to 90 or even to 100. Or are you just dinged to a certain utl?

The higher the util goes, the more it will hurt. It can even go over 100% if you are OTL. That will KILL your score.

85% is considered maxed out.

Re: UTL Threshholds when above 80%

bott6698 — Thu, 27 Mar 2008 04:15:33 GMT

Thanks Cheddar, I am currently at 87% and was loc for building an addition to my home which I desperately needed. Now I need to do more work on my home so I can just sell this friggin house because my appraisal I am afraid isn't going to make it for the fha loan I was hoping for to get out of my arm. So I just want to fix the last few things I need and sell but I didn't know how much my score would take a hit.

Re: UTL Threshholds when above 80%

Anonymous — Thu, 27 Mar 2008 04:35:33 GMT

bott6698 wrote:

Thanks Cheddar, I am currently at 87% and was loc for building an addition to my home which I desperately needed. Now I need to do more work on my home so I can just sell this friggin house because my appraisal I am afraid isn't going to make it for the fha loan I was hoping for to get out of my arm. So I just want to fix the last few things I need and sell but I didn't know how much my score would take a hit.

OK, I see. Since you're already over 85%, it won't get much worse from there, assuming you stay below the limit.

Re: UTL Threshholds when above 80%

bott6698 — Thu, 27 Mar 2008 04:41:16 GMT

Thanks so much Cheddar this really gives me peace of mind. I hate to have to hit my line for more but sometimes we don't have much choice if we want to make things better. I appreciate the help and I am planning on joining a CU so that I can soon get a closed end loan to pay off my loc which I know would be what I need to do since hfc's loc's are very very high interest.

Re: UTL Threshholds when above 80%

Anonymous — Thu, 27 Mar 2008 04:45:12 GMT

bott6698 wrote:

Thanks so much Cheddar this really gives me peace of mind. I hate to have to hit my line for more but sometimes we don't have much choice if we want to make things better. I appreciate the help and I am planning on joining a CU so that I can soon get a closed end loan to pay off my loc which I know would be what I need to do since hfc's loc's are very very high interest.

Happy to help!

This is an HFC LOC? Ouch. I understand that things happen and you need the money sometimes, but get that bad boy paid off as soon as you can, for the sake of your own financial well-being.

Re: UTL Threshholds when above 80%

bott6698 — Thu, 27 Mar 2008 05:08:33 GMT

Yes Cheddar.It gets way worse too. I have a heloc from hfc AND an loc from hfc. But I know the heloc only hurts my ex score and is weird since is highest. I Put bunch of money into my house but with NO reward. The housing market sucks so bad it is amazing. I bought my house at 107,000. Put 33,000.00 into it and last appraisal in Nov 2007 was $120,000.00. I have had the house for 3 years but because I have a ridiculous arm I have only paid off like 100 bucks in 3 years. FHA rep told me I would need 107,000 and my heloc of 17,000 paid off which would mean I need an appraisal of atleast 130,000 with the closing costs. I don't see how that is possible since my last appraisal was 120,000.00 so I am planning on having to sell and my house is in a very desirable neighborhood and houses sell around me very fast so I am preparing for that and will have to hit my loc to make some last repairs. But I could get lucky and get a good appraisal but I have to get my scores of to 580 since that is the new minimum level for fha agents locally.

Sorry, My sad story is just one of many on this site and I am only VERY THANKFUL for this site and people like you that help us in credit need.

And so you have full disclosure My heloc is 17k with a 17,100 balance. My loc is 20k with 16k balance.

Message Edited by bott6698 on 03-26-2008 10:08 PM