topic Re: Utilization? in Understanding FICO® Scoring

Utilization?

Anonymous — Thu, 03 Jun 2010 16:18:53 GMT

What accounts factor in to your utilization score portion? Is it all accounts or just your revolving accounts? If I pay my card in full every month before the due date, how can i be assured they are reporting a 0 balance? Do cards all report a certain day of the month, and if so what if my due date is after that date?

Re: Utilization?

Anonymous — Thu, 03 Jun 2010 16:34:20 GMT

@Anonymous wrote:
What accounts factor in to your utilization score portion? Is it all accounts or just your revolving accounts? If I pay my card in full every month before the due date, how can i be assured they are reporting a 0 balance? Do cards all report a certain day of the month, and if so what if my due date is after that date?

Utilization of installment loans is factored but it's effect is minimal. Revolving utilization is the key factor. It is 30% of your total score.

I've answered part of your question in the thread you started in Rebuilding Your Credit but I'll put it here also.

Balances are reported on your monthly statement. So you need to know that date to detemine how much utilization to have report each month. For example my Cap 1 card posts a statement on the 12th or 13th of every month, Discover always on the 13th, BoA on the 13th or 14th, Citi on the 7th.

You can call the CC issuer and ask when the statement will post each month or wait until you get the first one. Just remember to pay any balance before the due date to avoid any finance charges.

How do you know for sure the payment has posted correctly? I check all my accounts every day to make sure everything is correct.

From a BK years ago to:
9/09 EX pulled by lender 802
3/10 EQ- 800
4/10 TU -772

You can do the same thing with hard work

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Re: Utilization?

Anonymous — Thu, 03 Jun 2010 17:16:06 GMT

Thanks again!

So, the key isn't my due date, it's the date they report. I guess it would be wise for me to treat that like a due date.

Re: Utilization?

Anonymous — Thu, 03 Jun 2010 22:26:55 GMT

@Anonymous wrote:
Thanks again!

So, the key isn't my due date, it's the date they report. I guess it would be wise for me to treat that like a due date.

Correct. Whatever your utilization is on that day is what will show if/when your score is pulled. But the due date is important also. PIF before that date and you'll never pay interest.