topic Re: How to raise credit score fastest!? in General Credit Topics

How to raise credit score fastest!?

775orbust — Wed, 11 Mar 2020 16:16:34 GMT

I will have an extra $1600 to use towards cc debt. What should I out it towards that will make my credit score more substantially higher?

Capital One $814 balance. Limit is $3500

Discover $1950 balance. Limit is $5500

PayPal Credit $500 balance. Limit is $2500

Re: How to lower credit score fastest!?

RSX — Wed, 11 Mar 2020 16:13:45 GMT

Fully payoff Cap1 and PayPal

use the remaining $300 for Discover

you will then have only 1CC out of 3 reporting which is good

you will drop 2 monthly payments so that you can focus all funds on the last one

you will have 1 CC at 30%, which means that in 1 month you will be below 29% and should see another score jump

Re: How to raise credit score fastest!?

CreditCuriosity — Wed, 11 Mar 2020 16:17:33 GMT

@775orbust i changed the subject of your post as you said lower credit score faster where you meant raise credit score fastest.

Re: How to lower credit score fastest!?

RSX — Wed, 11 Mar 2020 16:40:30 GMT

The other option would be

paypal. Payoff $300. This will drop you to 8% utilization

cap1. Payoff. $534. This will drop you to 8% utilization

Discover. remaining $766. This will drop you to 21%

overall you will be at 12%

i would do the 2 Full payoffs I listed above instead though.

Re: How to lower credit score fastest!?

AllZero — Wed, 11 Mar 2020 17:11:39 GMT

I would recommend reading the below from ABCD2199
The Truth about Credit Card Utilization
My 11 Rules to Credit Rebuilding
FICO Score: What to pay down first?

Re: How to lower credit score fastest!?

AllZero — Wed, 11 Mar 2020 17:14:27 GMT

Not knowing your exact details, below are benchmarks for FICO 8.

Remember these aggregate utilization thresholds: 8.9%, 28.9%, 48.9%, 68.9%, 88.9%
If you're not crossing a threshold, you won't be getting points.

Aggregate: 10-15 points for aggregate crossing a threshold.

Individual: ~5 points points for individual crossing a threshold.

Look into AZEO Technique. All Zero Except One card reporting a small balance e.g. $5-$10. Use a bank card. Do not use a store card.

Get your CC aggregate utility at or below 8.9% for full FICO points optimization.

Scores will react positively with one revolving credit card reporting a balance.

You might want to address any derogatory you have; delinquency, charge off, collection, etc. If they are updating monthly, it'll keep your scores suppressed.

Re: How to lower credit score fastest!?

pinkandgrey — Wed, 11 Mar 2020 21:50:43 GMT

@RSX wrote:
Fully payoff Cap1 and PayPal
use the remaining $300 for Discover

you will then have only 1CC out of 3 reporting which is good
you will drop 2 monthly payments so that you can focus all funds on the last one
you will have 1 CC at 30%, which means that in 1 month you will be below 29% and should see another score jump

This is EXACTLY what I would do in your situation.

Good luck!!

Re: How to raise credit score fastest!?

seattletravels — Thu, 12 Mar 2020 00:57:47 GMT

I'd follow what @RSX said in their first post. How fun is this. Please post what you decide to do and let us know how it impacts your score!

Re: How to raise credit score fastest!?

775orbust — Thu, 12 Mar 2020 12:47:58 GMT

Ok guys I hope this works in relation to my last post....I have another scenario or question. My biggest goal is to have the credit score increase show the fastest. @rsx I likes your first idea!

My capital one reports next around April 4th but discover reports on the 22nd of this month. So I'm wondering if I should out the 1600 toward the big 1950 discover balance? Because it might impact my credit score sooner?

What do you guys think?

I do have a few lates on my report. I disputed a collection and had it removed. Sent good will letters and had one late removes thus far.

Re: How to raise credit score fastest!?

775orbust — Thu, 12 Mar 2020 12:50:12 GMT

Also my scores are:

EQ 706

TU 734

EX 736

@775orbust wrote:
Ok guys I hope this works in relation to my last post....I have another scenario or question. My biggest goal is to have the credit score increase show the fastest. @rsx I likes your first idea!
My capital one reports next around April 4th but discover reports on the 22nd of this month. So I'm wondering if I should out the 1600 toward the big 1950 discover balance? Because it might impact my credit score sooner?
What do you guys think?
I do have a few lates on my report. I disputed a collection and had it removed. Sent good will letters and had one late removes thus far.

Re: How to raise credit score fastest!?

seattletravels — Thu, 12 Mar 2020 15:04:56 GMT

Its up to you but I say be patient and follow the model above.

Re: How to raise credit score fastest!?

RSX — Thu, 12 Mar 2020 16:29:47 GMT

If you are looking at scoring bumps in the realm of 13 days differential, I think you will be disappointed both by scoring and financial impact (interest charges)

i know there are timelines sometimes for a Goal score (loan/car loan/mortgage)

but finances should be before scores

and changing a good financial and scoring plan for the sake of 13 days seems risky to me. What if the Discover misses a month of reporting? Now the $1600 is gone, no impact to the other 2 CC's and another month to wait. I have seen it happen across all the different CC companies. Albeit rare, it does happen

i think you have a couple of options to action your plan. And then the new option you are proposing.
Pick what you feel most comfortable for you and let us know how it goes.

Re: How to raise credit score fastest!?

SouthJamaica — Thu, 12 Mar 2020 18:45:23 GMT

@775orbust wrote:
I will have an extra $1600 to use towards cc debt. What should I out it towards that will make my credit score more substantially higher?
Capital One $814 balance. Limit is $3500
Discover $1950 balance. Limit is $5500
PayPal Credit $500 balance. Limit is $2500

For your mortgage scores, pay off PayPal and Capital One, and apply the rest to Discover.

For your FICO 8 and FICO 9 scores, pay $500 on Discover, pay off PayPal, and put $600 towards Capital One.

Re: How to raise credit score fastest!?

SouthJamaica — Thu, 12 Mar 2020 18:49:14 GMT

@775orbust wrote:
Ok guys I hope this works in relation to my last post....I have another scenario or question. My biggest goal is to have the credit score increase show the fastest. @rsx I likes your first idea!
My capital one reports next around April 4th but discover reports on the 22nd of this month. So I'm wondering if I should out the 1600 toward the big 1950 discover balance? Because it might impact my credit score sooner?
What do you guys think?
I do have a few lates on my report. I disputed a collection and had it removed. Sent good will letters and had one late removes thus far.

Yes, if you want the improvement to come sooner, then put the whole 1600 toward the Discover balance.

Re: How to raise credit score fastest!?

Thomas_Thumb — Sat, 14 Mar 2020 00:25:35 GMT

@775orbust wrote:
I will have an extra $1600 to use towards cc debt. What should I out it towards that will make my credit score more substantially higher?
Capital One $814 balance. Limit is $3500
Discover $1950 balance. Limit is $5500
PayPal Credit $500 balance. Limit is $2500

Put $500 to $700 toward Discover, then pay off either the Cap One or PayPal and use the remainder to pay down more than the minimum on the last card.

You want ensure the Discover reports utilization below 29% (take it to below 27% to get a little buffer from a potential interest charge), have one of the other cards report a zero balance and make more than the minimum payment on the last card.