topic Re: UT/ based on each account separately? in General Credit Topics

UT/ based on each account separately?

majesty — Mon, 03 Dec 2007 21:03:04 GMT

Question... In the fico scoring system is UT % determined on each account individually (CL versus balance of each account) or the total sum of all available credit versus balances?

Re: UT/ based on each account separately?

fused — Mon, 03 Dec 2007 21:05:16 GMT

Both! And they are weighed equally in FICO scoring.

Re: UT/ based on each account separately?

majesty — Mon, 03 Dec 2007 21:10:12 GMT

fused wrote:
Both! And they are weighed equally in FICO scoring.

Thanks... however if I have 6 cards with low limits 300 CL and only at 10% UT and 1 card with 5k CL at 80% UT am I ok or losing the advantage of the 6 accounts at 10% because of the 1 larger account?

Re: UT/ based on each account separately?

fused — Mon, 03 Dec 2007 21:16:43 GMT

majesty wrote:

Thanks... however if I have 6 cards with low limits 300 CL and only at 10% UT and 1 card with 5k CL at 80% UT am I ok or losing the advantage of the 6 accounts at 10% because of the 1 larger account?

This will hurt you in both ways: overall util is at 61% (bad), and an indiv util on your 5K CC at 80% getting worse. The trick is to never have a single CC reporting more than 50% util. I think in your case it's best to have 3 of your 6 cards reporting 1-9% util and the other 3 PIF.

Re: UT/ based on each account separately?

majesty — Tue, 04 Dec 2007 00:20:57 GMT

good advice... I see what you mean in regards to allowing the 3 PIF cards to lower over UT %.. I may possibly keep all 6 small cards at 0 -2% utilization...

Re: UT/ based on each account separately?

haulingthescoreup — Tue, 04 Dec 2007 01:17:14 GMT

@majesty wrote:
good advice... I see what you mean in regards to allowing the 3 PIF cards to lower over UT %.. I may possibly keep all 6 small cards at 0 -2% utilization...

And it's a heck of a lot easier to keep low CL cards at 0% and let the bigger ones report a balance. 9% on a $300 CL card = $27. Not even a tank of gas these days.

You will get a better score boost if at least half of your cards have a $0 balance at any one time. That was a big part of my recent score jump. I'm now only allowing one card to post at any one time (maybe a 10-day overlap before one shows as PIF'd.) Not only does it help the scores, but it's a heck of a lot simpler to keep track of.

Re: UT/ based on each account separately?

majesty — Tue, 04 Dec 2007 20:27:23 GMT

@haulingthescoreup wrote:
@majesty wrote:
good advice... I see what you mean in regards to allowing the 3 PIF cards to lower over UT %.. I may possibly keep all 6 small cards at 0 -2% utilization...

And it's a heck of a lot easier to keep low CL cards at 0% and let the bigger ones report a balance. 9% on a $300 CL card = $27. Not even a tank of gas these days.

You will get a better score boost if at least half of your cards have a $0 balance at any one time. That was a big part of my recent score jump. I'm now only allowing one card to post at any one time (maybe a 10-day overlap before one shows as PIF'd.) Not only does it help the scores, but it's a heck of a lot simpler to keep track of.

you guys are so helpful.. I have been online paying down those small accounts since yesterday