topic Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D in Rebuilding Your Credit

I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Thu, 30 Jun 2016 14:33:13 GMT

Hi all, this will be my VERY first post! But I'm definitely not a "real" newbie on this board, I read through them and follow through alot of discussions and tips. Anyway, I wanted to ask others out there... I finally got all my student loans paid for and my credit that was 528 just last year, jump rocket up to 647/640 this month. I was so excited that I automatically applied for my first credit card again... after years! I was approved right away for $1,000 from Cap1 card. I went on vacation and when I returned I got really happy and applied for several others, BofA (denied), CITI (denied), Chase (Denied), PenFed (denied), Victoria Secret (pending), Walmart (approved $500), Amazon (Approved $500), Neiman Marcus ($700), Bergdorf GoodMan ($700), Barclay (Denied), Discover (Denied), Amex (Denied). Anyway, with all 12 inquries how bad did I mess up myself? and now with $3400 CL, Im not sure if I made a mess or will end up better for later?

I currently have 7 CA on my report, 12 Good Standing, 1 Mortgage (paid off), No Auto Loan ( I paid my car in cash), and 3 Judgements (long story)... but this was so much better than it was last year where I had 23 CA... but I had 0% credit line and ofcourse 0% utilization. I can pretty much paid off the $3400 CL everymonth right now if I need to. But I dont know how to start and get myself to 700. Please help if you could and let me know your thoughts? should I try for any more cards???

Thank you much!

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Thu, 30 Jun 2016 14:41:19 GMT

I'm no expert, by any means, but if I were you, I would head to the garden. Instead if applying for more things nurture what you've gotten and give it time to grow.

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

MrsCHX — Thu, 30 Jun 2016 19:47:48 GMT

Woah. Well you've done a little damage but not horrible.
Definitely garden. And when you're out be sure to know what criteria lenders look at beforehand! The board could've saved you some of those inquiries.

But a nice stretch of gardening will help you.

That cap one, Walmart, Amazon and probably NM too will grow really well. Barclay is really inquiry sensitive and some of those others may be too.

For the next 2 years focus on clearing those collections and judgments off and growing the lines you have!

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

9CLINE — Thu, 30 Jun 2016 22:48:08 GMT

Welcome 2 the forum and +1 on previous advice..You have the needed accts. to get where you are trying to go,so now it's time to garden and work on baddies,while patiently growing your new plants,,,,Check out more info on the board about cleaning up credit files while gardening,,
Best Wishes on your credit journey !!!!!!!!!

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

greent — Thu, 30 Jun 2016 23:47:17 GMT

I'm right there with you I have 16 inquiries on my credit report. I was just approved for the citi visa card offered at cosco but it cost me 17 point drop on my credit. With the cards you got just make small purchases and pay off them off before the bill is due. I did that back in September till now and increased my score from 595 to 680. Capital is good at approving you with a low score. But just garden for about 6 months and your score will increase. Mine did.

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

RonM21 — Fri, 01 Jul 2016 08:11:01 GMT

Welcome. Simply gsrdening and growing what you you do have will put you on the track of reaching your goal. I wouldn't apply for anything else. Keep reading these threads because it sounds silly, but there are even ways to garden correctly, or get the most out of it.

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Sun, 03 Jul 2016 03:59:55 GMT

Thank you all for your kind words! I am really excited to get my score up there, I just checked my score today even with 13 inquiries they just added the Walmart and my scored went up 13 points from 640 to 653. I wonder if it's going to be dropping later on I'm excited and scared ....

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Sun, 03 Jul 2016 04:49:04 GMT

Ok, you didn't mess up per se, not the recommended way to go but hey! We pivot from where we stand, right?

1) Congratulations on turning the page and getting the approvals you got....as mentioned above you got plenty and really shouldn't apply for ANYTHING for at least 12 cycles
Yes that's 12 months (you burnt a LOT of HP's) allow On-tims payments to work for you and you can only make 12 in 12 months.

Please dont take this the wrong way, the other reason for you to chill out is just the app spree cookie monster style should SCARE you into how easily you can fall back into old bad habits and impulses.

Read what you wrote... the moment your credit went from boo boo to less boo boo you ran out and tapped a dozen times seeking credit that should worry a person just like a recoverying addict of any kind, trouble lurks...if you aren't careful.

You're already speaking of paying of maxed out $3400 months which shouldn't even be anywhere NEAR how you spend on credit.

IMHO rebuilders should NEVER see a credit card balance over 20% at least for a year while you reteach yourself or teach yourself how to get it right this time for good vs right back to questionable habits.

Too often we 'buy' stuff on credit vs using our credit as a way to pay...big difference.

Those that PIF are using CC's as a payment method, if one has debt and collections and all these bill issues then they are paying checkers in a chess game and need to study and learn, the proper game or continually suffer the same fate again and again.

Hope that helps, someone.

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Sun, 03 Jul 2016 14:54:27 GMT

^ thank you for your kind words and the time spent replying I really do appreciate it! I understand exactly what you said and now that I calmed down and thought about it, it does makes alot of sense! I was just very excited to see the "Congratulations! You're Approved" I haven't seen that for at least a DECADE. Due to all of my student loans and to finally get that 1 it just gave me the "go signal" to try for the others.. which was really bad on my part. I'm still learning how to garden and how to work on my score. I can honestly say that I make enough monthly that I dont need a credit card but I dont show any credit card at all on my report. I paid a car in cash and our mortgage loan has only been under my husband's because of my VERY poor credit history mostly from student loans.

I was wondering about that Utilization, I can maxed the $500 credit limit I have right now and pay it off the next day? I dont really know if that's the way to do it, or max it and pay 90% off it later? what will be the best approach? I want to get a score upto 750 if all possible.

Thank you for yours or anyone that could enlighten me!

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Tue, 05 Jul 2016 15:24:42 GMT

@Anonymous wrote:
^ thank you for your kind words and the time spent replying I really do appreciate it! I understand exactly what you said and now that I calmed down and thought about it, it does makes alot of sense! I was just very excited to see the "Congratulations! You're Approved" I haven't seen that for at least a DECADE. Due to all of my student loans and to finally get that 1 it just gave me the "go signal" to try for the others.. which was really bad on my part. I'm still learning how to garden and how to work on my score. I can honestly say that I make enough monthly that I dont need a credit card but I dont show any credit card at all on my report. I paid a car in cash and our mortgage loan has only been under my husband's because of my VERY poor credit history mostly from student loans.

I was wondering about that Utilization,
I can maxed the $500 credit limit I have right now and pay it off the next day?
I dont really know if that's the way to do it, or max it and pay 90% off it later?

what will be the best approach? I want to get a score upto 750 if all possible.

Thank you for yours or anyone that could enlighten me!

1) This is a GREAT example of somebody 'trying' the do the right thing but the 'system' and it's marketing machine has them all twisted.

Not your fault but listen up!

2) In it's simplest terms utilization, other than paying on-time obviously, is the most important aspect of the credit game.

You control it.... you decide how you look....the computer scoring model is all about %, the numbers nothing more, just the stats

Again simply stated it's a math equation ...think of letter grads in school

A 'C' grade would be keeping your 'reported debt' divided by your CL at no more than 30%

Ex: $150/$500 = 30% util or I prefer 30% debt load or debt/CL ratio

Anything higher and your grade starts to slip lower than 'C'......(btw at like 70% it's considered an 'F' or maxed out fyi)

Keeping with the analogy

To be a 'B' student you want to keep your debt/CL ratio at no worse than 20%.......

using a $500 CL ...we are talking no more than a reported debt load of $100.....ie $100/$500 = 20%

'A' students are going to be below 10% or $50/$500 ( but to show 'some' usage at least 1%) so ideal is 1-10%.. No more.

And just so we are clear the top 46% of CC holders can and do maintain 10% or less usage ratios....

Many will ask HOW is that possible? One way is NOT to use credit as if one has large limit cards, when they are still in the

credit limit minor leagues....it's just that simple.

It's like a minor league ball player trying to spend like a major leaguer....wait your turn before you show your as or you''l never get

the big contract 'get it'....right now you do EVERYTHING right, till you get to the big leagues, if not you stay in the minors forever.

Last thing, IMO there is NO NEED the max out low limits cards 'chasing' a few reward points when the goal at that level should be to

build a solid history of

a) on-time payments (35% of score) and

b) great debt/ratio (30% of score)

that's 2/3rds of the scoiring model....playing the charge up, pay down game is just playing with fire for no good reason IMO

The 'game' should be practicing on keeping payments on time and balances low.....and allow TIME (10% od scoring) to do it's thing.

Since, you don't have an installment account (b/c you paid cash for the car and the mortgage is under hubby...) if I were you I'd

set up a secured loan and 'pay' it back..thus adding credit mix (10% of the scoring model) and a good (installment) TL to your reports.

That way you are addressing a lot of the scoring model, with extra strokes

35% on time

30% debt util

15% aging/time

10% credit mix

____

90% of the model being touched (the other 10% is inq/new credit...it is what it is, there)

Everybody knows I like using the same secured funds to

1) Secure a small secured PL ...then use the 'loan proceeds' to

2) Secure 1 or 2 or 3 secured CC's then use the CC's to make payments on the loan

killing 2-3 birds if 1 stone ( the only 'cost' is a very little amount of % for the 'loan' 2-3% tops...ie $15-$25 over the course of a year or 2)

This allows for the illusion of a bunch of on-time payments, the credit mix of revolvers and a installment account,

with low debt/ratio....all for the number crunching 'dumb' computer scoring model to 'see'....remember it's just running numbers on percentages,

we'll worry about the big boy/girl CL's as they come....upfront it's all about the percentages.

Work them in your favor, especially NOW...when you don't NEED credit to pay your expenses....this is the PREFECT time to BUILD!

Build it BEFORE you 'need' it!

Take the next 15-25 months to build it right and you'll never look back....build it, while you don't NEED IT.....so when you want to use it, it's all grown up

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Tue, 05 Jul 2016 18:58:11 GMT

@gemine101 oh wow, thank you thank you! I'm beyond grateful for all the things you said and I will keep all of it in mind and in heart to follow through! I really enjoy reading your post! I really like the one with PL and use for secured... Right now I was told I can get the PL from PenFed and I honestly can send them the money. Is higher the better? she said there's no maximum and whatever I put in, actually earns interest. So I can just put what I have in my savings in this account and then Discover just sent me a letter of approval that I can put a secured one upto $2,500. But if I do what you said then I'll be maxing out the PL? will that matter? Utilization will be 100%?

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Tue, 05 Jul 2016 22:37:27 GMT

Ok, there are a few ways to answer your question.....

If you were looking to boost to buy a house/car .....or if you had no other accounts the plan IMO would be different

but from where you sit with accounts, already and no specific built-in current need on the horizon....I'd take a chilled approach.

Before, I start let me say this 'technically'...Yes a PL is at 100% but it isn't judge like a revolving account

... the model EXPECTS that a car loan or home loan or any installer to be at that level b/c of the nature of the loan

( yes, vets there is a bump near pay offs ...but we won't talk about advanced crap....that only confuses noobies and isn't the discussion at this level)

Bottom line: There isn't a 'ratio' negative for a PL, it's expected.

Secondly, IMO...I'm not a huge fan of LARGE secured loans (or secured CC's) for 2 reasons:

1) The scoring model as I've said is looking at

a) on-time payments (not the size, just whether it's on-time)

* Side note for everybody the 35% of the model is for on-tiome "minimum" AGREED upon payment, period....it is a yes/no...true/false equatation NOTHING MORE!

I know 'we' add more to it but for the model it's yes/no...that's it...If the car note is $235.54, was THE MINIMUM AGREED payment made ON-TIME? yes/no

As for CC's was THE MINIMUM AGREED payment amountmade ? yes/no....now for other reasons we want to pay more on our CC's but STRICTLY speaking the computer model gives you the thumps up a YES/NO for the minimum (remember debt/load is a separate 30% and saving on % paid is another)

So, again size isn't important, at this point it's about touching the base, period.

2) I know ppl have been 'sold' on "get a BIG CL" so that other vendors will be forced to match or beat the limit...well if your credit is YOUNG or otherwise weak

there is a diminishing effect of this thought pattern, anyway.....so why add the extra stess of a payment that can't be made with the flick of your wrist...not worth the extra worry of tying up funds trying to catch lightning in a bottle.

I see no need or gain in having more than a $1000 Secured PL with a reasonable little payment and since I saw that you already have other CC accounts, you'd be

cool with either

a) one $1000 Discover account or

my favorite

b) one $500 Disco and a 2nd $500 CC from a vendor of your choice you'd like to 'grow' with (of course I like no AF vendors)

* Why? 1) Discover WILL grow grow and unsecure, anyway...great bank, lots of goodies, we all know of..2) Again, BUILD before you need shelter...why not

start a relationship w/ another lender that will grow and unsecure within a year as well, thus growing several 'relationships' using the same amount of TIME in your favor.

You're not looking to actually 'use' these cards anyway...during the build stage it's about 'da game....build it deep and strong, you don't know which one of your girl/boy friends is gonna be 'the one' next year or so, so give a few a 'taste'

Also let me give the safety net to the entire process......

Place $1063 dollars in the savings account for the secured PL

Borrow $1000 with aprox: a $43/mo payment...leaving $63 available in said account

Then use the $500 secured Disco to pay the loan ($43/$500 = 8.6% = beautiful ratio)

Next month use the $500 2nd card, same beautiful ratio (that way each card gets use and every other month, there's one less card with a balance...our aim is to manipulate the 'dump' scoring computer model, right?)

Ok, once the PL payment is made each month the amount secured goes down (as your 'loan' loan principal decreases) in turn your avaiable goes UP...

meaning the $63 in the account becomes $103 (b/c $3 of the $43 goes to % and $40 comes off the loan balances) so b/c you placed enough in the account upfront,

it will PAY-ITSELF every month w/o any 'real' effort nor additional funds from you...again beautiful!

FYI...IMO a builder trying to 'train' themselves SHOULD deposit $43/mo (only $10/wk) just as if they are making a payment for 2 reasons

a) Great practice of commitment to make 'payments' no matter what ...and the bonus

b) After all is said and done you've shown/proved to yourself you CAN make payments, no matter what ...PLUS,

you built a liquid EMERGENCY FUND ....that most Americans 'never' seem to be able to have the discipline to do (sorry I always have 2 things going on at once, for my clients 'the Gemini Way' baby $43 x 12months = $516 ( that's an insurance deductible...ya'll know I'm an agent right? lol) add that to the secured funds just released from your newly unsecured CC's and you are cooking w/ freaking grease!

* Btw regarding that $43/mo thing....once you're done NOTHING stops you from continuing to save/deposit monthly folks even if it falls to HALF....saving a little extra every month is doable ( sorry guys, 25 years of doing this I'm like a Daddy Bear at all times)

Hope this helps, somebody

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Wed, 06 Jul 2016 00:38:48 GMT

@gemini wow and wow thank you again and again! I am beyond grateful for the time you took to put this plan together and gave me such a great advice! I already started on the PL however I was told I have to wait 30 days before I can use it as "share credit" and the email from discover says I have to put the secure deposit by 17th. So I don't know if I can do what you said - I put $1100 in the PL and plan to take the $1000 and put in Discover and use that card for my gas 😆 But with the time crunch I may have to take out $2000 from my savings to put $1000 each. I'm afraid I have wayyyy too many inquiries now that if I let discover slides I won't get the same chance for secure card 😆.

Anyway I truly appreciates your advice and will be following it to the T. I'll set the auto pay for $15 a week on PL and pay in full on Discover.

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Wed, 06 Jul 2016 01:23:52 GMT

Are you saying you got a secured PL from PenFed but don't have access to the funds for 30 days?

Also, correct me if I'm wrong but can't you just open the Disco w/ a min. $200 then add to it the following month or so?

And FYI there are secured cards you can open w/o an inquiry, some banks/cu will just open it as long as the funds are deposited

but it's up to you.

You said you deposited $1100, already right? There really isn't a NEED to move another 2g's IMO ....you don't get a real benefit for

having a larger number at this point of your build ...you've got a comma card (1,000) w/ the Cap-1 account already.

The growth or BIG CL card is gonna come 'naturally' at this point due to age and on-time payments NOT b/c you 'will' it there with a

$2500 secured account.....either you meet intenal guidelines for a large CL or not....at this point it's about building payments and history.

Whatever internal UW that's gonna award a 5k or more CL will happen with history and the 1k CL you already have on your reports 'buying'

a $2500 TL gets you nothing at this point......this thing is situational and you're good as far as 'that' part goes, move to shore up another hatch.

Love the Disco for gas only idea, get your usage and your cash back!

My USAA AmEx w/ 5% cash back for gas IS my gas only card

*Grabbing another card beyond the Disco is NOT necessary for your profile, don't stress over ( if you see something 'sweet' grab it otherwise...no big deal)

You've got

Cap-1 ( SP CLI request)

Disco (SP CLI possible...they'll 'ask' if it's ok to HP.....you can say no thanks and wait)

you'd be maturing

Walmart: $500 / Amazon VISA: $500 / NMarcus:$700? / BG: $700

That's 6 CC accounts and the PL ....that's absolutely fine...your profile is FINE.....some of my insight was for others with less accounts established to show how to use the same funds to build 2, 3 or 4 TL's using the same dough but you've got plenty to work with.....

Think about it shortly you'll have a

$1000 Cap1 M/C ( I assume)

$1000 Disco

$500 Visa

an install loan

and store cards

You've got everything for Thanksgiving dinner......now just go heat it up g/f

Best of Luck

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Wed, 06 Jul 2016 05:36:25 GMT

@Anonymous wrote:
2) I know ppl have been 'sold' on "get a BIG CL" so that other vendors will be forced to match or beat the limit...well if your credit is YOUNG or otherwise weak
there is a diminishing effect of this thought pattern, anyway.....so why add the extra stess of a payment that can't be made with the flick of your wrist...not worth the extra worry of tying up funds trying to catch lightning in a bottle.

Thank you for saying this and bringing me back down to Earth. So important to remember that as we learn how to responsibly utilize credit we start small, so we don't put ourselves back into a **bleep**ty situation.

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Wed, 06 Jul 2016 16:31:09 GMT

@Gemini - I'm sorry still not sure how to quote your message and use it here! lol still a big noob as you say it

Anyhow, I went ahead and took the plunge and secure the Discover with just $300 I'll just wait for another month and add the $1000 thats on PenFed Secure Loan. I hope they dont change their mind and not let me add any aditional credit to the secure card! I just cant wait to see the new card hahah, super excited!

Thank you again and again for all your messages and time spent! I'm really very appreciative

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Wed, 06 Jul 2016 17:10:59 GMT

@mco7816,
You said you wanted to use your CCs. You offered up 2 ways you could do this.
1) Use the cards then PIF right after you use them; OR
2) Use to 90%, then PIF later. (I can't remember your timing for the payment.)

What I am basing my response on is a little bit of personal experience and a lot of piecing together posts around here.....

#1 is the option I am just starting to use. My reasoning is this if a CC is used then paid off immediately, my debt will not sneak up on me. Also, I have seen the CapOne card posts about CLIs having better success and better/Bigger jumps with a lot of CC activity and PIFs. The way I have been doing things is paying everything with my debit card. So I figure, why not carry a 0 balance on my CCs and use those and pay the CC with my debit/checking account? Different means to a slightly different end. The CC use will be high but paid off. I will gather some low rewards points AND, if a CC is lost, it's not as devastating as losing a debit card and having my cash account liquidated and fighting with the bank to get it back.

#2 this option scares me. I know my spending habits a bit too well. It opens me up to not having enough money at the end of the Month not to PIF my CC bill and I will make a much smaller payment than I should. (Putting me in the hole) I'll have a higher UTIL. A High UTIL (even if a low balance) feels overwhelming. I just know how I am. I am impulsive and compulsive which is what created my financial mess.

WITH EITHER METHOD...
Make sure you do NOT use the card between the time the payment is due and the date that the CC reports to the CRB. If you PIF, you want it to be reported as PIF. If you PIF and Spend 40% UTIL, and you next payment does not post before it reports, you get the 40% on the CR instead of 0%.

I hope that makes sense and helps

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Wed, 06 Jul 2016 18:46:24 GMT

@solorider hey there! thank you for your feedback!

I do want to use the credit cards I been approved for. My stratgey is used up all the credit that I have and pay it all off before it hits the my report. I wanted to show the OC that I'm able to use up all the credit and capable of paying it all off. I'm in a place where I can pay off the limits I have the same day it shows as reported balance.

My horrible credit was from when I was young and was making $5/hr and going in college then became single mom. It took me awhile to pay off my student loans and ofcourse working for Long John Silvers I didn't have ANY Health Insurance, so I also was in collection for medical bills for my daughter. However, thank God, I'm in much better place. I have insurance, I have paid car in full ($28,000 equity), my house is half way paid ($150,000 equity) and the only left negatives in my credit are some more of those medical CA and a couple of judgements (again from school and medical)... low and behold these are all paid in full but nonetheless they are showing on my credit as negative.

Im fortunate that my husband has a stellar credit and he was able to put all mortgage under his name and now it's closed to getting paid off. I never had the need for a new car but as I get higher in my position at work, I kinda need to have a decent car. I know I will never pay any creditor any interest especially HIGH interest on car so I used my savings and bought myself one. My problem is that in 4 years I didnt have nor had the desire to open a credit card so my report shows no revolving credit, no auto loan and paid off 2nd mortgage.

About CC or debit card lost, I had my fair share of my debit getting lost or stolen but with BofAmerica they always cover you for fradulent charges and my funds are credited back to my account within the hour if not minutes after I report so I havent had any problem with that.

I think right now I'm so use of having my debit card that I will try to get use to using the credit cards to establish history and payments. I already set all of them up to pay in full except the Discover that I plan to keep the >10% utilization.

I have a pretty good game plan now, I think in 3 years when we atleast have $250,000 house equity we'll be able to get a new house. Right now, I'll make sure that I get my score to stellar first

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Wed, 06 Jul 2016 21:38:10 GMT

@Anonymous wrote:
^ thank you for your kind words and the time spent replying I really do appreciate it! I understand exactly what you said and now that I calmed down and thought about it, it does makes alot of sense! I was just very excited to see the "Congratulations! You're Approved" I haven't seen that for at least a DECADE. Due to all of my student loans and to finally get that 1 it just gave me the "go signal" to try for the others.. which was really bad on my part. I'm still learning how to garden and how to work on my score. I can honestly say that I make enough monthly that I dont need a credit card but I dont show any credit card at all on my report. I paid a car in cash and our mortgage loan has only been under my husband's because of my VERY poor credit history mostly from student loans.

I was wondering about that Utilization, I can maxed the $500 credit limit I have right now and pay it off the next day? I dont really know if that's the way to do it, or max it and pay 90% off it later? what will be the best approach? I want to get a score upto 750 if all possible.

Thank you for yours or anyone that could enlighten me!

OK, lets slow down and get a couple of definitions straight. This is actually very simple. There are TWO things you need to know the difference between - Utilization, and Usage.

Utilization (UTI) is simply the amount left as a balance when your statement closes, expressed as a percentage of the limit. Thats it - nothing more, nothing less. Your statement balance.

Usage, OTOH, is simply the amount charged to the card each month. One really has little to do (directly) with the other. You can have low UTI and high usage, or you can have high UTI and low usage, or both can be high, or both can be low.

Only UTI affects your scores. The most advantageous combination is to have low UTI to boost your scores, and high usage to encourage the lender to raise your limit.

Keep your UTI low simply by paying down the balance (to below 30%, but you may see a few more points if you go down to below 10%) just before the statement closing date. Its that simple.

Re: I went app crazy and had 12 inquiries w. EQ: 640 5 approved 7 denied :D

Anonymous — Wed, 06 Jul 2016 23:36:43 GMT

I agree and thank @Norman for pitching in

@mco based upon this statement

"I do want to use the credit cards I been approved for. My stratgey is used up all the credit that I have and pay it all off before it hits the my report.

I wanted to show the OC that I'm able to use up all the credit and capable of paying it all off. I'm in a place where I can pay off the limits I have the same day it shows as reported balance. "

We have a problem and I apologize for not expressing it more clearly ( great job @Norman)

1) "...I wanted to show the OC that I'm able to use up all the credit and capable of paying it all off.."

I know where this thought pattern comes from but it is off base and needs to be TRASHED...you don't need to 'prove' any such thing, period. Simple as that.

If there is any 'proving' to be done actually it's the other way around you want to show the 'scoring model' that are don't NEED to use, a great amount of your CL.

....ie showing you're not 'thiristy' or needy....basically that you can live w/o credit....which shows financial strength.

Yes I know it may seem counter to 'normal' thought process...but that's why hear rold ppl say stuff like

'the rich get richer' and 'ppl who don't NEED a loan get credit easier than someone who NEEDS it'....yeah b/c the more needy, the more risk, in general.

It's not personal but the truth is a person 'in trouble' is just a higher risk, than one who isn't.

The use, use, and use and race to pay off method has been lost on the American public....basically spoon fed by marketers in the CC industry addicting ppl to

'chase' so called 'rewards points' and cash back....and it's gotten out of hand

1) I'm a broken record on rebuilders NOT being overly concerned at using CC's to chase ANY rewards....play checkers before trying to get into an advanced chess game that isn't of much value at your level of the game anyway....

2) This kind of behaviour causes more potential problems than potential rewards, anyway...over spending is just one...feeding the CC addictions of Americans is another.

This is a TRAP...brought to you by marketers in the industry trying to get

a) As many transactions processed as possible for their MONEY from processing vendor charges, they are USING you to create B.S. transactin fees from vendors

b) It's like a bar PROMOTING drinking to the point where you become a full blown drunk, who can't see having a meal w/o a drink

or the movies making us NOT be able to see a movie w/o the tub of $40 popcorn

I LOVE NFCU but they sent out a sweepstakes/lottery type promotion recently where they are giving away 25k I think per week ...

each swipe is one entry and guess what swipes UNDER $5 count for two entries..they are 'training' ppl especially young and/or new to credit ppl to swipe, swipe, swipe away b/c those swipes equal MONEY.

My problem is it set a bad habit and confuses ppl into thinking ...that's the way it SHOULD be....than you have 'advanced' reward seeking mature CC users amen-ing the same b/c of how 'they' chase but most ppl should not be so addicted to SWIPING at every turn...trouble waiting to happen smh

IMO we shouldn't be encouraging under $5 transaction for bubble gum and candy to win contest, nor should we have ppl think they should USE UP their CL's then RACE to pay prior to statement cuts as if it's russian roulette....I don't like it and think it's dangerous and un-needed.