@Anonymous wrote:So I've done a TON of growing up over the last year My 1 and only derogatory fell off 3 days ago my scores are now in the low to mid 700s.. I've almost always have been approved for cards but I always get low limits ($1,000). I've been going about using credit cards wrong I believe, I would usually charge them up 80,90 even 100% utilization and only pay back the monthly minimals..
lokg story short I've changed how I use my cards now and I'm wondering am I on the right path, I now use my cards no matter what I charge them up I usually make the payment a day after it clears for example I have the Amex gold delta card.. I got gas the other morning which was around $70.. it took about 5 days to clear once it cleared I just paid it in full.. and I would keep doing on multiple charges and multiple cards just paying in full and making multiple monthly payments.
will this method increase my likelyhood of getting a CLI auto or manual? My scores are higher I now have zero derogatories And I'm making multiple payments a month.. is there a better method or any advice you can give on getting my $1,000 credit line raised? Thank you in advance!
As I understand the whole FICO scoring thing, paying your card in full every month prior to the due date scores the same regardless of whether you made 1 payment or 100; said another way, all of the hoops you're jumping through to pay as soon as each charge clears is neither helping nor hurting your scoring. As for what you can do, one pretty much sure fire way is to apply for a high limit secured card, say a $2,500 Discover or even a $5,000 limit from the likes of BofA or TDBank.
Honestly whether you pay multiple times a month or once a month doesn't matter as much as what actually gets reported to the bureaus. If you let a high balance report, your scores will take a hit. However, whatever card you're talking about (Amex?) will see your usage whether you pay immediately after a charge posts or whether you wait and pay right before/right after statement cut.
No need to make multiple payments per month unless you are bumping up against your CL. Just pay your balance in full each month rather than your minimums and you're in good shape. Now, if you have a $1,000 limit card and you use $800 of it as an example, it may be prudent to pay off that balance before the statement cuts so as not to report very high utilization to the bureaus. (Just make sure at least one of your revolving accounts is posting with at least a small balance.) As far as that AMEX of yours, they do not like COs on your report. When you reference your 1 and only derogatory falling off, was that an old CO? If that is the case, you need to wait until AMEX updates their monthly EX FICO 8 score for you. After that, their internal data still lags by up to a few weeks sometimes. If you want a better chance at a CLI on your Delta, wait until your FICO updates on AMEX's app/website, then give it about another month and pull the trigger on a CLI and see how you fare. Ask for 3X your current limit.
@Anonymous wrote:
@Ficoproblems247 wrote:No need to make multiple payments per month unless you are bumping up against your CL. Just pay your balance in full each month rather than your minimums and you're in good shape. Now, if you have a $1,000 limit card and you use $800 of it as an example, it may be prudent to pay off that balance before the statement cuts so as not to report very high utilization to the bureaus. (Just make sure at least one of your revolving accounts is posting with at least a small balance.) As far as that AMEX of yours, they do not like COs on your report. When you reference your 1 and only derogatory falling off, was that an old CO? If that is the case, you need to wait until AMEX updates their monthly EX FICO 8 score for you. After that, their internal data still lags by up to a few weeks sometimes. If you want a better chance at a CLI on your Delta, wait until your FICO updates on AMEX's app/website, then give it about another month and pull the trigger on a CLI and see how you fare. Ask for 3X your current limit.
Yes!! It was an old charge off I had it on my report when I applied for the Amex to my surprise they gave me the green light!! Only for a $1,000 but still they let me in the door and I'm very grateful but I want to expand my limits.
so yes that old charge off has been deleted I currently have zero derogatory marks on my report and scores in the 700s.
I have about 20 credit cards, personal loans, student loans, and auto loan on my report aversge age is about 3 years and 8 months only.. but my file is fairly thick I would say? so you would recommend out of the 20 cards allow 1 to report a small balance per month to give me a boost in score, and a CLI? Doing this will help my chances of a credit line increase?
Well AZEO will help squeeze out a few points, yea, but whether it will truly help increase the chances of a CLI is hard to say. It certainly wouldn't hurt.
You have 20ish cards? These accounts are all open? Yes, you only need to make sure that all open revolving accounts are not reporting a $0 balance. If they do you will be hit with the AZ penalty to the tune of typically about 15-25 pts. Show AMEX a bit of responsible spending once you have all of your utilization under control, and once those charge offs are off your reports you have a far greater chance of increases from them. They are definitely a lender that likes to see an ongoing pattern of PIF. I recommend reading up on the AZEO method for letting 1 cars report a balance, as well as the definitive 3X AMEX CLI guide while you wait to request your next increase. There is a lot of helpful info to help you prepare.