Utilization question

[forestgreenrover]

Yeah, that's kind of a big deal. In this case, all you need is your middle mortgage score (is it 670ish, too?). Doing *anything* credit-related (apart from paying down your balances) right now will completely tank your chances. 

By my math, sounds like you have around 8k cc debt on 19750 available. It's not great but not the end of the world either. Can't you knock that 8 down to, say, 5k in 3 months and not eat in to your down payment? 

But no, if you really need to buy please, please, please don't seek credit!

[_NERD]

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@forestgreenrover wrote:

Yeah, that's kind of a big deal. In this case, all you need is your middle mortgage score (is it 670ish, too?). Doing *anything* credit-related (apart from paying down your balances) right now will completely tank your chances. 

By my math, sounds like you have around 8k cc debt on 19750 available. It's not great but not the end of the world either. Can't you knock that 8 down to, say, 5k in 3 months and not eat in to your down payment? 

But no, if you really need to buy please, please, please don't seek credit!

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Would this apply to debt consolidation loans, in the OP's case?  

[forestgreenrover]

Given how tight the turnaround would be between applying for such a product and trying to secure a mortgage (60-90 days), I can not see how it wouldn't have an adverse impact. Especially considering we're talking about a relatively doable figure that needs to be knocked out.

[Meanmchine]

The only thing I can think of is MAYBE getting added as an AU to a good account. Im not sure on this option but might be worth looking into. I have no idea how mortgage Fico scores this

[HeavenOhio]

@Anonymous, the mortgage  means a lot. As others have said, don't apply for anything until the mortgage has closed. Don't even join the Credit Union.

Allowing one's AoYA (age of youngest account) to reach a year in age is ideal as there's a nice scoring bump for that. Six months is second best. You won't have the nice score bump, but lenders won't be overly concerned about recent credit-seeking behavior.

The bottom line is that adding accounts and inquiries will lower your score. Your best alternative is to pay down your cards somewhat evenly. Get their balances down to 47% util. If you can reach 27%, that's better. 7% would be best.

[Anonymous]

If saving Money on interest isn't a factor, then you should simply pay down the existing debt. Hit one card hard and heavy, them move to tehenst one and on and on. Applying for more CC is definitely not going to help with high util, you'd never secure a large enough CL to help in  any way. And while applying for consolidation loan wouldn't look as bad, it's still credit seeking behavior right before a mortgage. 

Alos, will you totally pay off this loan before you take out the Mortgage? If not, it will factor into your DTC on whether you can afford both payments.