cancel
Showing results for 
Search instead for 
Did you mean: 

Afraid of Getting Balance Chased

Auto Loans for ANY Credit Situation. Immediate Response.
Advertiser disclosure
Highlighted
Frequent Contributor

Afraid of Getting Balance Chased

A few of my non-store credit cards are maxed out.  I am going to be paying a large chunk of them down, in an effort to raise my score and get ready to refinance my mortgage.  I am afraid that they are going to balance chase me.  So far, care credit lowered my limit about $6k, but I wasn't using it anyways. I will be paying down Discover and Capital One.  Is there a payment strategy to help me not have my limits lowered ?  Make several smaller payments?  Make one big payment?  Big payment on one, let it report and then pay the others down?  Am I just screwed no matter what I do?

FICO8 Scores as of 8/8/17: EQ-643 TU-644 EX-629
Current FICO8 Scores as of54/7/18: EQ-668 TU-651 EX-652
Current Mortgage Scores: EQ-681 TU-655 EX-648
Goal: all FICO8s above 700

Credit Card Lineup: Capital One Quiksilver One - $850, Torrid - $3,000, Wayfair - $7,100, Victoria's Secret - $2,000, Overstock - $5,150, Discover it - $9,500, Amazon Store Card - $200, Capital One Platinum - $3,000, Care Credt - $1,500
Message 1 of 30
29 REPLIES 29
Valued Contributor

Re: Afraid of Getting Balance Chased

Just pay them off and don't worry about the balance chasing.  Showing you can knock them out makes it easy to recover a CL by calling to get it restored.

 

The biggest boost in scores will come from $0 balances on all but 1 and the 1 you leave a balance on should be less than 8.9% of the CL and should be a major bank issued card.

500K+ TCL / 800+ FCOs
Message 2 of 30
Regular Contributor

Re: Afraid of Getting Balance Chased

Care only dropped yours due to lack of use

 

my discount tire (sync as well) dropped mine due to lack of use. I called them and got most of it back right away.  Then I started using it for gas, and now it is higher than it ever was

 

call and ask for Care to raise it back up.  Then start using it at Walgreens once a month.  

July 31/2019. EX-712. EQ-704. TU-726
Aug 23/2019. EX-709 EQ-710 TU-731
Oct 25 2019. EX-715 EQ-712 TU-734
Nov 15 2019. EX-716 EQ-718 TU-739
Message 3 of 30
Established Contributor

Re: Afraid of Getting Balance Chased

You can also do 8.9% across the board i noticed that had the biggest jump for me instead of AZEO because some like seeing a balance of some sort.
















Message 4 of 30
Established Contributor

Re: Afraid of Getting Balance Chased

Sorry to clarify I mean if you had 3 cards have one at 1% one at 2% and one at like 5% to equal up to 8.9 across all not all being 8.9 each....no no LOL
















Message 5 of 30
Regular Contributor

Re: Afraid of Getting Balance Chased


@hintzmk10 

Hey there! 

I know exactly what you are going through as I was in a similar situation not too long ago. Anecdotally, I have only ever been balance chased when making huge or out of the ordinary large payments. This happened with my Citi (aadvantage) and Amazon Store card at some point early-mid 2018. 

 

I was fortunate enough to somehow stop the bleeding after only the single CLD's with those cards. Amazon bounce backed fully and more than tripled the SL and Citi approved me for another card and never messed with my AAdvantage again (it is still at the reduced limit tho).

 

Again the goal is to pay down to avoid AA, but my thought is that a very large payment may get someone to look directly at your account, or maybe trigger an automated review in the system. 

 

My balance chase nightmare was short lived and isolated, but it was terrible. The way I survived was to make significant but not uncharecteristic payments to lower the balance over time. I did this because I loved these particular cards and wanted to avoid closure. I tried to maybe cross a UTI threshold each few months (But immediately get out of "maxed" zone if possible). 

 

I am still scared to this day (over a year later) to make large payments on my Citi AAdvantage or ask for an increase. I am sure I am out of the danger zone by now but still... 

 

Also... If you do not care if they close these cards just pay them off. I did carem so I took this strategy that worked for me.


Screen-Shot-2019-08-24-at-2-48-50-PMScreen-Shot-2019-08-25-at-8-03-49-PMScreen-Shot-2019-08-21-at-7-25-12-PM
Message 6 of 30
Super Contributor

Re: Afraid of Getting Balance Chased

I wouldn't be worried about balance chasing honestly. If it happens, it happens, but if you're already maxed out from a scoring perspective, you won't have any additional point loss and the shedding of unsecured debt will just help your mortgage app anyway. 



01/2019:
10/2019:

Hover over my cards to see my limits!
Goal cards: Cash+, Freedom.
Message 7 of 30
Regular Contributor

Re: Afraid of Getting Balance Chased

I just saw that the cards in question are Discover and CapOne. Historically I do not think they are known for balance chasing. 


Screen-Shot-2019-08-24-at-2-48-50-PMScreen-Shot-2019-08-25-at-8-03-49-PMScreen-Shot-2019-08-21-at-7-25-12-PM
Message 8 of 30
Frequent Contributor

Re: Afraid of Getting Balance Chased

I currently have 16 cards.  One at $0, a few under $1k and the highest is at $10k.  It looks like I can easily get all of them under 68.9%, and then I will pay some of the smaller down to $0.  There are a few that I might close out completely, but may just keep around and SD them to help optimize my utilization.  I have $12k available to me, and paying down to 68.9% will take just over $7k.  I want to keep about $2k in my savings for just in case, so I have a little extra to play with to lower some other cards or may just take care of some stuff around my house.  I just want to get them all out of the danger zone and lower/eliminate some monthly payments.  

FICO8 Scores as of 8/8/17: EQ-643 TU-644 EX-629
Current FICO8 Scores as of54/7/18: EQ-668 TU-651 EX-652
Current Mortgage Scores: EQ-681 TU-655 EX-648
Goal: all FICO8s above 700

Credit Card Lineup: Capital One Quiksilver One - $850, Torrid - $3,000, Wayfair - $7,100, Victoria's Secret - $2,000, Overstock - $5,150, Discover it - $9,500, Amazon Store Card - $200, Capital One Platinum - $3,000, Care Credt - $1,500
Message 9 of 30
Frequent Contributor

Re: Afraid of Getting Balance Chased


@macedwar wrote:

I just saw that the cards in question are Discover and CapOne. Historically I do not think they are known for balance chasing. 


Good to know!  Discover is by far my biggest card and I don't want to lose the limit!

FICO8 Scores as of 8/8/17: EQ-643 TU-644 EX-629
Current FICO8 Scores as of54/7/18: EQ-668 TU-651 EX-652
Current Mortgage Scores: EQ-681 TU-655 EX-648
Goal: all FICO8s above 700

Credit Card Lineup: Capital One Quiksilver One - $850, Torrid - $3,000, Wayfair - $7,100, Victoria's Secret - $2,000, Overstock - $5,150, Discover it - $9,500, Amazon Store Card - $200, Capital One Platinum - $3,000, Care Credt - $1,500
Message 10 of 30
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.