Cards that will approve with high utilization showing

[Gonzozap]

@mister-endowed - Seems you're thinking that creditors will be examining all of your accounts INDIVIDUALLY.  Can't imagine that happens.  With our technology and systems, during the application process, the bank probably just sees a summary - meaning only overall utilization will be seen.  I'm guessing the bank doesn't even care if 3 cards are maxed out if there are 5 others with zero utilization with large limits.  Banks want an overall picture.  I spent 12 years in the mortgage business and when we obtained an automated approval, the approval page only showed overall credit utilization.  Many people may simplly have a preference for a certain card - low interest, better service, better online portal, lower fees, more perks, etc, which would explain why one or two cards have higher balances.

[negg]

I'm sorry. The last thing your wife needs is a cc with 90% utl. She needs to get her financial matters in line first.  Getting another cc will only put her further in debt.  

[CreditInspired]

OP responded:

I asked the question because I would prefer to just get some more 0% BT offers for her and move the balances over. ... Anyway my plan right now is to BT to my credit cards .... Once I get all of this moved over my wife will have a very low utilization and it will be time to work on her CLI and some new accounts.... Anyway this is my plan right now.

OP, I read this 3 times to make sure I didn't miss anything. What I am missing is how you and your DW plan to PAY this huge revolving debt off. You continue to talk about HER getting new accounts or CLIs, or YOU doing BTs to your CCs, which others have diligently explained why it's in you and your DW best interest to pay the debt down as quickly as possible, and especially while it's still in its 0% interest period. The debt will eventually have to be paid so why not start doing that right now instead of seeking ways to delay the inevitable? I do hope you take all this awesome advice from MyFicoers to heart.

[Gonzozap]

I get your point OP.  I can't think of a solution, but hope things work out for you.

I know this method I found to solve my problem won't help you, however maybe it can help someone else with relatively high utilization and lower amounts owed.

Credit unions have a "cross collateralization" clause in their contracts.  It means that if the member has a secured loan with the CU, then the property securing that loan will also serve as security for any other loans at the CU.  Sadly, most CU members have no idea this clause is in their agreements and it can cause problems down the road if the member isn't aware.  But it can also work in our favor if we work smart. 

I had $6k equity in a car.  The loan balance was $8k.  So, I called my CU to ask about a refi for my car (original loan at a bank).  I told her I also wanted to apply for a credit card and use balance transfer to pay down my credit card debt for a better rate.  The CU would have security for both the car loan and the credit card - almost.  I had $7k in credit card debt.  My score was a 620.  The only thing keeping it down was high utilization.  My primary goial was to increase my credit score and get better rates.  I was in the process of rebuilding my credit after it tanked due to job loss, so I had high rates.  My high utilization resulted from using credit to get my business off the ground. Thankfully, my business  was doing pretty good.

The CU approved my car loan and gave me a card with a $7k limit.  I paid off the other cards. To get over the cross collateralization issue, 9 months later, with a score of 724, I applied for a card with my regular bank and was approved for $12k.  I then paid off the CU credit card with a balance transfer.  I then had no worry about cross collateralization.  I now use the CU card very minimally.

Hope this helps someone.

[Gonzozap]

My credit utilization had gotten rather high - 81%.  I had used credit a lot to finance my small business - buying inventory.  I'm onboard with my business now, so no more need to buy more inventory on credit. I was paying much more than the minimum each month, but couldn't pay them off since I needed the funds for business.

But I still wanted my utilization to look better.  After a lot of research, I determined that Discover would be my best chance for approval at that utilization and my scores (672, 662, 656).  Nothing derogatory. Applied online and got denied for the card with 0% transfer, but was approved for a card w/o the 0% at $5K.  I was VERY surprised.  My first decent limit card after my credit crisis.  Don't plan on using the card.  Just wanted it to reduce my overall utilization.  I never owed a lot because my cards had lower limits, but my utilization will drop to 39% with this card.  Not the best, but much better..

[Anonymous]

---

@Anonymous wrote:

---

@Anonymous wrote:

I would wait until ut is down to at least 30%, if not 10-15%.  CC's look at those and wonder.  She has some good cl's now.  I'm sure she doesn't want to take bottom line ones.  I did on the last store I app'd for since it was a foot in the door for me and I really didn't care since I have more than I need.  

---

I agree!

---

[AverageJoesCredit]

Well said jerseygreek Sorry for all the troubles youve gone through. I think that everytime i dee a homeless person. Who in the right mind would want that and it could happen to anyone. Stay strong, hope you win your case and thank you for sharing