How Will This Look...

[Andy77]

So I have 22k in debt and 106k in total credit lines.  I had 13 cards showing balances but none were maxed out...a few were at 50% utilization.

I got a 0 fee 0 % bal transfer offer with cap one so I moved 22k over to that card, limit is 23k and so now all those 13 cards will show a zero bal but one card will be at its limit.

Will doing this look better then 13 cards having balances ?

Thanks

[Anonymous]

I might be wrong but I would think one card at almost 100% is worse than a couple of cards hovering around 30, but by no means am I an expert, I may be wrong.

[Anonymous]

Regardless of how it looks, the long term benefit of consolidating debt outweights the short term consequences on your FICO. You will likely save a lot of money in interest, let alone the simplicity of paying one card instead of thirteen.

[VirusCredit13]

One Card maxed looks worse than multiple cards between 30-50% I believe. Utilization being the same both ways.

It's all temproary unitl you pay your debt down etiher way, while there is a chance of account reviews or limits adjusted if lenders noticed that near max 23k card, but the fact you got zero % and didn't have to pay any fees, is nice since you will be able to pay more of that debt w/o interest. Hopefully you will be able down the debt during whatever period they gave you that 0% at. 

[hajew86]

Looks like a good idea to me. Take the deal and run...then pay it off.  

[Anonymous]

Anytime you have a maxed out card it's going to look bad.  BUT, I think it's a great idea to take advantage of the 0% APR.  If I were you, I'd first pay off about $2k (to get under 90% util on the card), then call all of my CCC and speak with the Risk Department.  Tell them that Capital One has offered you a 0% BT option and that you have accepted.  While it'll look bad, they can note in your account that the balance is being carried on promotional terms which should ease their fears a bit.  

Disclaimer, I don't work as a UW.  I simply believe that it's better to be proactive and tell them about it than reactive if AA occurs.