beenthere wrote:
beenthere, that's the wonderful mystery of FICO and the scoring models. As the methodology of FICO scoring is proprietary and a total tip top secret, we do not know.
We speculate, hypothesize, and guess based on our collective experience and input from all of us. Our theories are based on trial and error, our collective history and experience, and what statistics Fair Isaac and the 3 CRA's provide us.
Makes for a fun game, it do, it do.
We know that 1-9% UTL on half of our cards is the perfect formula for increasing FICO scores. We are told we can do well to put less than %30 utl on all our cards. We are warned that we should never go over %50 utl on anything and that 85% utl is as severe as a collection.
What is the real scale and how do we know exactly what it is?
beenthere, that's the wonderful mystery of FICO and the scoring models. As the methodology of FICO scoring is proprietary and a total tip top secret, we do not know.
We speculate, hypothesize, and guess based on our collective experience and input from all of us. Our theories are based on trial and error, our collective history and experience, and what statistics Fair Isaac and the 3 CRA's provide us.
Makes for a fun game, it do, it do.
Awwww.....geez.....and here I'd planned on getting my total UTI down to 5% on three cards (with a total CL of 11k) by May. Now y'all tell me I gots to get another card 'cause I have three and you can't carry a balance on 1½ cards?
at last....the lightbulbs are glowing.
@Anonymous wrote:
So, what counts as utilization? Is it was is actually charged during each billing cycle or is it what is reported to CRA? I currently have a balance of $250 on my $1100 WF card. Billing doesn't close until March 4th. So, if I pay off $230 before close, will WF consider my utilization for the month of February ~25% or ~%2?
It's what was reported, generally the balance shown on your statement.
That's what's so great about util: you can control it by timing your payments. Assuming that you have the $$$, that is!
I had $19.57 charged against my new Target card. Thank goodness I got that monster paid off before my scores tanked.
I think I have this thing licked now. Get $40,000 worth in credit cards but bring a calculator to determine if you can charge that second stick of gum. Got'cha.
.........................
6 years ago I had a 1968 Mustang 6 cylinder with oxidized primer and no hub caps. I was out for a Sunday drive today and thinking what great shape my motorcycle is in and it's paid for AND I have a brand new car that is 40% paid for. Today is a good day.
I wouldnt worry about using your many cards unless you one of the following messages:
EX
You have too many credit accounts with balances.
Your FICO score considers the number of accounts you have with balances. For credit cards, even if you pay them off in full each month, your credit report may still show a balance on those cards. The total balance on your last statement is generally the amount that is shown on your credit report.
OR
EQ
You have too many credit cards carrying balances.
Your FICO score was hurt because you are carrying balances on too many credit cards [?] at once.
I still don't worry because I don't think they are costing me more than 5 - 10 points.
Current Score: EX 772 EQ 777 TU 783 15 Jan 17