Credit History and Potential Fixes...What would the impact be to my score?

[Anonymous]

My FICO score is currently 639.  On December 1, 2005 (when I started to get myself out of trouble and monitor my score) I hit a low of 456.  By making current payments, I have raised my score to what it is currently. 

My credit situation is as such (rough numbers):

BofA credit card:    $10,000

Chase credit card: $5,000

I had 2 other cards at their limits ($3,000 and $4,500) but paid the first one off in Feb and am going to have the other one paid off in June. 

The negative marks on my credit score are poor payment history (late payments) and amount of debt. 

My question is this:  I currently have the potential to pay off the remaining two cards (through inheritance).  How will this impact my credit score if I am able to do this by September?  When can I expect to see a change in my FICO score? 

Thanks for any and all advice!

[Anonymous]

The credit simulator will give you an idea of your score increase from paying down the amount of debt. 30% of the score is based on how much of your available balance is being used.  When I paid down and got into the low utilization, I had a jump of about 50 points.

[Anonymous]

I wouldn't worry too much there Dan...you've come up almost 200 points in less than a year and a half, so if anything, congratulations are in order.

You probably will get some props for paying down those balances...hard to say exactly, but probably 15 to 30 points. The good news is that late-pays tend to age quickly, especially when watered down with good credit management going forward.

[fused]

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dan41847 wrote:

My FICO score is currently 639.  On December 1, 2005 (when I started to get myself out of trouble and monitor my score) I hit a low of 456.  By making current payments, I have raised my score to what it is currently. 

My credit situation is as such (rough numbers):

BofA credit card:    $10,000

Chase credit card: $5,000

I had 2 other cards at their limits ($3,000 and $4,500) but paid the first one off in Feb and am going to have the other one paid off in June. 

The negative marks on my credit score are poor payment history (late payments) and amount of debt. 

My question is this:  I currently have the potential to pay off the remaining two cards (through inheritance).  How will this impact my credit score if I am able to do this by September?  When can I expect to see a change in my FICO score? 

Thanks for any and all advice!

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It is the opinion of many here that 1-9% util is best on all of your cc's.  A bunch of $0 balances reporting will lower your scores. CRA's reward you for responsible card usage; i.e. 1-9% rule.

[Anonymous]

Rocket,

Thanks for the advice! 

I saw the simulator on here once...can you direct me to it?

Dan

[Anonymous]

Thanks a lot!  Appreciate the info!

[Tuscani]

Try this one: http://www.bankrate.com/brm/fico/calc.asp