Fico Score estimate score increase

[Anonymous]

Throughout all my cards my limits add up to $20,000.

Throughout 4 of those cards my balance is $5500.

I am paying off $4000 this week which would pay off 3 of those cards. Whats an estimate score increase usually for something like this?

Been in the garden for abut 8 months so haven't been on much.

Thanks in advanced

[silkysean]

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@Anonymous wrote:
Throughout all my cards my limits add up to $20,000.

Throughout 4 of those cards my balance is $5500.

I am paying off $4000 this week which would pay off 3 of those cards. Whats an estimate score increase usually for something like this?

Been in the garden for abut 8 months so haven't been on much.

Thanks in advanced

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You definitely will see an increase since your Util is high on about 4 cards and since high Util will hold a Score down its hard to say how much of a increase you will get.I would expect an average increase between 5-15 points because your overall Util is close to about 30% which is ideal.

[Anonymous]

It looks (from your signature) like you have 12 credit cards total.  Is that right?

It sounds like four of your cards have a combined debt of $5500.  Does that mean all your other cards have a $0 balance?

Can you tell us what the credit limits are on each of the four cards (and the debt on each)?  SilkySean is making a reasonable guess, which is that your four cards are close being maxed out, but we can't know for sure until you tell us.

If you already have many cards with a $0 balance, it is more important to make sure that your remaining cards are lowered to under 40% than it is to pay them off.  Ending up with two cards that are most paid off will be better for your score than one card with a high utilization. 

[Thomas_Thumb]

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@Anonymous wrote:
Throughout all my cards my limits add up to $20,000.

Throughout 4 of those cards my balance is $5500.

I am paying off $4000 this week which would pay off 3 of those cards. Whats an estimate score increase usually for something like this?

Been in the garden for abut 8 months so haven't been on much.

Thanks in advanced

---

It looks like your aggregate credit card utilization is currently 27.5%. After paydown you will be at 7.5% utilization. That may gain you 15 points. Dropping from 4 of 12 cards to 1 of 12 cards reporting is likely worth 0 to 5 points depending on your profile.

Overall I'd guestimate a 15 to 20 point increase.

Let us know how it works out.

[takeshi74]

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@Anonymous wrote:
Throughout all my cards my limits add up to $20,000.

Throughout 4 of those cards my balance is $5500.

I am paying off $4000 this week which would pay off 3 of those cards. Whats an estimate score increase usually for something like this?

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It's difficult to give a number of points but you need to consider the change in revolving utilization.  It's not just the balances on the 4 cards that matter but the balances on all cards.  Assuming that the 4 cards are the only cards with balances you're going from

$5,500 / $20,000 = 28%

to

$1,500 / $20,000 = 8%

That's a fairly significant jump which should yield a significant increase IMO.  If those 4 cards are not the only cards with balances you can do the math to see the change to your revolving utilization.

Keep in mind that the revolving utilization on each card matters as well.  Consider the revolving utilization on any card with a balance remaining.  You don't want to have one card with high revolving utilization, for example.

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@silkysean wrote:

because your overall Util is close to about 30% which is ideal.

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30% is not ideal.  30% is a generally suggest maximum.  Ideal is much lower.

[Anonymous]

I'm waiting for Equifax and Transunion to update all info but experience went up about 24 points.

BTW my 5500 balance on 4 cards was

$2400 on a $3000 limit
$1450 on a $2050 limit
$950 on a $1600 limit

Paid all those off now I just have a $1000 balance on my amazon card

[Anonymous]

Experian** ^^

[RonM21]

24 is a nice gain

[Thomas_Thumb]

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@Anonymous wrote:
I'm waiting for Equifax and Transunion to update all info but experience went up about 24 points.

BTW my 5500 balance on 4 cards was

$2400 on a $3000 limit
$1450 on a $2050 limit
$950 on a $1600 limit

Paid all those off now I just have a $1000 balance on my amazon card

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Nice increase!

Given two of the cards were rather highly utilized (over 70%), part of your increase (say up to 10 points) may relate to lowering individual card utilization.

[Anonymous]

I agree. Just waiting for the other two to update