In the context of improving credit score for mortage application in next 3 months, should I focus on paying down my 3 cards with above 50% credit utilization or pay off 3 other low balance cards to Zero balance? My FICO 8 scores are
Hi @creditscorequestion, and welcome to myFICO!
I've removed your duplicate thread. Please avoid cross-posting in the future; it's confusing to follow and is against the guidelines here.
If it were me, I would work like all get out to pay down those with the high utilization. I have a personal rule - I never, ever use more than 10% of my credit limit. That is just destructive to your credit. That is just my opinion...best of luck!
If you have a mortgage broker you are working with, give them a call
Dave Ramsey's approach: Pay off your debt from smallest to largest irrespective of interest rates.
Suggestions from other financial guru's: Pay off your debt with the highest % interest rate, then work your way down (regardless of actual debt amounts).
I read here that we should consider the following in no specific order:
Depends on how much money you have, how much your balances are, and how long before you app.
I would PIF the smallest ones first (2nd bullet), then use what's left to get the larger ones to the next lower threshold (1st bullet)...like your 50% balances, just need to get under 48.9%. I think if you follow adhere to the first two bullets, the last two aren't worries.
Best of luck!!