Fico Simulator question need 12 points...HELP!

[Anonymous]

I haven't been around for a while...but need some help.  I have found a home that I want and I need 12 points.  My Ex is 620...my TU is 634...and good ole EQ is 473 and its killing me.  I went to the myFico simulator and it said that if I pay $200 on my credit card balance that my points would go up to 653...does this really work?  I can pay that but I do not want to pay that much if it is not going to work.

Thanks for you help.

[203bravo]

Good luck with the house process... It's not always fun.

In my experience the simulators take certain factors as assumptions that may or may not be specific to your situation.  However, if by paying the $200 will take your utilization down to under 9% then you will see a point increase.  the points listed seems a bit much, but who knows.

My concern would be - if $200 is too much money for you to pay extra on your credit card debt, is home ownership really the right move right now? (not picking just a thought.)

Best of luck my fingers are crossed for you.. Keep us informed on your progress.

[Anonymous]

Its the best move because I will be owning a home and my monthly payments will be going down $1500 a month.  Right now I pay $2600 a month and the new home will be approximately $1100.

[203bravo]

WOW.. I would agree that's a good move.  The monthly reduction should be enough to cover the extra monthly expenses that go along with home ownership. 

Now my toes are crossed for you as well.  My personal experience with the simulators - when I paid my revolving accounts in full, I didn't get near the point increase that it predicted.  When I ran it with another revolving charge account, then actually opened it and let it age for a few months, again a point increase but not as large as predicted.

Have you talked to a LO to get recommendations on do's and don'ts?  They know the underwriting guidelines and can make sure you get there in as short a time period as possible.

[Anonymous]

The LO said I need 12 points that they go by the lowest score.  I thought they threw out the lowest score...anyway.  He gave me a number to call about getting some things off our reports...but then I did the simulator and it said if I pay some balances down that I would get an increase.

[Anonymous]

Not to thread jack you, but how does one have an (almost) mid 600 score on two and a mid 400 on the other????

Im having the same problem with with EQ. No matter what I do the others increase and the stay the same or I gain a point here and there.

I think that if I were to save 1500 a month, own a home I would take any recomendations from the LO and do what I need to do. I got approved with my scores, but Im working towards the necc down payment.

[Anonymous]

Did you post your EQ score correctly?

Disregard the amount on the CC debt to pay down....how will it change your utilization? What is your current util and what will it be?

[Anonymous]

I did post my EQ score correctly.  EQ hates me.  I have collections in accounts section.  I have things that aren't suppose to be on there...sent proof still no change.

I have 3 cc which is almost maxed out and by doing the simulator it said if I paid $200 on cc my score would go up.  I would most probably pay more to get the balances down further. 

[Anonymous]

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Harpo wrote:

I did post my EQ score correctly.  EQ hates me.  I have collections in accounts section.  I have things that aren't suppose to be on there...sent proof still no change.

I have 3 cc which is almost maxed out and by doing the simulator it said if I paid $200 on cc my score would go up.  I would most probably pay more to get the balances down further. 

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But how is your util going to change?

Util = total balances/total CL

Need to know the before/after util.

What are your balances/CL on the 3?

[Anonymous]

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Harpo wrote:
The LO said I need 12 points that they go by the lowest score.  I thought they threw out the lowest score...anyway. 

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I almost bet they are going to average the 3 scores and base it on that score. I've heard of that before. I can't imagine going by the lowest and a 485 being approved by not a 473.

However, if you add 12 to your lowest and then add all 3 scores together and average them, it comes out to 580. Which is what a lot of lenders are taking for a lowest.