Open/Revolving PIF

[Anonymous]

Hello!

I did the stimulator on myfico and it said if I paid $2281 of my $2300 in 1 month my scores would go up a few points. I managed to save $2500 and can pay that amount but I want to make sure I am putting that money towards the right thing.

I have two credit cards which I have 10% balance on one and 0 balance on the other and a car loan of $13k, all accounts are paid on time each month but are under a year of history.

I have a open/revolving account with Wells Fargo for $2116 which was charged off, DoFD was 04/2017. 

Should I move forward and pay the Wells Fargo or should I utilize the $2500 I have saved for something else that could help my credit.

[Anonymous]

Your doing great on your open CC's. I would:

1) Put the money toward settling the charge off first, so it can start to age. Call Wells Fargo and see if they will settle for less than what is owed and possibly delete. Very doubtful on the delete part but it never hurts to ask.

2) Use part of what is left to get the open CC with 10% balance down to less than 8.9% balance. This will give you a slight score boost as you cross the 9% threshold.

3) Put the rest toward the car payment.