Affect of Line of Credit on score

[Anonymous]

What sort of negative reason statements do you see provided when looking at your scores?

[Anonymous]

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@Anonymous wrote:

What sort of negative reason statements do you see provided when looking at your scores?

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According to my Experian report

You have a serious delinquency (60 days past due or greater) or derogatory indicator on your credit report.

Number of your accounts that were ever 60 days late or worse or have a derogatory indicator

2 accounts

(I had a 30 day late on a credit card back in Dec. 2018 and (3) 30 day lates on a retail card back in mid 2018.  I did have some 60/90 day lates but those are from like 5-6 years ago).

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You've made heavy use of your available revolving credit.

Ratio of your revolving balances to your credit limits

71%

(This is because I have about 4-5 accounts that haven't updated with new balances yet).

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The remaining balance on your mortgage or non-mortgage installment loans is relatively high.

Percentage of principal you have paid down on your open non-mortgage installment loans

3%

(Car loan, RV loan, student loans)

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So after everything updates, all credit cards should show 0 (or really close to it) utilization, LOC it still very high utlization, other loans are all good, just newer.  RV loan will be refinanced in a few months once scores climb higher.  It was originally at 18% (ugh)

Scores last year were upper 500's/low 600's but due to a mortgage (and 2nd) that we had to walk away from about 7-8 years ago that have finally fallen off.  That is what was really holding us back (and now utilization).

[SouthJamaica]

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@Anonymous wrote:

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@SouthJamaica wrote:

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@Anonymous wrote:

I don't know what "Hogan" means myself either - I though maybe it was some specific type of credit or something but maybe its just an internal name for the LOC at US Bank.  We've had it such a long time I don't honestly know.

So we have a retail card at over 90% util (Nordstrom, $1500), and the LOC at over 90% util ($5500).  Can't really do both at the same time so thinking of paying off Nordstrom than hack away at the LOC?  That would be all we have left for revolving.  We will have 17120 in total credit lines (across 8 credit cards, 4 retail and 1 LOC), with only the LOC having a balance.  Total utilization percentage will be around 30% (and falling).

Also will be working on trying to increase the credit lines on the cards that we can.

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Yes get Nordstrom down to 28%, then work on getting the PLOC down to 28%.

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So we have the funds to payoff the Nordstrom card completely. Would it be better to just get it to 28% and use the extra funds to tackle the LOC?  We aren't going to be using it much as my wife used to work at Nordstrom and no longer does lol. 

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Purely from a FICO 8 credit score point of view it would be better to get Nordstrom to 28% and use the rest of available dollars to work on the PLOC.

Purely from a FICO mortgage score point of view, it would probably be better to zero out Nordstrom first.

[Anonymous]

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@SouthJamaica wrote:

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@Anonymous wrote:

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@SouthJamaica wrote:

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@Anonymous wrote:

I don't know what "Hogan" means myself either - I though maybe it was some specific type of credit or something but maybe its just an internal name for the LOC at US Bank.  We've had it such a long time I don't honestly know.

So we have a retail card at over 90% util (Nordstrom, $1500), and the LOC at over 90% util ($5500).  Can't really do both at the same time so thinking of paying off Nordstrom than hack away at the LOC?  That would be all we have left for revolving.  We will have 17120 in total credit lines (across 8 credit cards, 4 retail and 1 LOC), with only the LOC having a balance.  Total utilization percentage will be around 30% (and falling).

Also will be working on trying to increase the credit lines on the cards that we can.

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Yes get Nordstrom down to 28%, then work on getting the PLOC down to 28%.

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So we have the funds to payoff the Nordstrom card completely. Would it be better to just get it to 28% and use the extra funds to tackle the LOC?  We aren't going to be using it much as my wife used to work at Nordstrom and no longer does lol. 

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Purely from a FICO 8 credit score point of view it would be better to get Nordstrom to 28% and use the rest of available dollars to work on the PLOC.

Purely from a FICO mortgage score point of view, it would probably be better to zero out Nordstrom first.

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No mortgage plans in the near future - just RV refinance and new auto finance so will push for the 1st option.  Thanks!