Best Course of Action?

[Anonymous]

Hello Everyone!,

This is my first post and foray into improving my credit score. Today I pulled my Equifax score and have a 708. I want to apply for an auto loan in the next month or so - Would getting my score over 720 get me a better interest rate? and if so, is this possible?

Here is my situation:

Just payed off/down all credit card accounts so that they are at (or around) $0. When I got my score utilization was at 13%. Hoping that will help some.

One thing the MyFico.com Understanding your Credit Score says is hurting my score is "Too Many Accounts with Balances". I have 14 accounts; 11 of which are student loans (through AES and Sallie Mae). Would paying off one of these accounts/loans improve my credit score enough to help?

Also, most of the accounts are in deferment and accruing interest so the Recent Balance on my credit report is higher than the Credit Limit/Original Amount. Is this hurting my credit score?

Thanks!

[RobertEG]

Are your "deferred accounts" installment loans or revolving accounts?

% util on installment  accounts is of minor impact.

Get overall %util on revolving well under 10% (0% is not necessary).

Get at least half of your revolving accounts reporting 0 balance.

Message Edited by RobertEG on 06-03-2009 04:43 PM

Message Edited by RobertEG on 06-03-2009 04:44 PM