Credit Utilization Will it effect or make a difference?

[Anonymous]

For clarity, the reason your limit increases won’t increase your score is that they don’t cause your aggregate utilization to fall through a scoring threshold. You were already under the 28.9% breakpoint before the increases. Taking your total CL to $121k reduces your aggregate usage, but not enough to fall under the next tier, whose breakpoint is 8.9%. In order to get under that, you’d have to reduce your debt to $10,769 outstanding, which is 8.9% of your total CL, or you’d have to increase your total CL enough such that the $27k in balances would equate to 8.9% or less of your total CL. You’d need limit increases to over $303k to achieve that in this way.

[Anonymous]

How much of your CC debt can you afford to pay off?

Would it be possible, for example, to pay all cards to zero except one, with the remaining card reporting a small balance, like $15 say?  This is certainly the best way to improve your mortgage scores prior to preapproval.

[Anonymous]

Thank you all for the responses. I feel like a complete idiot having the $300 maxed out via accident. Wife used it not really knowing the limit on a few items. Dropped score 11 points.

I now have to sit back and wait till next month. I just paid $3,000 toward credit cards which hasn't hit just yet but this isn't going to increase the scrore at all. I don't beleive.

What a HUGE mistake and top it off it's a $300 card we never use and was my first card 10 years ago. I have never been given a credit increasement in all these years. It's the best buy rewards card. 

[Anonymous]

I wouldn't kick yourself over this.  Just pay the card to zero (which you may already have done) and your score will pick back up.

PS.  We can help you best if you list all cards you have, their current balances, and their credit limits.  I am using "card" somewhat broadly to include revolving tradelines like a "line of credit" (LOC) for example.

You don't need to list all these cards if you think you can pay all cards to zero with the remaining card having a small positive balance, as I mentioned earlier.