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Fico score boost and 3 credit card balances

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ktl72455
Valued Contributor

Fico score boost and 3 credit card balances

Hello everyone! I have a question and looking for some input.

 

CC #1 balance of 8,300 Sams club Discover

CC# 2 balance 7,000 AARP Chase

CC#3 balance of 6500 Discover

 

All 3 close to maxed out. I have 2000.00 extra to apply. Do I apply it all to one or divide it up by 3 to lower all 3 balances?

 

From MI.
12/4/12 TU 589 MyFico ~EQ 579 MyFico ~EX 577(Fako)

Myfico 8 scores
6/12/20 TU 803 ~ EQ 814~ Ex 784
My Wallet: Cap1 3,500K ~FH 2950~Credit One 1750~Credit one #2 1250~Orchard Bank 400 ~NFCU nRewards 18,000~NFCU Cash Rewards 18,500 ~Care Credit 12000~Discover 6000~Lowes 5450~ Amex 5400.00 ~ Harvest King 8000 ~ Langley~Penfed~Service CRU~red stone cru~
UTL 17%
Message 1 of 4
3 REPLIES 3
Brandnick
New Contributor

Re: Fico score boost and 3 credit card balances

Utilization is calculated amongst all your credit cards so if you shared the $2000 on all the cards vs. Paying just one card your utilization will be the same.

 

E.g. 

 

- Sam - $8300 with $8500 limit

- AARP Chase - $7000 with $7500 limit

- Discover $6500 with $7000 limit

 

How utilization is calculated

 

$8300 + $7000 + $6500  = $ 21800 balance 

 

$8500 + $7500  $7000 = $  23000 Limit

 

Calculation

 

Total Balance divided by Total Limit =  Utilization

 

$21800 / $23000 = .974 ( x 100) = 94.7% Utilization

 

 

My suggestion would be is to pay this extra $2000 on the credit that has the highest Apr 

 

 

Current Score: 771 - 11/21/2012/ Amex Pull
Late Payment: 0 / Collections: 0
AAOA: 6.3 Years

"My Scores Yesterday or Last week or even Last month has no value when applying for credit today. The value is not in my score but the information in my credit file. Once the information is good the score will follow"
Message 2 of 4
ktl72455
Valued Contributor

Re: Fico score boost and 3 credit card balances

This helps alot! Thanks for the information!

Now my next question is I have a CO on a CC from 2yrs ago and its still showing a balance of 1300.00.  Since that is a CC is that balance factored in to my Utilization or just a baddie that I can try a PFD with?

From MI.
12/4/12 TU 589 MyFico ~EQ 579 MyFico ~EX 577(Fako)

Myfico 8 scores
6/12/20 TU 803 ~ EQ 814~ Ex 784
My Wallet: Cap1 3,500K ~FH 2950~Credit One 1750~Credit one #2 1250~Orchard Bank 400 ~NFCU nRewards 18,000~NFCU Cash Rewards 18,500 ~Care Credit 12000~Discover 6000~Lowes 5450~ Amex 5400.00 ~ Harvest King 8000 ~ Langley~Penfed~Service CRU~red stone cru~
UTL 17%
Message 3 of 4
Brandnick
New Contributor

Re: Fico score boost and 3 credit card balances

Yes unfortunately  it's being factored as part of your utilization and also as a baddie, so I would use the $2000 to help with the PFD. I would offer the 40% of the debt and see what they say. but get it in writing before you pay. 

 

 

Also most importantly is get your utilization down to 1-9% 

 

Current Score: 771 - 11/21/2012/ Amex Pull
Late Payment: 0 / Collections: 0
AAOA: 6.3 Years

"My Scores Yesterday or Last week or even Last month has no value when applying for credit today. The value is not in my score but the information in my credit file. Once the information is good the score will follow"
Message 4 of 4
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