Minimal score increase after paying down CC

[Thomas_Thumb]

You are welcome. Looks like the tables lost their formatting - strange

[Doc203]

Yea, it wouldn't let me post without removing the formatting. 

[Doc203]

Jamie, I do have a fairly high income. I had us almost out of CC debt a year ago before we purchased a new home. I didn't sell my current home and I am renting it, thus, unlike most people I didn't get the equity from my old home to use as a downpayment etc. So, we reaquired some cc debt doing things at the new home, not to mention two of our kids getting married etc.

When we purchased the house we did a second agreement to purchase more acreage, and that is the real estate deal that I am doing in a few months. I am trying to balance having cash to put down on it and paying some debt to increase my score to get a better rate. I am not worried personally about the CC debt because I can pay it all off in less than a year even with the additional land purchase. I am sure I will refinance the real estate in a year or so after paying off the credit cards etc. Utilization is the only thing that has any real impact on my scores right now. The immediate goal is simply to get this extra acreage purchased.

Also, I did purchase the 3-bureau report.

The posts here have given me some very useful information to make decisions that have the best odds of improving my situation for this purchase.

[jamie123]

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@Doc203 wrote:

Jamie, I do have a fairly high income. I had us almost out of CC debt a year ago before we purchased a new home. I didn't sell my current home and I am renting it, thus, unlike most people I didn't get the equity from my old home to use as a downpayment etc. So, we reaquired some cc debt doing things at the new home, not to mention two of our kids getting married etc.

When we purchased the house we did a second agreement to purchase more acreage, and that is the real estate deal that I am doing in a few months. I am trying to balance having cash to put down on it and paying some debt to increase my score to get a better rate. I am not worried personally about the CC debt because I can pay it all off in less than a year even with the additional land purchase. I am sure I will refinance the real estate in a year or so after paying off the credit cards etc. Utilization is the only thing that has any real impact on my scores right now. The immediate goal is simply to get this extra acreage purchased.

Also, I did purchase the 3-bureau report.

The posts here have given me some very useful information to make decisions that have the best odds of improving my situation for this purchase.

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I'm glad that you weren't offended by my earlier opinion, and I'm also glad that you did listen to it and can offer a great defense for yourself. Yes, I can now see why you need to make this purchase and it sounds like the right thing to do.

Our MyFICO esteemed member Thomas_Thumb has chimed in with his advice. He is the Master of credit information. If you follow either of his recommendations, I'm quite sure you will do well.

Just for the future, it is bad form to carry credit card balances month to month and it is one of the very first things we try to teach new members here. Credit card interest rates are just way too high for anyone to do this and as you have found out it will be detrimental to your scores. I'm glad to hear that you that you can pay these balances down in a short period of time.

If you learn nothing else from your experience here it should be this: I want 5 to 8 (Or more) credit cards with high credit lines that I hardly ever use.

And you will be golden!

Good luck!