No Idea what to do

[Anonymous]

Definitely get that card under 88.9% - pay it to around 86% so that when the interest hits, you’re still under 88.9% (that’s the usage threshold where a lender considers a card to be maxed out). Your score gained points with the car loan because having revolving credit (credit cards) and an installment account (loan) diversifies your portfolio and FICO awards points for that.

[DollyLama]

Forget the you don't have a mortgage out of the whole equation. Having a reporting installment (fixed payments a month, not an open ended line of credit) loan, satifies the credit mix. 

The $300 monthly towards CCs, is this your minimum or over minimum? If it's slightly over, it may be awhile to see score movement as interest accures and not enough principal is being paid down. 

What devil mentioned is crucial. Creditors get spooked when your are running high on utilization, and often will either balance chase you (lower your line of credit as you pay it down), or the worst- close your account with a balance. You definitely want to avoid this at all costs. 

[Anonymous]

Thanks for the tips. I made a payment on that one card with a high utilization to get it down to around 80% this month and will keep lowering it.

I was told to also open a few store cards which apparently are easy to open and it will increase your credit. Just open it and not use it.

Is it a smart idea?

[Anonymous]

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@DollyLama wrote:

Forget the you don't have a mortgage out of the whole equation. Having a reporting installment (fixed payments a month, not an open ended line of credit) loan, satifies the credit mix. 

The $300 monthly towards CCs, is this your minimum or over minimum? If it's slightly over, it may be awhile to see score movement as interest accures and not enough principal is being paid down. 

What devil mentioned is crucial. Creditors get spooked when your are running high on utilization, and often will either balance chase you (lower your line of credit as you pay it down), or the worst- close your account with a balance. You definitely want to avoid this at all costs. 

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I usually pay double the minimum due on all cards each months and then do another payment per card each month of anywhere from $100 to $500 depending on monthly expenses. 

I had no idea the can close your account even with a balance. Even if you make monthly minimum payments? Then what, they send you to collection? 

[DollyLama]

Won't send to collection only if you cease payments or start running over 30 days, etc past due and do not catch up. They can review the account after some months and reinstate it, over keep it closed until payoff- but the bad side if closed with balance is that the credit util for this one card if happen regardless of balance $1 or $100 will always exceed over 100%. 

Your current creditors will soft pull inquiry you from time to time to review account and see if problems, it has been known that if one creditor has taken adverse action on you by closing or balance chasing, they can follow suit. 

[Anonymous]

To address the store cards, they’re not bad in and of themselves. But don’t just open a bunch of low limit cards and take the HP hits for nothing. If it’s a store you frequent and you’ll use it, fine. But don’t get a pile of worthless cards just to pad your percentages. Manage your accounts responsibly, pay down balances, and the scores will come.

[RonM21]

Welcome Mondoudou! As ImThe Devil just mentioned, there is no need to just open store cards. Open any card as you see fit for your profile and what you can handle.

All of the points made are great points 2 key points I see are the utilization and the derogs. Once you get your utilization down, you will see a steady rise in your scores. I know you are paying so much at a time, so this will take some time.

If you can get the GW letters to work on the derogs, that would be very beneficial to your scores if they are removed. Like most repairing of credit, patience is key, but it will come together for you if you keep on track.

[HeavenOhio]

Don't use store cards as builder cards. Also note that the addition of any cards — either major or retail — will cause short-term score decreases. Adding a bunch will cause significant decreases.

@Anonymous, what cards do you have right now? What are their balances and limits? And when were they opened?

[Anonymous]

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@HeavenOhio wrote:

Don't use store cards as builder cards. Also note that the addition of any cards — either major or retail — will cause short-term score decreases. Adding a bunch will cause significant decreases.

@Anonymous, what cards do you have right now? What are their balances and limits? And when were they opened?

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Here is what i have :

Discover - $1816/$3100 ( 7 years)

Capital One - $1627/$3000 (7 years)

Chase United - $4327/$5000 (Opened 5 years ago)

Chase Freedom - $0/$500 (4 years)

BOA - $1995/$2500 (2 years ago)

Dell Financial - $800/$2000 (2 years ago)

Nordstrom Car - $0/$2000 (6 mo)

[Anonymous]

Fixing your scores (getting them to improve) is as simple as fixing your utilization.  Looking at your list above, you have some major opportunities there.  Once you take care of those balances, you'll be much happier with your FICO scores.