@Ceewin wrote:Hello All,
Okay...I'm about done with attempting to practice AZEO. IMO, it can be time-consuming and exhausting. Also, in my experience, letting a $10-$20 balance on a Primary Card & an AU card (if AU is applicable in your case) prevents penalties, especially for thin/young files.
But...here's my question: I've read in these forums that UTIL has no memory. So if one is penalized for an AZ balance one month, would the same penalty apply the next month?
No it would not.
Why or Why Not?
Because your aggregate revolving utilization is your current balances divided by your current limits, so it's changing every time the balances change or the limits change.
Hence, the phrase "utilization has no memory".
I think the "fair/common sense" answer would be a resounding "No!...but scores will be supressed". Thoughts?
@SouthJamaica wrote:
@Ceewin wrote:Hello All,
Okay...I'm about done with attempting to practice AZEO. IMO, it can be time-consuming and exhausting. Also, in my experience, letting a $10-$20 balance on a Primary Card & an AU card (if AU is applicable in your case) prevents penalties, especially for thin/young files.
But...here's my question: I've read in these forums that UTIL has no memory. So if one is penalized for an AZ balance one month, would the same penalty apply the next month?
No it would not.
Why or Why Not?
Because your aggregate revolving utilization is your current balances divided by your current limits, so it's changing every time the balances change or the limits change.
Hence, the phrase "utilization has no memory".
I think the "fair/common sense" answer would be a resounding "No!...but scores will be supressed". Thoughts?
Hello! I'm so glad you answered. Let me try a scenario to understand your response:
Because your aggregate revolving utilization is your current balances divided by your current limits, so it's changing every time the balances change or the limits change.
Hence, the phrase "utilization has no memory".
Month A: All CC Balances report AZ = AZ Penalty
Month B: All CC Balances report AZ = No AZ Penalty?; Reported Utilization didn't change from preceeding Month A
Month C: All CC Balances report AZ = No AZ Penalty?; Reported Utilization didn't change from preceeding Months A & B
Please believe I'm just trying to understand and not find any flaws. TBH, I'm probably over-thinking it. Once we close on our house, I don't want to ever have to put too much focus on utilization again! 
I agree AZEO is annoying! Unless you need the highest score possible that month (i.e. you're going for a mortgage), I don't see why practicing AZEO is worth it every month. Just use your cards responsibly and let your credit file age (aka gardening).
@TheKid2 wrote:I agree AZEO is annoying! Unless you need the highest score possible that month (i.e. you're going for a mortgage), I don't see why practicing AZEO is worth it every month. Just use your cards responsibly and let your credit file age (aka gardening).
Annoying is the perfect word! 
Just an hour ago, I purchased a $15 Amazon GC on my Discover so DH wouldn't be assessed an AU AZ penalty when it closes 6/2. His Primary card ($19 bal) closes the same day. They also tend to report to The Big 3 on the same day.
FICO 10T (new version) does include 24 month trended utilization.
As the new models gradually grow in acceptance and use, it is best to prepare now.
@Ceewin wrote:
@SouthJamaica wrote:
@Ceewin wrote:Hello All,
Okay...I'm about done with attempting to practice AZEO. IMO, it can be time-consuming and exhausting. Also, in my experience, letting a $10-$20 balance on a Primary Card & an AU card (if AU is applicable in your case) prevents penalties, especially for thin/young files.
But...here's my question: I've read in these forums that UTIL has no memory. So if one is penalized for an AZ balance one month, would the same penalty apply the next month?
No it would not.
Why or Why Not?
Because your aggregate revolving utilization is your current balances divided by your current limits, so it's changing every time the balances change or the limits change.
Hence, the phrase "utilization has no memory".
I think the "fair/common sense" answer would be a resounding "No!...but scores will be supressed". Thoughts?
Hello! I'm so glad you answered. Let me try a scenario to understand your response:
Because your aggregate revolving utilization is your current balances divided by your current limits, so it's changing every time the balances change or the limits change.
Hence, the phrase "utilization has no memory".
Month A: All CC Balances report AZ = AZ Penalty
Month B: All CC Balances report AZ = No AZ Penalty?; Reported Utilization didn't change from preceeding Month A
Month C: All CC Balances report AZ = No AZ Penalty?; Reported Utilization didn't change from preceeding Months A & B
Please believe I'm just trying to understand and not find any flaws. TBH, I'm probably over-thinking it. Once we close on our house, I don't want to ever have to put too much focus on utilization again!
Sorry, I couldn't understand your hypothetical.
If Month A, Month B, and Month C all have all revolving accounts reporting zero, the all zero penalty would be applicable in all three.
@SouthJamaica wrote:Sorry, I couldn't understand your hypothetical.
If Month A, Month B, and Month C all have all revolving accounts reporting zero, the all zero penalty would be applicable in all three.
@SouthJamaica Ok...that's what I was afraid of.
Well...Finances over FICO!
