Trying to get to 650 for rental application-can I do it?

[Anonymous]

been on these boards for a long time..... then disappeared once I got the mortgage - but now I'm back..... need a little advice.

ok - my scores are as follows:

EX 625

EQ 623

TU 625

no baddies on the report - just stupid high utilization on CC's  - I have a mortgage and student loans that report all in good standing.

Here are the credit cards.

Jen	Credit Line	Balance
Discover	$3,200.00	$3,236.23
Amazon	$2,300.00	$2,236.12
Kohls	$1,500.00	$1,442.71
CapOne-8841	$2,000.00	$2,022.78
Vic Secret	$750.00	$0.00
AMEX	$2,000.00	$1,943.50
Chase	$2,000.00	$1,972.40
CreditOne	$600.00	$530.48
MercuryCard	$2,000.00	$1,951.38
OldNavy	$1,200.00	$634.43
CapOne-5762	$2,000.00	$1,972.45
Citibank	$1,800.00	$1,773.52
TOTALS	$17,550.00	$15,970.03

My total Utilization right now is about 92% and I can get total Util to about 46%

I have about $10,000 that is coming from a settlement (actually have the check, but am waiting for the bank to clear the stupid thing on Nov 7).   First Off I plan to pay off the Old Navy and Credit One accounts - they are small.   then I was going to pay off Amazon, Kohls, CapOne8841 and Amex.  any remaining balance I was going to split among the other cards as best I can but heavy toward Discover ($100 across then about $600 to Disc) ....... Is that a good plan?  I really am hoping to get enough of a jump to get the apartment without a co-signer.    (Yes, I know mortgage and rent - separation with spouse and it will be taken care of.....right now I just need the apartment)  I plan on calling every credit card and trying to get them to report asap/again once I make the payments....sadly the stupid bank is holding the check just about 5 days too long to meet the normal reporting requirements for the cards due the first couple days of the month! 

[Anonymous]

Paying off a few individual cards in entirety is not the best strategy (initially) given that your goal is score improvement.  Here should be your priorities (in order of importance):

(1)  Always make payments on time.  Never be late. 

(2)  Never make only the minimum payment.  Pay at least $2 more than the MP on every card.

(3)  Pay all cards down to under 87% (each card considered by itself).

(4)  Pay all cards down to under 67%.

(5)  Pay all cards down to under 47%.

(6)  Pay off all small balance cards to create more $0 balances.

(7)  Pay off all CC debt.

[Anonymous]

 See the red....

(1)  Always make payments on time.  Never be late.  ALWAYS - Never am - No lates, no missed, no collections....just high util.

(2)  Never make only the minimum payment.  Pay at least $2 more than the MP on every card. Usually pay extra $5 or even more when I can (always round UP)

(3)  Pay all cards down to under 87% (each card considered by itself).  - I think this is what I need to do.... then work to 4, and 5

(4)  Pay all cards down to under 67%.

(5)  Pay all cards down to under 47%.

(6)  Pay off all small balance cards to create more $0 balances.  This is the plan - get rid of the two smallest - Old Navy and Credit One but then I needed to know how to get score highest from there - pay off some more of the smaller ones (several are in the $1400-$1800 range) or pay large chunks off of each - or some of each...pay off a few more and make bigger payments to the rest?? 

(7)  Pay off all CC debt

[SouthJamaica]

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@Anonymous wrote:

Paying off a few individual cards in entirety is not the best strategy (initially) given that your goal is score improvement.  Here should be your priorities (in order of importance):

(1)  Always make payments on time.  Never be late. 

(2)  Never make only the minimum payment.  Pay at least $2 more than the MP on every card.

(3)  Pay all cards down to under 87% (each card considered by itself).

(4)  Pay all cards down to under 67%.

(5)  Pay all cards down to under 47%.

(6)  Pay off all small balance cards to create more $0 balances.

(7)  Pay off all CC debt.

---

I agree with that suggestion, since the OP's priority is score improvement.

[SouthJamaica]

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@Anonymous wrote:

 See the red....

(1)  Always make payments on time.  Never be late.  ALWAYS - Never am - No lates, no missed, no collections....just high util.

(2)  Never make only the minimum payment.  Pay at least $2 more than the MP on every card. Usually pay extra $5 or even more when I can (always round UP)

(3)  Pay all cards down to under 87% (each card considered by itself).  - I think this is what I need to do.... then work to 4, and 5

(4)  Pay all cards down to under 67%.

(5)  Pay all cards down to under 47%.

(6)  Pay off all small balance cards to create more $0 balances.  This is the plan - get rid of the two smallest - Old Navy and Credit One but then I needed to know how to get score highest from there - pay off some more of the smaller ones (several are in the $1400-$1800 range) or pay large chunks off of each - or some of each...pay off a few more and make bigger payments to the rest?? 

(7)  Pay off all CC debt

---

Once you have everything down to under 47%, then get everything down to 28% or less. Then you can start zeroing out accounts.

[Anonymous]

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@Anonymous wrote:

 See the red....

(1)  Always make payments on time.  Never be late.  ALWAYS - Never am - No lates, no missed, no collections....just high util.

(2)  Never make only the minimum payment.  Pay at least $2 more than the MP on every card. Usually pay extra $5 or even more when I can (always round UP)

(3)  Pay all cards down to under 87% (each card considered by itself).  - I think this is what I need to do.... then work to 4, and 5

(4)  Pay all cards down to under 67%.

(5)  Pay all cards down to under 47%.

(6)  Pay off all small balance cards to create more $0 balances.  This is the plan - get rid of the two smallest - Old Navy and Credit One but then I needed to know how to get score highest from there - pay off some more of the smaller ones (several are in the $1400-$1800 range) or pay large chunks off of each - or some of each...pay off a few more and make bigger payments to the rest?? 

(7)  Pay off all CC debt

---

In case it was unclear to our OP, those steps are listed in order of priority.  So that would mean the OP would not get to the step of trying to pay cards to zero (step #6) until he or she had first paid all cards to under 47% (step #5).

[Thomas_Thumb]

I would add that step #2, paying slightly over the minimum is to reduce likelihood of a credit limit decrease (CLD). Payment relative to minimum due is not looked at by Fico.

The amount of cards reporting balances is a relatively weak scoring factor, particularly with Fico 8. I agree that getting all individual card utilizations under 49% should take priority - given the primary focus is score.

[Anonymous]

See my signature? My scores went up quite a bit on one month just by lowering my utilization.  To get the most bang for your buck, pay the cards that are over limit, first. It seems (at least from my experience) that you are dinged A LOT more when your reported balance is over limit.  At the beginning of October, I had two capital one cards over 90% utilization and my credit one card was 105%.   My other cards were anywhere from 25%  - 75%.

My husband and I made some major moves. We paid off the credit one card in one swoop, paid off a card that was reporting 70%, and made major dents in all my other cards.  Big improvements across the board, in 30 days. 

[Anonymous]

Thanks everyone.   I appreciate all the advice and look forward to seeing what my scores do once I get the payments made in the next 10 days.  Wish me luck!