@Scupra wrote:
@Anonymous wrote:
@Scupra wrote:
@Revelate wrote:
@Anonymous wrote:
I have utilization of 3% overall across all my cards, but one card, my Amazon store card, has over 50% utilization, because it has a relatively small limit.
What effect do you think that is having on my score?If I had to guess based on my own anecdotal data, probably none. If you want to test it, don't PIF, leave 1% or whatever on the card and see if your score moves assuming you're tracking it.
I went from ~34ish to ~4100 on a 7.5K tradeline and my score didn't budge according to EQ FICO 8 last year. It's something I intend to test again if I ever start buying stuff (maybe after I get a house and want to furnish it with something like a good couch instead of this throw away piece of junk I have); I do know there's a penalty at 97% and another user reported the same at 93%, but unless you max out a tradeline (need to test that too to sharpen up my range, somewhere between 73% and 93% seemingly, sigh, go go 1K Freedom!) not certain there's much damage from a FICO perspective. Needs moar data.
Wonder if it is less of an impact if your overall util remains low even though one card may be close to maxed out?
Barry always told us that although scoring looks at both overall and individual account utilization it's the overall percentage that carries the most weight.
Clarifies that one!
To add to this, my own personal experiments on EQ Beacon 5.0:
99% on 3K line, 13% aggregate utilization at the time: 14 point drop (660 -> 646). Back to 660 after payment.
Post 3X CLI, 97% on 9K CLI, 27% aggregate utilization at the time, same 14 point drop 660 -> 646 -> 660 after subsequent payment.
I've never had high aggregate utilization to really know, but given how hard everyone I've seen here get slapped for it, I think Barry's statement is absolutely correct. I haven't had a chance to test out the maxxed tradeline data on FICO 8.
