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Utilization?

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Joeychgo
Established Member

Utilization?

My utilization is at 1% -- and it only says very good -- what does it take to get exceptional??

Message 1 of 5
4 REPLIES 4
Thomas_Thumb
Senior Contributor

Re: Utilization?

You can have an Excellent/Exceptional rating at 4%-5% reported aggregate utilization and even higher.

What's your highest individual card utilization? Also, what percentage of your open CCs are reporting non $0 balances?

 

A personal line of credit (PLOC) is often classified as a revolving account. Do you have an open PLOC that you have drawn against? Any closed accounts with a balance?

Fico 9: .......EQ 850 TU 850 EX 850
Fico 8: .......EQ 850 TU 850 EX 850
Fico 4 .....:. EQ 809 TU 823 EX 830 EX Fico 98: 842
Fico 8 BC:. EQ 892 TU 900 EX 900
Fico 8 AU:. EQ 887 TU 897 EX 899
Fico 4 BC:. EQ 826 TU 858, EX Fico 98 BC: 870
Fico 4 AU:. EQ 831 TU 872, EX Fico 98 AU: 861
VS 3.0:...... EQ 835 TU 835 EX 835
CBIS: ........EQ LN Auto 940 EQ LN Home 870 TU Auto 902 TU Home 950
Message 2 of 5
FicoMike0
Senior Contributor

Re: Utilization?

Here on my fico, I'm showing 1% utilization and exceptional.

7 of 13 zero,

Highest 12% (just hit the $200 sub on that one!)

 

 

Message 3 of 5
BrutalBodyShots
Established Contributor

Re: Utilization?


@Joeychgo wrote:

My utilization is at 1% -- and it only says very good -- what does it take to get exceptional??


First thing, be aware that those arbitrary ratings don't actually matter / no lender looks at those fluff terms when making a lending decision.

 

To answer your question though, it's because that the "Amount of Debt" metric still presents an opportunity to you. As one example, if you don't have an open installment loan you're missing out on the installment loan utilization boost to your FICO scores. The summary software could consider that as something keeping you from "exceptional" as far as an arbitrary rating goes.

Message 4 of 5
Thomas_Thumb
Senior Contributor

Re: Utilization?

Installment loans help the mix rating and an open loan can be beneficial to credit score. However, lack of an open loan does not influence utilization rating. If the OP does have an open loan at a high B/L ratio, it might affect rating.

Fico 9: .......EQ 850 TU 850 EX 850
Fico 8: .......EQ 850 TU 850 EX 850
Fico 4 .....:. EQ 809 TU 823 EX 830 EX Fico 98: 842
Fico 8 BC:. EQ 892 TU 900 EX 900
Fico 8 AU:. EQ 887 TU 897 EX 899
Fico 4 BC:. EQ 826 TU 858, EX Fico 98 BC: 870
Fico 4 AU:. EQ 831 TU 872, EX Fico 98 AU: 861
VS 3.0:...... EQ 835 TU 835 EX 835
CBIS: ........EQ LN Auto 940 EQ LN Home 870 TU Auto 902 TU Home 950
Message 5 of 5
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