cc pay off

[GregB]

It is important to understand that a FICO score is calculated off the information in the report at that moment. When you paid off half of the CC one month and the other half the next mont, it isn't the payment that is helping your score. It is the balance on that account compared to your limit. Your FICO score isn't delayed from the report. It is calculated from the information at that time. The amount of the payments is only seen by the CCC that receives the payments and others doing a manual review of your report looking for extra information.

There seems to be a step in scoring at 80%, around 40-50%, and around 10% utlization for many people. It is possible that your best score is going to be with a balance above $0 but less than the lowest step, which is probably under $50. I would try letting $1-$20 report next month and see what score you get. I do find it very hard to believe you can achieve your goal with this one change.

I think it is a lack of credit history that is hurting your score based upon your info of no negatives, only two inquiries, and only one other loan on your reports. Is there history on the property loan for $56K? How long? What was the original balance? What is the age of the oldest account that appears on your report, open or closed?

[p-]

Agreed.  Managing your utilization is the fastest and easiest thing you can try to give you a bump.  Try to hit the 5 to 9 percent mark, and you'll likely get all you can out of that part of the score.  But take time to look at your other derogatory items.  If you can PFD or GW anything off your report, you'll see a nice bump.  Start with the most recent items and work them hard.

Think like a potential creditor - If they are going to loan you money, they want to make sure they get it back.  Showing them you use credit responsibly, pay on time, and honor your obligations is the best path to approval.   That means you need to get rid of collections, late payments, and show ongoing on-time payments.  Use your credit, but use it conservatively.

Good luck.

[red456]

Well, my score went back up to 637 today and I did put about 30$ on that lone cc today also, so with that maybe I can get over the 640 mark. Have no idea why it went back up and don't care just very thankful.  Don't have to have a reason for everything i guess.......... Thanks for all your help.

[red456]

My transunion went up to 645 from619 so we are makeing some progress. It is so wet here in Alabama that it will be April or March before we build anyway so we have we scores we need and maybe thay well grow in the next few months.

[Anonymous]

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@red456 wrote:

My transunion went up to 645 from619 so we are makeing some progress. It is so wet here in Alabama that it will be April or March before we build anyway so we have we scores we need and maybe thay well grow in the next few months.

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That is awesome, you could see a small increase over the next few months just due to accounts aging a little, just remember to try and only let one CC report a small balance each month and keep the rest paid to 0.

Best of Luck!