Leaving a 3-5% balance of your line of credit will increase your fico score instead of paying off the baalcnes in full. You will have to do this with each revovling account. On a $ 100 line of credit leave a baalnce of $ 3-5 or on a $ 1,000 line of credit leave a $ 30-50 balance. I ran into this situation and Barry from Fair Isaac called me back and explained everything. If you pay off the full baalnce the reason for lower score will be "NO CURRENT REVOLVING BALANCE BEING REPORTED". hIGH BAALNCES ON REVOLVING ACCOUNTS WILL COST YOU 20-40 FICO POINTS.
35% of your fico score si your payment hsitory. So on an vehicle loan you will achieve more fico score points by paying on it 4-6 years compared if you pay on it 6 months-2 years which is not very long. Do not trade in your car, pay off the loan,a nd get a new vehicle loan all because the new model came out.
On your four open revolving accounts keep them open. DO NOT CLOSE THEM.
To keep each credit card active just charge even a candy bar for $ .50 Do this once every six months just so that you occasionally use the card.
Instead of applying for new credit have your limits increased. Unless you won or are running a business that requires credit cards, then the most revolving accounst as an individual consumer should be no more than 3.
If you are lsited as an authorized user on any account immediately have the credit bureaus delete it from your credit profile. Starting Septmeber 2007 fair Isaac will no longer allow these types of accounts as being a factor in the fico scoring system.