#23755 - 06/12/06 05:15 PM
Re: Anyone work at assessing credit?????
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Johnboy 64
Member
Registered: 11/16/01
Posts: 15944
Loc: a nice place
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pay the ones with highest %interest 1st... other than that, i dont know y it would matter. but i'm not a financial advisor...
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#23756 - 06/12/06 05:19 PM
Re: Anyone work at assessing credit?????
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flicka
Member
Registered: 04/06/00
Posts: 24616
Loc: SLO County, CA - 66.122.77.142
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I would pay $1000 on A and pay off B & C. Paying off debt is a positive for your credit score, but that's all I know about it.
_________________________
"A lot of things were acceptable--until we stopped accepting it." -- Al Sharpton '12
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#23757 - 06/12/06 05:48 PM
Re: Anyone work at assessing credit?????
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candra
Member
Registered: 05/17/00
Posts: 2877
Loc: Ripon, CA US
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I'd pay off B,C & D and pay down A. (Assuming of course the interest rate on all is the same -- if not then work to get the balance moved to one credit card with low interest). It's good to show that you have paid off accounts. Sometimes having a lot of accounts will cause lenders to evaluate you in a negative way if you do not pay off the balance every month.
Also lenders look at the percentage of debt (meaning monthly payments owed as compared to income) so it's in your best interest to eliminate as many payments as possible. You should also get a copy of your credit report now and also get your credit score. Your credit score will give you a very good idea of your "credit worthiness". Plus if there's anything incorrect on your credit report (and there will be) you should work to get it removed before you apply for a loan. This includes cards that are not in your name (a common mistake that shows up on just about everybody's report).
I am also not a financial professional. This is just from personal experience of buying and selling a lot of properties. And from what financial advisors have told me in the past.
Candy
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#23758 - 06/12/06 05:53 PM
Re: Anyone work at assessing credit?????
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Eric1
Member
Registered: 03/21/02
Posts: 7433
Loc: Minnesota
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What hurts your score is a high debt-to-income ratio, and multiple lines of revolving credit. I'd pay off B,C, and D, and $500 on A. That will help the most.
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#23759 - 06/12/06 09:32 PM
Re: Anyone work at assessing credit?????
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NorthwestDan
Member
Registered: 07/29/01
Posts: 224
Loc: The Great Forests of the Pacif...
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I really like the online, free, financial tools and calculators at bankrate.com Check out this page of Credit Card tools, and try the one called "Debt Pay Down Advisor." I hope it will help in making a decision - I know it helped me.
You can find it at: BankRate.com - Credit Card Calculators
YMMV
NW Dan
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#23760 - 06/12/06 09:41 PM
Re: Anyone work at assessing credit?????
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cass
Member
Registered: 03/01/00
Posts: 3505
Loc: WA
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i get a routine credit report. on it is a list of things that affect your credit score. one is how close you are to your credit limit on any given card. so my advice is to pay down on any close to their limit.
i disagree with paying off a card means good credit. keep in mind, cc companies make money off the interest; they like to see a reasonable balance owing.
yes, you should see a copy of your credit report BUT bear in mind too many requests to see your report counts against your credit. my routine check i pay for and it is not used in that count.
also not a financial advisor  but my credit score is in excellent range...does that count??
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#23761 - 06/12/06 09:50 PM
Re: Anyone work at assessing credit?????
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Lizbv
Member
Registered: 08/27/00
Posts: 5658
Loc: Who Dey!
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cut the cards up, n pay em off ASAP.
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#23763 - 06/12/06 09:55 PM
Re: Anyone work at assessing credit?????
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Mike_dup2
Member
Registered: 07/06/02
Posts: 410
Loc: Oklahoma
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Originally posted by Xuxan:
If I have a chunk of money to pay off credit card bills and want to improve my credit score the most - which is my best choice?
Credit card A - $3,000
Credit Card B - $1,000
Credit Card C - $1,000
Credit Card D - $ 500
I have $3,000 to pay off credit
Is it better to pay off A completely
or
pay off b, c, and d completely and a little of A
or
pay off c and d, half of b and a little of A
All this is with having minimums all paid.
Thanks for any help. I have to refinanace my house soon and want to look my best
Just a passing thought...
Call each credit card and ask for increase on limit.
Plan on using all increases on limits and cash in hand on a financial investment on a capital gain of indebtness.
How check on and book cheapest flight to Las Vegas. Don't worry about a room.
Now take your $3K cash along with all avilable credit left on your credit cards coupled with any increases you were able to obtain on each card.
Now the improtant part: Party and play til you are broke.
Cash in your return flight ticket. Put everything in the first slot machine you see and go for it.
Call your best friend and ask them to buy you a ticket home.
Now no decsion needed on what and who to pay.
Good Luck,
Mike
Sorry, could not resist the post.
Seroius though saw on TV today about getting handle on credit card debt.
They suggest paying off as many small cards and do away with that payment off your budget. Work your way up towards biggest debt.
While doing this take what payments you were making on small cards and put towards the bigger debt.
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#23765 - 06/12/06 11:08 PM
Re: Anyone work at assessing credit?????
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cass
Member
Registered: 03/01/00
Posts: 3505
Loc: WA
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forget bout paying off higher interest cards. just transfer that amount to your lower interest ones.
btw, capital one is lowest interest i've found. 6.9%
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#23767 - 06/13/06 03:35 AM
Re: Anyone work at assessing credit?????
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walkin and rollin
Member
Registered: 09/27/04
Posts: 417
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Paying off a card and keeping it means to the bank that you have that much debt, because you can go out tomorrow and charge it to the max. That's why the advice on cancelling one after paying it off.
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#23768 - 06/13/06 04:00 AM
Re: Anyone work at assessing credit?????
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cass
Member
Registered: 03/01/00
Posts: 3505
Loc: WA
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i disagree walkin. my highest interest card which is almost never used and i've had for over 20 yrs, also has by far the highest limit. it has never been mentioned on the list of what affects my credit rating and has never been perceived as a debt. banks do not establish your credit rating. only the much lower limit cards with much smaller interest rates have been mentioned on my credit report if i charge to within a certain % of their limit. it's all a bit of a cc game, huh.
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#23769 - 06/13/06 03:00 PM
Re: Anyone work at assessing credit?????
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Eric1
Member
Registered: 03/21/02
Posts: 7433
Loc: Minnesota
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I probably pull 25-50 credit reports on any given day. I see all forms of credit, whether they're open with a zero balance, or closed with a zero balance. Every form of credit you've had in the last 7-10 yrs will show up, as will your payment history, balances, limits, etc..etc..
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#23770 - 06/13/06 03:10 PM
Re: Anyone work at assessing credit?????
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Wabi
Member
Registered: 06/06/00
Posts: 23858
Loc:
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Is it true what I hear, that when you voluntarily close an account and get rid of a card, it counts against your score?
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#23771 - 06/13/06 03:26 PM
Re: Anyone work at assessing credit?????
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Eric1
Member
Registered: 03/21/02
Posts: 7433
Loc: Minnesota
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Originally posted by Wabi:
Is it true what I hear, that when you voluntarily close an account and get rid of a card, it counts against your score?
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#23772 - 06/13/06 03:43 PM
Re: Anyone work at assessing credit?????
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paradocs
Member
Registered: 11/20/04
Posts: 2323
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Listen to the Dave Ramsey radio show. To find a station go to
http://www.daveramsey.com
You can listen on many stations across the country, both XM and Sirius, and over the web.
As I under stand his advice, Dave says to make what he calls a "debt snowball." You keep paying the minimums on all but the smallest debt, put your primary focus into paying off that one as soon as possible. Once that is paid off, you put the amount you were paying toward that, plus the minimum from the next largest into the next largest and so forth until you get them all paid off.
One word of caution: Dave's plan is that you NEVER buy anything on credit with the possible exception of a house and on that you NEVER finance that for more than 15 years at a fixed rate.
He claims his FICO (credit) score is 0 (ZERO) because he pays cash for everything.
In the few weeks I have been listening to the show and heard people call in claiming to have paid off huge amounts of debt in fairly short times by following his plan.
If you go his route, please report back.
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#23773 - 06/13/06 04:07 PM
Re: Anyone work at assessing credit?????
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paradocs
Member
Registered: 11/20/04
Posts: 2323
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I forgot to mention in the earlier post that on the show today someone called in with a similar question. If you can find a station that carries the rebroadcast (I think both Sirius and XM carry it later than the station I hear it on) you might be able to hear his comments in case I got something incorrect.
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#23774 - 06/13/06 04:10 PM
Re: Anyone work at assessing credit?????
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lazer
Member
Registered: 03/16/02
Posts: 7672
Loc: a world of my own...
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all good valid ideas posted....
something to remember, if you have lower rates on some, you can pay off the higher cards with the lower rated cards, so balance is on lower rated cards
_________________________
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Memo: Don't get p*ssed at my OPINION, cuz thats all it is, my OPINION.........
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#23775 - 06/13/06 04:38 PM
Re: Anyone work at assessing credit?????
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paradocs
Member
Registered: 11/20/04
Posts: 2323
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The problem I had with transferring debt from a high-interest card to one with lower interest was the length of time it took. If you are coming up on a deadline for refinancing, the transfers might not have all gone through.
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#23777 - 06/13/06 07:11 PM
Re: Anyone work at assessing credit?????
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cass
Member
Registered: 03/01/00
Posts: 3505
Loc: WA
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Originally posted by Eric1: Originally posted by Wabi:
Is it true what I hear, that when you voluntarily close an account and get rid of a card, it counts against your score?
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#23778 - 06/14/06 06:55 AM
Re: Anyone work at assessing credit?????
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corlorde
Member
Registered: 04/24/01
Posts: 9246
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To a lender, it may affect their decision because multiple requests indicate that the borrower is seeking credit, and they will want to know why and how much. They are afraid that your income to debt ratio will end up being too high for you to satisfactorily pay back.
Be seeing you Cass,
~Corey
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#23779 - 06/14/06 08:20 AM
Re: Anyone work at assessing credit?????
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candra
Member
Registered: 05/17/00
Posts: 2877
Loc: Ripon, CA US
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I think it matters who accesses the file. For example some credit card companies (that you have an account with) check your files every month for other activity (like defaults, late payments to others, etc.) just to protect themselves and to set your interest rate higher if you are getting a bad history. I would think these would not matter when getting a loan. But when you are applying for new credit and that company accesses your record, then that may matter as you are seeking new credit or "too much new credit" at the same time you are also seeking a loan, which may be a signal to some that that person is a bad financial risk (on the brink).
It's also interesting in the credit card world, those that pay off their cards every month and accrue no interest (like me) are called "deadbeats", because they don't make any money off of us.
Candy
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#23780 - 06/14/06 10:22 AM
Re: Anyone work at assessing credit?????
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john55555
Member
Registered: 03/31/06
Posts: 531
Loc: "'cross the alley from the Ala...
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Question For The Credit Experts: We use credit cards. They are, after all, very convenient. I pay at the pump for gas Every time. I can't haul my withered, hurtin' bod inside, stand in line and limp back. Oh, I could..but why?
Anyway, we pay off the balances every month..BUT is that really a good thing? It's hardly "building credit." We purchased our house and several cars in the past "on time."
Do you think we should pay in "installments" occasionally to "build credit" or just keep paying them off. I want to maintain a good record, as you never know when a SHTF episode is going to land in your lap and you might have to live off the cards for a while.
I noticed recently that, even paying the balance every month, one of the Visa cards hit us with an interest charge $2.46! What's up with that?!
It's THIS congress that put the screws to us! 
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You will have the same amount of debt but you will get it paid off much sooner.
