How is the "percentage of credit line utilization" figured? Do they figure the % for each account individually or all accounts combined? Example: account A limit is $700 balance owed is $280. (using 40%) account B limit is $8,000 balance owed is $400(using 5%) Would it calculate as revolving accounts total = $8,700 balance owed = $680? ( using 7.8 %)
They cerainly consider total balance as a percentage of total limits. Not sure if they look at accounts individually in addition to that.
They don't look at each account.They take your total credit limits that is opened,and deduct any outstanding balance that you may have,the difference after this is done will show your credit usage as far as what percent is used.It is recommended not to use over 20% of total credit limits to achive the highest FICO credit score along with no black marks of anykind.Your age of accounts does make a difference too for getting a higher score too.
