Question for those who know...

Discussion in 'Credit Talk' started by David, Apr 28, 2001.

  1. David

    David Well-Known Member

    OK, so the FICO sits around 630--I have the following:

    Revolving: 2 (Citibank and First USA)

    Installment: 4 (2 autos, 1 mortgage, 1 student loan)

    3 Revolving closed by me back in 1998 (or maybe 1999): 2 Capital Ones, 1 Providian (all fine after 18 or 24 months of use).

    Anyhoo, if I add myself as authrized user on my wife's Lowe's, and/or Stage, and/or Target ($2000, $900, and $700 limits--and I know all three report as I see them on bureaus everyday)--would there be a score increase of any significance?

    My revolving ratio would go from around 50% to around 30%.

    Any thoughts?

    Or not worth the hassle?


  2. roni

    roni Well-Known Member

    I think that reducing your ratios will improve your score tremendously.

    My score dropped greatly due to my credit card balances increases since Christmas. I am paying them down as fast as I can.

  3. David

    David Well-Known Member

    So which do you think will add more points?

    Just paying down the two open trades/revolvings to around 30%? Or adding three AU trades, increasing my over all limit and, thusly, reducing my ratio?

  4. judyputy

    judyputy Well-Known Member

    I think both would probably add something point wise to your overall score.

    Roni is right that lowering th ratio is good. If you can lower it on your 2 cards that should give you a jump.

    I would also increase your positive tradelines by adding as an AU on your wifes cards. You will go from two lines to 4 or 5 positive trade lines. Since most here have agreed that the optimum is somehwere around 4 major accounts, 1 store credit, and an installment loan you should look pretty ideal.

  5. roni

    roni Well-Known Member

    Both. You have to do both to maximize your score. I would apply for trades that you know you can get and pay on time for several months. You will see that score rise.

    At the same time you need to keep your balances low. So many people THINK they have good credit and dont understand why their scores are not higher. That is b/c they dont PLAY THE CREDIT GAME WISELY.

    Keys to Great Scores: Low inquiries in the past 6 mos. Credit ulitization below 30% , numerous tradelines with R/I 1 at least 1 year old.


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