Too much revolving credit!!1

**F-Equifax** · 04-22-2009, 05:11 PM

Well Im in a rock and a hard place right now with credit. Im almost 23 years of age and still live at home. My fico score is TU-733, EX-738, and EQ 654??? Now I dont understand why its 80 points lower but I do know my car loan for some reason isnt included in Equifax. I tried calling today but their system is down. As of right now Im 6500 dollars in debt, not including my car loan which I owe about 11,500 left from 30k. Ive never had any late payments later then 30 days. So all of my accounts are in good standing, I have no negatives. I have a total of 4 revolving accounts two of which I dont use, so I have 2 main CC and a total of 6500 dollars in debt. One one CC I have like 700 left and the other is like 400 but I have a major problem my one CC is at 19% and my other is at 27%. I called boa the 19% and asked why it was so high they told me because my EQ FICO score has lowered since I applied for the card in oct of 2006 and theres nothing I can do about it. Then my Chase the 27% apr, is high because I missed a payment by one day. I accidently gave the wrong routing number to my boa to have it electrically taking out. I tried calling them to lower it and they basically told me to F-off. Right now my main goal is to get rid of this debt but I can really only afford the min payment. So my question is does anyone have any solid advice to give to me. I tried to get another CC to balance transfer everything but got declined but got approved for a 2% for 6months and after that 19% which Is better then the 27% so I accepted it but the lady told me I have 3 months to accept it so Im not sure If I want to do that. I havent taken any credit classes ive just read what I could on the internet so Im all new to this credit "thing" I just want to have good credit because I know thats important, I just didnt know your revolving credit limit mattered so much until Now. So I need some peoples advice to help me out because I cant afford to make anymore mistakes.

**F-Equifax** · 04-22-2009, 05:12 PM

Ohh and Im also not using the credit cards, maybe once a month If I need food or gas but no more then 15 dollars and Im only talking about one of the cards a month not both.

**Magic69** · 04-24-2009, 12:42 PM

So you have 2 cards that have no balance on them and 2 with high balances on them, correct?

First and foremost, live within your means. Just because you have credit available doesn't mean you can afford to buy whatever it is you want to buy. I think you're learning that life lesson right now.

Second, you lose points for having credit card balances over 50% of the available credit line. Do what you can to get down to carrying a small balance. If you can transfer the balance off the 27% card to a very low APR, you might as well at this point. So long as you don't start accruing more debt because you have more capacity.

To begin paying down your debt, focus on one card at a time. Whichever has the highest rate. Any extra you can pay, pay on the one card until you have it all the way paid off or down to a small balance. Then start on the next card and repeat.

Good luck!

**msmoniqu** · 04-28-2009, 11:38 AM

HI
I actually had the same question a few months ago, and Magic's advice really helped. My credit score has gone up 48pts in just under three months. I paid off all credit cars and my car. Now I do understand not being able to pay off everything at once ( I had recently got two lump sums of money that is the ONLY reason I was able to) So just pay off the one with highest interest rate first (try to include maybe 10 extra dollars a month that will save you a lot on interest in the long run) Once the first is paid off move on to the second including what you were paying on the first one in your payment. Here's an example of what I mean:
If you start paying the one with the higher interst first with a monthly payment of 50 dollars (this includes the extra 10) , and you continue to pay to the second card just the minimum(maybe 40 whatever the minumum is). Once the first card is COMPLETLEY paid off, move on to the next paying the 50 you were paying on the first card and the minumum you were paying on the second card, for a payment of 90 dollars a month to your second credit card. This is a fast approach to clearing up all debt.

Now as far as why there is a differnce in the scores is because they use three different scoring. But from what I have read in a few books by Suze Orman. Equifax is the only one who has true Fico scores. Transunion and Experian uses a modified version.

**Magic69** · 04-28-2009, 05:58 PM

Nice - 48 points is great!

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