Tryin to raise my fico score.?

Question

Should I pay off credit cards down or pay off collections first? Does your score go up if you have a collection paid in full?

Answer 1

What I did was to pay down my credit cards to 30% of their limit and then used them to pay off the collections completely! Then I paid down the balance on my credit cards to less than 30% of the credit limit and my scores went way up!

Try the website below. This is a good site that explains how credit and credit scoring really works and it's written in plain english!

I used this site and with the help of the informa tion and link services, I got my credit score from 480 to 709 in one year legally! Now some collections may not take credit cards to pay off a collection, but I was lucky and my credit improved!

I promised not to claim a chargeback for the amount we agreed I owed and in return I got them to remove the negative items from my credit report! A definite win- win!

Answer 2

Pay off the credit cards first. Throw every penny you can squeeze out of your budget on the highest interest rate, while paying minimum on the rest. When the highest rate is paid off, move to the next till they are all paid in full. Once the credit cards are paid off, only charge what you can afford to pay in full every month.

After your credit cards are paid off, start on the bad debt. Newest one first and work back to the oldest. The older the debt, the less impact on your score. Paid bad debt won't bring up your score so much but creditors look at more than just your score. Better to have the old stuff paid than unpaid.

Answer 3

I would try to keep up minimum credit card payments to avoid any further damage. After that, pay down the collection as fast as you can.

Answer 4

Paying off collections will not raise your score near as fast as paying your credit cards down to below 30% of your limit and keeping your balance low.

The only thing that changes on collections is they show as paid.