My balance to available credit is pretty bad, probably 16,000/20,000. I just paid off a furniture account with a credit limit of 2000, should I close it or not? I have a lot of open accounts, about 20, and one thing I noticed is that this account is only reported to equifax and that is my lowest score by 50 points. It's at about 611 with the others in the 660's. Any real tips would be nice, thanks.
2007-11-27 08:51:33 · 1 answers · asked by kamui r 1 in Business & Finance ➔ Credit
If you have that many accounts, for a good length of time, and your utilization was lower then it probably would not hurt to close that account.
Since your utilization is so high, that paid account is doing nothing but helping you. If it were me, I would not close it until the overall utilization is paid down to 20%-30% or less.
If you "just" paid it off and it hasn't been updated as paid on your reports yet, then your scores are not picking up the fact that it is paid.
If you are looking at your "Fico" scores and that account is showing on your reports as paid, then you should look over your EQ report and also compare it to EX and TU to see where the problem is.
Also, if you are looking at fako scores and not true Fico's, than that "may" be the reason why your EQ score is lower.
It's well known that fakos can differ from Fico's as much as 100+ points (higher or lower).
2007-11-27 09:29:58 · answer #1 · answered by echo 7 · 1⤊ 0⤋