I have been seriously paying down my debt for the past year. I have 2 cards with 0% interest. Both of these cards have a $10,000.00 credit limit. My remaining balance on both cards is $2,500.00. Does this high credit limit affect my credit score?
2007-11-28 06:31:54 · 5 answers · asked by younglady50 1 in Business & Finance ➔ Credit
That's about 25% of your available limit which is okay for your score. It's good that you're working on paying off that credit card debt and that you have 0% interest on both those cards.
I suggest that you pick one and concentrate on pay it off first while making the minumum payment on the other. That way at least one will be completely paid off before the 0% interest period expires.
Keep up the good work and you'll be debt free in no time!
2007-11-28 06:42:45 · answer #1 · answered by bdancer222 7 · 0⤊ 0⤋
Keep paying this debt down and yes it will affect your score, positively!!! You are proving you are responsible with money and have your balances down below 30% of your credit limit so keep it up! This will look good on you and your reports!
Your doing what I suggest in my website about credit repair.
After ID theft and bankruptcy I still got my score up from 486 to 730 in a little over a year, so this is something I do know about! Read all of my site and I think that the "how credit scoring works" section will be really helpful to you! Get a free copy of your credit report too. Your high limit is good for your score! It doesn't mean you have to fill up your card though!
Just keep the high limit and your balance low!
CONGRATS!!!!
2007-11-28 15:51:30 · answer #2 · answered by Anonymous · 0⤊ 0⤋
If you want my opinion and im sure you do. I wouldnt play the credit card game. Credit card companies make all the rules and can change the rules in the middle of the game.
And it is a game. As you well know its hard to get out of the game once you start losing. High interest rates that they can raise for what ever reason. Outrageous late fees and over the limit fees. Not to mention indentity theft.
Pay as you go and live on less than you make and you'll have money.
Debt free is the way to be!
Of course the bankers on here will tell you different.
2007-11-28 14:44:36 · answer #3 · answered by heybulldog 5 · 0⤊ 2⤋
No, I would definitely keep the high limit. The credit available to credit used ratio will effect your credit score and right now I think you are in a good place.
2007-11-28 14:36:07 · answer #4 · answered by cspb 4 · 0⤊ 0⤋
That's fine, just keep each card under 50% or $5000 and you will be fine.
2007-11-28 14:51:02 · answer #5 · answered by wcowell2000 6 · 0⤊ 0⤋