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CREDIT SCORE

My credit score is 525. I know VERY POOR. I have debts like in four places. I f I pay one by one will my credit score go up or will I have to finish paying all of them?

Answer Question
 
hmomr

Asked by hmomr at 11:07 PM on May. 23, 2009 in Money & Work

Level 6 (119 Credits)
Answers (3)
  • lets say, hypothetically, you have two credit cards. if you have 1000 debt on each of them, your score will be better than if you have 500 on one and 1500 on the other. also, when you finish paying off a card, don't close it. credit looks better with a long history, instead of constantly opening and closing accts
    llansky

    Answer by llansky at 11:23 PM on May. 23, 2009

  • you don't have to pay all up, but you must not miss payment. It will be best to pay off most of your credit card debt to avoid high fees & use them regularly, where you payoff the charge you made last month. The history look for consistency in using & paying off your card. You must not close your card , but consolidate them for the same company if one of the card is zero balance. Also, you must use your empty (zero balance) card once every 5 months to avoid them closing your card. I had a 5000 limit card, didn;t use it for a year plus & they send me a letter that it is closed, because i didn;t use it, lol.
    savingjmom

    Answer by savingjmom at 12:01 AM on May. 24, 2009

  • you shouldn't have more then 30% of you credit limit balance on your card, ie credit limit is 1000, don't owe more than 300 on it. Getting all balances to 30% or under will inprove score by at least 50 points!! Some of my friends got their score up 120 points by just changing around how much they owed on each card to make each card not have more than 35% they used balance transfers and after 30 days their score jumped. www.RamblingsOFaSAHM.com


     

    Vanessannd

    Answer by Vanessannd at 1:05 AM on May. 24, 2009

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