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Today I paid my credit card balances down to zero. I have three cards all with just $ 300 limits. The negatives on my credit report was accounts to new (1.5 years), balances to high and 2 collections from 2003 and 2005 both are reporting “paid”. I am in pursuit of a home mortgage. And I am roughly 30 points off my mark. I have paid all my bills on time for the 1.5 years with 1 30 day late. From this information can anyone based on experience give me a ballpark number on the possible amount of points that can be accumulated and how long will it take to show. I put the cards away to not make any charges.

7 Thoughts on Whats the average amount of point increase on your score after paying credit card balances to zero?
  1. Reply
    stevenzepke
    August 20, 2011 at 3:08 am

    not much

  2. Reply
    LynnWeldon
    August 20, 2011 at 3:56 am

    Paying the cards off will give you about 2 or 3 points for each. Make sure that you are not appling for loans until you are ready to get your house loan. Inquires hurt your score by 5 points per inquiry. BAD Deal. You need to put a small balance back on one of the cards. Dont go over half your limit. 100 balance on the 300 card. This actually helps. Then tranfer that balance to the next card next month. It makes it look like you pay your balances off every month. Never go over 50% of your limit. Also get your free credit report and fill out a disputen on that 1 time 30 day late. Just put on there it is inacurate. If the bank does not respond to the bureau in the time they are allowed, they remove it. Just take a chance the bank will be to busy to respond. Remember, no inquires and don’t go over 50% on limits. That 30 day late is a killer. Try to get it removed. If you know someone at the bank ask them if they will have it removed for you.
    Good Luck
    Jason

  3. Reply
    Ted G
    August 20, 2011 at 4:52 am

    Don’t shift balances around. You would be better off making small purchases periodically and pay them off regularly; this will establish a stronger payment history.

    Clear the 30 day late if possible, if not, only time will heal. The impact of a late pay lasts for 12 months before it’s affect starts to diminish.

    Also, visit http://www.optoutprescreen.com to remove yourself from credit solicitations. Not only will this reduce your junk mail and temptation to sign up for more credit, it is said that it will boost your credit scores 5-25 points.

    I’m a Mortgage Advisor and advise on these issues all the time.

    Good luck!

  4. Reply
    yolandajdukes
    August 20, 2011 at 5:14 am

    All those other answers are incorrect!!! What you are doing is exactly what you should be doing. So who ever your working with is helping you in the right direction! And for how long will it take to report should be on the following month. And for how many point will it help not sure exactly but, if all you need is roughly 30 points you should be able to get them. I am also in the process and was told to do what you are doing and with just doing that to one of my credit cards my score went up 20 points. So any way just keep doing what your doing and you’ll be o.k. Good luck!

  5. Reply
    Bryon H
    August 20, 2011 at 5:36 am

    Hi!
    Well…I would think getting a secured card or two (reasonable fees..not one of the ripoffs) would boost your score the most. Paying down balances does not help your score much..although it is the right thing to do.

    I’m going to make the rounds with the secured cards I had planned to get and ask them more questions. So far..I can recommend New Millenium bank secured..because it does report as being unsecured. I’ll follow up later with more info.

    I hate to sound like a Citi Credit Monitoring Service salesdrone..but I am *soo* sold on this service. Sure..the so-called monitoring of all three reports lagged on the Equifax change..but I expected that. I think I would pay $ 12.95 for the the credit simulator alone..it really is the best I’ve ever seen.

    The free trial really is free if you don’t wait until day 30 to cancel it..and you can find it by doing a search for it.

    I’m 100% sold on it..but I still pull all three normal reports every 30 days from each..mainly because I need to..lot of things going on…and I’m keeping on top of it with a passion.

  6. Reply
    abel jarrod
    August 20, 2011 at 5:54 am

    The following 5 critical factors affect your credit score in a major way. By knowing these you can keep a check on them and make your credit score a healthy one.

    1. Re-payment history

    This factor carries the highest weight in your credit report. How steadfast are you in repaying your loans, makes your credit report shine. Experts claim that this factor alone accounts for 35% of points in your credit score. So, if you falter on repayment front it is sure to be reflected poorly on your credit score.

    2. Outstanding debt

    The next comes your debt burden. How much you owe is a factor that according to experts carries about 30% weight in your credit score. This is
    30% is based upon outstanding debt. To get a better score it is advised that you keep your outstanding debt to a minimum.

    3. Length of your established credit history

    The time for which you have a credit history also matters. The longer your established credit history the more credit reporting agencies believe in you. This could be simply because of the fact that they have more data to analyze your financial position. Experts give it a 15% weight in determining your credit score. Read all about it at: http://www.credit-card-gallery.com/article/204,5_critical_factors_affecting_your_credit_score

  7. Reply
    Eric J
    August 20, 2011 at 6:13 am

    well, it all depends. if your credit card balance is at 50% and you decide to pay off the balance, yor score can go up 8-15 points. example( if your credit limit is $ 1000.00 and your balance is $ 500.00. pay the remaining $ 500.00 bucks and your score will increase 8-15 points. that’s an old trick people used to do to increase their score years ago!!!

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