If i pay off all the things on my credit, they total about $2400, where will that leave my credit?
The question is, will it still be bad credit or no credit?
Answers:
Paying off the balance of your debt will help your credit. myFICO.com says that you should be somewhere between 10-30% of your credit limit. Above that lowers your score. Paying it completely off may also lower your score. Think about it! Creditors want to make money off of you, that's why they report negitive items so they can charge you higher interest rates. Why would they want to give you credit if you are not going to use it.
According to myFico.com 35% of your credit score comes from payment history, and 30% comes from amounts owed, AKA - debt to credit ratio. The key to raising your credit score quickly is to keep making on time payments and keeping your debt to credit ratio between 10 and 30%.
You said that you already paid of $2500 and have $2400 left. You are almost there. It looks like your credit limit is around $4900. Get your balances below $1470 and you should see an improvement.
If you do not have the money to get your balances that low. you can try to raise your credit limits. HorizonCardServices.com, offers a Card for their merchandise, but they give up to a $7500 credit limit and report it to all three of the major credit reporting agencies as an unsecured revolving account. This card might even be a benifit if you what to obtain higher credit limits on your other cards. Creditors are more likely to give you a higher credit limit if they see that others are doing the same. Its that old paradox "loan money to somebody who does not need it."
It will make it better but if you really need help with your credit email me mmtrevor@aol.com I have a free book that helped me when i was in a similiar situation.
Depends on what type of credit you are tlaking about and if you already have a bad credit rating or not. Generally paying off your credit within the time limit allowed with no false payments (payments with insufficient funds) then that will give you good credit.
However IF you already have bad credit rating by false payments then you will have bad credit for 5-7 years after the debt has been paid off.
Unless of course its with the marfia <?> or other thugs then your in deep doo doo.
It will make your credit better you should destroy your cards to keep from falling into the same circumstances again .(just a thought)
your credit score will definitly improve . there is no question , if your credit was bad it may take a little bit to get back up to normal or above average but dont focus on that , you paid that much off :) GOOD FOR YOU! just pay all bills on time if possible and your credit rating will go up even more. I think it depends how bad your credit rating is , but the main thing is that you improved it . i do not think it would be no credit .
It will leave it in good standing.. and your score will go up in time and good for u...
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