If I pay off 20% of the balance on all of my credit cards, how many points will it add to my credit

I need to get my credit score up to get a better interest rate on a home loan and do not have the money to pay off all of my credit cards, but I can pay them down by 20% does anyone know about how many points that can add to my credit score? Thanks!

If I pay off 20% of the balance on all of my credit cards, how many points will it add to my credit score?

Sorry, not enough information.

Just paying down cards by 20% may increase your score by only 5 or 10 points, or less, or more. I did some simulations with my score (I use Identity Advisor) and I went up 10 points in one simulation, and 16 points in another, but the second one I paid a lot more than 20%.

If you have a lot of other credit than credit cards, it may not help much.

You really should talk to the bank, as they will be better able to tell you what is the best way to improve your score

If I pay off 20% of the balance on all of my credit cards, how many points will it add to my credit score?

You can find out how much your score changes by doing different things at www.myfico.com

If I pay off 20% of the balance on all of my credit cards, how many points will it add to my credit score?

Paying off 20% of 100% of available credit would do nothing. But say that 20% can get your used available credit below 30% total then this would help you.

If the 20% will not get your total amount below 30% then apply it to your account with the highest interest rate. Are there any negative things on your credit report that could be keeping your score down? If so look into trying to get the negatives removed. Even a 30 day late can hurt you quite bit. Even after you hit those credit cards with the large payment you may not see much of an effect for a couple of months.

If I pay off 20% of the balance on all of my credit cards, how many points will it add to my credit score?

That will not lower your credit score. To lower your credit score, you need to eliminate debt and the potential for debt.

You obviously know the cards are debt, what you probably do not know is that having the cards, even though they are paid off is potential debt. Not only do you need to pay off your cards, you need to CANCEL them.

When the credit bureaus look at you , not only do they look at what you owe and whether or not you are delinquent on payments, they look at the debt possibility.

Example of this is:

Car payment - Original Balance 24K - owe 10K @375 per month for 24 months.

Macy Charge card - Balance - $1K. Overall credit limit 5K

Lowes CC - Balance $500. Overall Credit limit 5K

Sears CC - Balance $1500. Overall credit limit $7500.

Visa CC - Balance $8500. Overall credit limit 19000.

When the Bureaus look at these, the see that you have a debt potential of over $60,000.00. The individual balance is not always the driving factor. They look at this because, if you are in debt more than 28% of your Gross, not net income, you owe too much. If you take out a mrotgage at $150K, you then hae a debt possibility of over $200K.

So, pay off the cards and then cancel them. Using the example above, make the absolute minimum payments to the higher balance cards. Pay off the lowest baalnce cards and cancel them as fast as they are paid off. Do nto icnur anymore cc debt. Pretend you are a starving college student and only have $5.00 per day to eat on. Quit eating out - #1 way $%26#039;s are wasted - me included.

I also recommend that you need to get down to one card. A Master Card, Visa or Discover is virtually taken everywhere that CC is taken. Look for one that will give you something such as cash like discover. I would stay away from air miles cards aas you do nto have the $s to take a trip anyway.

Another way you can earn $%26#039;s is through your checking account. Find a bank that has deals where you get free checking and the bank pays you interest on your balance if you use electronic banking. Mine is a local bak and not one of thebig chains. I get free checking and up to $25.00 per month in rebates on the ATM card as well as interest on my balance (last months rates was 4.65%). I just needed to no longer get cancelled checks at home and use the card 10 times per month as well as having direct deposit of my payroll checks and access my account online at least once per cycle.

Hope this works for you.

If I pay off 20% of the balance on all of my credit cards, how many points will it add to my credit score?

The best way to increase your credit score, if you have a lot of maxed credit cards, is to pay as many as possible below 50% utilization. For example if you have a CC with a $2000 limit pay it below $1000. Also if you have a lot of CC%26#039;s close out some of them. Too many accounts also negatively affect your credit.

If I pay off 20% of the balance on all of my credit cards, how many points will it add to my credit score?

I would suggest paying off the credit card with the highest interest rate as much as you can. Maybe think about consolidating the rest of the credit cards into the mortgage loan and close most of them. This will give you a better chance with the bank as they can see you are trying to do something about your situation. Good Luck

If I pay off 20% of the balance on all of my credit cards, how many points will it add to my credit score?

Its purportions of credit used to credit limits. So yes, paying them below say 50% of your limits would help.. but not down to 80% thats basically still considered %26quot;maxed out%26quot; as far as Fair Issac would be concerned.

It wouldn%26#039;t do %26quot;nothing%26quot; as stated but its effects would most likely be neglible.