Posts Tagged "ratio"

Asking your lender to reduce the credit limit on a credit card could hurt your credit scores

Dear Experian,

I have one credit card with a zero balance and a $10,000 limit. Will my credit score be hurt if I reduce my limit to $5,000?

– CGC

Closing store credit cards could affect your credit scores

Dear Experian,

Can closing a few of my department store credit card accounts affect my credit scores if I have established good credit and have high credit scores? My husband wants to eliminate our higher interest rate cards.

– LTB

Difference between “balance-to-limit ratio” and “debt-to-income” ratio

Dear Experian,

What is the appropriate balance-to-limit or debt-to-income ratio? I do not maintain a balance on my credit cards but worry that I have credit limits that are too high and could impact my overall credit.

– TBL

Responding to credit score factor that says proportion of balances to limits is to high

Dear Experian,

Recently, I was told that my proportion of balances to credit limits is high. If I keep making payments to my credit card and keep my statement balance below 20% of my credit limit, will that help?

– ATD

Why closing a credit card can hurt your credit scores

Dear Experian,

Why does closing a credit card you are no longer using negatively affect your credit?

– VNO