Snowman wrote:Sparky, I noticed when I was on my discover account that they had what's called credit tracker and it was 9.99 monthly. Should i look into purchasing it? If not I'll check out usaa monitoring service. But would transunions credit monitoring and score be good to use? And I understand what you are saying, leave a small balance on anyone of my three cards report and pay the other 2 off. What would happen if some months I paid all three down to 0 or all of them had a small balance? My statement date cutoffs are as followed: BOFA (26th) citi (27th) Discover (12th)
I think the TU credit monitoring just monitors your TU report? You need monitoring of all 3 (TU,EX, EQ). USAA monitors all 3. Just monitoring one report is not enough, so that's why I recommended USAA. If TU monitors all 3, then that will work too. Go with whichever monitoring service is the cheapest since the scores don't matter to you as they are FAKO's and you are just monitoring for changes across all 3 reports. Although you may not have any changes except for your normal balances posting each month, it's good to watch for identity theft purposes if a new account shows up on one of the CRA's. Not all credit cards report to all 3. I have one credit card that only posts to 2 CRA's. You have to know which cards report to which CRA's (most report to all 3, but not all of them do is my point).
If you pay all 3 cards down to $0 your FICO's will drop 10-25 pts since it looks like you are not using your credit. FICO will penalize you for that. It's not a big deal if you aren't planning to apply for new credit and if it's easier for you to just make sure they are all paid, then do it if you don't plan to apply for anything in the near future.
If you have balances that report on all 3 cards, most likely your FICO's will drop too. Just depends on how much you let report since FICO will penalize you if you're using about more than 10% of your total credit limits (and it goes by card too), so if you have $5000 total credit available, don't exceed $500 of your total credit. If you have a card with a $1000 limit, then don't go over $100 on that card. Remember, you can charge more during the month, just make sure you PIF before the statement cuts and it will only report $0. That's why it's important to know your statement cut off dates so you can plan what you want to report and when.