Hey all, quick question: I'm well on my path to eliminating all my debt, but I'm trying to understand a couple of things to prioritized my Total Debt Annihilation.
I've been doing really good, but I like numbers and math and I'm trying to figure out what my actual utilization is. So, questions:
edit: I answered the now-spoilered questions on my own thanks to Credit Karma. Once the credit bureaus catch up to all the payments I've recently made, I'm utilization is going to whip down past and below 30% so I'm pretty excited about that. The only thing I'm concerned with now is the student loan question.
1) I have 2 closed credit card accounts. No latenesses or anything (I'm 100% golden on my payments) but these accounts have been closed for one reason or another. How does that impact utilization if there is a current balance? Does the credit line get removed from both the numerator AND denominator on the credit bureau side, or does my utilization just go to 100% for that particular card until it is fully paid off?
2) Do loans factor into utilization? How does that work? Is it always at 100% until fully paid off, or is the denominator the original balance when borrowed, or what?
I also have an age-of-credit question. My student loan from college still exists. It's very tiny and I've been pretty much paying the minimum forever. I'm very worried about eliminating it because my student loan is 19 years old. After some bad decisions in college, I eschewed credit cards for a very, very long time thereafter so my next oldest credit card is only about 9-10 years old, I think.
What should I do? Hold on to my student loan for awhile longer? Just pay it off and be done with it? Don't worry about what interest may end up costing me in the long run - it's not much and I'd rather just focus on what impact this may have on my credit score in a holistic sense.
Thanks for any info or advice.