mortgage and raising credit score?

I have a quick question for me.

I am looking to buy a house. Getting financing is not a problem, getting mortgage insurance is.

The finance company tells me that my wife’s score is about 25 points too low (to get the loan we want) due to having used to much of her credit in ratio to her limits. We need to get her from 655 to 680. She was off work about 3 1/2 years ago due to illness and basically lived off her cards for 2 months. Prior to our getting married about a year ago she was only able to make small payments. She was never late, she just could not get ahead enough to make much head way on paying the cards off.

Since we have been married, we have taken the cards one at a time and have paid 3 totally off and cut three more balances by more that half, but we still have three with 75% of the high limit used. This is hurting her score.

Here is my question-I could pay down the score, but I need to use the cash on repairs necessary to get FHA financing and for the down payment.

Could I reduce balance to limit ration and improve the score if I get her credit limit raised? If I do this would the credit companies pull her credit report again and would that hurt her score more than raising her limit would help? I would ask four different cards for higher limits.

Thanks for your time, Wes

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