I was hoping for some input. I’m just beginning to work on my credit. Currently my experian and equifax are at 590 and transunion is at 650. I currently have a personal loan at 4.5k that I took in September. I have about 4k in credit cards and these are at 95% utilization. I was told my credit would go up anywhere from 20 – 40 pts if I pay my cards off. I’m wondering if I take a personal loan to pay off my cards and refi the current personal loan, will this negatively affect my credit or improve it?
I’m looking at potentially prequalifying for a mortgage in April and don’t want to drop my scores any lower, since I’m right at the cusp of an FHA.