HELOCs > $35K and FICO impact

[Dave Row]

Hi, I've read elsewhere (still looking for link) where FICO treats HELOC amounts > $35K more favorably than lesser amounts. IIRC, this has to do with calculating how the HELOC amount factors into your debt service capacity.

While FICO's exact algorithms are secret, has anyone come across this? I ask because I'm on the verge of doing a HELOC where I only need $25K, but will do $35K if that helps me with future unrelated investment loans. Any thoughts out there? - Dave

[Max T.]

get the biggest line you can. never know what the future may bring.

a larger line increases your debt capacity, and so improves your ratio of debt used: available credit

this should increase your score