Eric's Credit Community

Purpose of loan:
The purpose of this $3,500 loan request is to restructure a portion of my remaining revolving debt into a fixed 3-year installment loans.  . 

My financial situation:
Currently employed by the State of California as a professional engineer.  Salary at the time Loan #1 was funded (September 2006) was $6,470/month.  Current salary is $7,201/month.  Projected salary (by July 1, 2008) will be in the range of $7,990 to $8,281 (to be based on a union/state negotiated parity salary survey MOU).

As noted by my current DTI (30%), I am presently allocating approximately $2,100/month towards payment of existing debt.  Should this loan request of $3,500 be funded, my DTI will increase to approximately 32%, assuming a monthly payment of $150/month.  However, the proceeds of this loan will be used to restructure a portion of existing revolving debt, of which I am currently applying about $500/month towards payment.  Therefore, funding of this loan will result in a reduction of DTI as follows:  $2,100 + $150 = $2,250 - $500 = $1,750/$7,201 = 24% (DTI)......still considered  Good by all CR agencies. The remainder of my monthly income is allocated to payment of taxes, basic living expenses, retirement savings (state retirement, 457 plan) and discretionary spending.
 
I am currently rated as an ?E? borrower because of high CC utilization (which a phased debt restructuring and time will correct).  I have listed this request at an appropriate risk to reward rate of 35% for an "E".  

My credit history clearly shows an established "Clean" history and capacity to manage me financial obligations.....Risk to investors is low despite the "E" rating, while the reward is sufficiently high.  Why settle for a lower rate?