About to get my first secured card?

iMarcus · ‎10-07-2011

Ok I'm going to put $300 on my USAA secured card. I'm only going to use it for gas and then pay it off each month I heard it's best to leave a balance so if I have to pay let's say $65 how much of it do I pay?? I'm new to how credit cards work and also how soon will I see an increase in my scores??

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Anonymous · ‎10-07-2011

congrats on the first card.

heres the best way to increase your scores.

have the balance report on the statement date be no more than 9% of your credit limit, so for you, $54, and then pay off all of it before the due date. if you spend more than $54 in a month, make a payment before the statement date, so you report less than 9% of your CL, then again pay in full before the due date.

hope that works and you see some score increases.

iMarcus · ‎10-07-2011

Thanks so much

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Wolf3 · ‎10-07-2011

@iMarcus wrote:
Ok I'm going to put $300 on my USAA secured card. I'm only going to use it for gas and then pay it off each month I heard it's best to leave a balance so if I have to pay let's say $65 how much of it do I pay?? I'm new to how credit cards work and also how soon will I see an increase in my scores??

Paying in Full is the most important thing to do. It avoids interest and develops good payment history with USAA.

Paying balances early to control utilization gives a temporary boost to your score, but has no long term effect.

Anonymous · ‎10-10-2011

Isn't 9% of $300.00, $27.00 not $54.00????

Anonymous · ‎10-10-2011

@Anonymous wrote:
Isn't 9% of $300.00, $27.00 not $54.00????

That's what I was thinking too!

Anonymous · ‎10-10-2011

haha i swear it said 600 when i read the post?!!??

maybe the OP switched it or i just cant read lol.