Use it generously and pay in full before the statement cuts to prevent high utilization from keeping your scores low. I use no more than 80-85% of the limit per month then PIF. 90% Util is considered maxed out by lenders.
Some people that have a low limit card make multiple payments in one month to maximize usage as proof a higher limit is needed, to maximize rewards, and/or to simply use the card for all their everyday expenses as it is safer than a debit card. .
Regardless of the limit, I use my CCs primarily for all my everyday expenses and utility bills. I am taking advantage of 0% APR for 24 months on a large Best Buy purchase for the new home plus my Cap1 Cash Rewards is sock drawered right now as I pay off an emergency expense charged to it. And Orchard Bank is also SD'd so that I can pay that down to zero as well. So my everyday cards are the Freedom, Discover It, and Barclays Rewards. I'm careful to use the one that reaps the most rewards for a given purchase as I sign up for all of the 5% cash back categories, Barclays Rewards will be used for gas, groceries, and utility bills as I get 2% cash back all the time. I will switch to Discover It or Freedom for those items when they are part of the 5% cash back categories for a given quarter.
Right now, the rewards I get are used as statement credits. Once things are paid down, I plan to use it for other things but right now $120 off my balance every once in awhile is more valuable to me. My utilization sits nicely at 25% right now given the balances across three cards that I am paying over time so my score should stay decent and continue to grow over this time.
Some people that have a low limit card make multiple payments in one month to maximize usage as proof a higher limit is needed, to maximize rewards, and/or to simply use the card for all their everyday expenses as it is safer than a debit card. .
Regardless of the limit, I use my CCs primarily for all my everyday expenses and utility bills. I am taking advantage of 0% APR for 24 months on a large Best Buy purchase for the new home plus my Cap1 Cash Rewards is sock drawered right now as I pay off an emergency expense charged to it. And Orchard Bank is also SD'd so that I can pay that down to zero as well. So my everyday cards are the Freedom, Discover It, and Barclays Rewards. I'm careful to use the one that reaps the most rewards for a given purchase as I sign up for all of the 5% cash back categories, Barclays Rewards will be used for gas, groceries, and utility bills as I get 2% cash back all the time. I will switch to Discover It or Freedom for those items when they are part of the 5% cash back categories for a given quarter.
Right now, the rewards I get are used as statement credits. Once things are paid down, I plan to use it for other things but right now $120 off my balance every once in awhile is more valuable to me. My utilization sits nicely at 25% right now given the balances across three cards that I am paying over time so my score should stay decent and continue to grow over this time.
Cards: Orchard Bank ($1100) | Cap1 Cash Rewards ($2500) | Chase Freedom ($1000) | Best Buy ($2500) | Discover It ($1000) | Barclay Rewards ($2500) | Current scores: EX FAKO: 684, CK TU: 649, FICO EQ: 680, FICO TU: 698, FICO EX: 658 Happy Homeowner Since 2/6/13! 
Last App: 4/5/13 Gardening until July 2014