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Valued Contributor
mjbfan79
Posts: 1,998
Registered: ‎03-31-2008
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How Should I Use These Cards

Hooters- $500 CL
HSBC- $400 CL
Wal- Mart $300 CL
Total Visa- $250 CL
First Premier- $250 CL
 
I was thinking of using all the cards everyone months just make sure i stay around the 10% usage mark on each card or should i leave 1 or 2 cards with a 0 Balance. I'm trying to improve my credit score.
 

Starting Score 3-31-08: EQ 582 TU 577 EX 625
Current Score 3-19-10: EQ 703 TU 712 EX No Clue
Goal Score: 800 By January Of 2012


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cobra19
Posts: 1,424
Registered: ‎07-24-2007
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Re: How Should I Use These Cards

What works best for me (as determined by trial and error) is to have 30% of my cards show a zero balance every month and the remaining cards show a balance of < 3%  - but not $0.
 
So, if I had 5 cards I'd want 2 of them to show a zero balance and the other 3 to show a balance of  < 3%.
New York Yankees - 2009 World Series Champions. 27... and counting.....
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mjbfan79
Posts: 1,998
Registered: ‎03-31-2008
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Re: How Should I Use These Cards

Ok thx for the info.

Starting Score 3-31-08: EQ 582 TU 577 EX 625
Current Score 3-19-10: EQ 703 TU 712 EX No Clue
Goal Score: 800 By January Of 2012


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cobra19
Posts: 1,424
Registered: ‎07-24-2007
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Re: How Should I Use These Cards

mj.............many folks say < 10% utility.  As I noted before, I have found the number of < 3% utility as the point where I realize highest scores.
 
You would see jumps at 49%, 29%, 19% and 9%.
 
 
New York Yankees - 2009 World Series Champions. 27... and counting.....
Valued Contributor
mjbfan79
Posts: 1,998
Registered: ‎03-31-2008
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Re: How Should I Use These Cards

Well at first it's gonna be hard for me not to use them all but i will most def stay around the 10% Mark with each card i'm sure that will help right.

Starting Score 3-31-08: EQ 582 TU 577 EX 625
Current Score 3-19-10: EQ 703 TU 712 EX No Clue
Goal Score: 800 By January Of 2012


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debtisgood
Posts: 1,126
Registered: ‎03-25-2008
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Re: How Should I Use These Cards

cobra,
 
It probably depends what scoring bucket you are in, but many of the forum members with the top scores find they get the highest score by having only one card report a balance around 1-3%. When you get to worry about this level you are probably only quibbling over 5-7 points though.
Valued Contributor
mjbfan79
Posts: 1,998
Registered: ‎03-31-2008
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Re: How Should I Use These Cards

Well how bout if i use just 2  a month an leave the other 3 with a 0 Balance this stuff is confusing lol

Starting Score 3-31-08: EQ 582 TU 577 EX 625
Current Score 3-19-10: EQ 703 TU 712 EX No Clue
Goal Score: 800 By January Of 2012


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haulingthescoreup
Posts: 28,098
Registered: ‎04-01-2007
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Re: How Should I Use These Cards


mjbfan79 wrote:

Well at first it's gonna be hard for me not to use them all but i will most def stay around the 10% Mark with each card i'm sure that will help right.



Use them, but treat them as if they were debit cards. Don't put a charge on unless you know that you have money in the bank to cover that charge.

Many of us PIF our cards every Friday or every two weeks (payday!) to keep the balance from getting too high to kill off easily. If you do this, and you have the available money, you can run 3X your CL and more through a card every month, and still have it report with $0.

How many (if any) loans and mortgages do you have? The reason that many of us have so many cards reporting $0 is that we have several loans, which always report balances since they're open, and we need CC's with $0 balances to "cancel" out the loans. (Strange but true.)

- - - - -

Just saw your latest post, and that's a good approach. You can even use just one card at a time (the Card of the Month club!) and rotate them through. Just make sure that all of them get used frequently enough to keep the CCC from closing them for inactivity.
* Credit is a wonderful servant, but a terrible master. * Who's the boss --you or your credit?
FICO's: EQ 781 - TU 793 - EX 779 (from PSECU) - Done credit hunting; having fun with credit gardening. - EQ 590 on 5/14/2007
Valued Contributor
mjbfan79
Posts: 1,998
Registered: ‎03-31-2008
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Re: How Should I Use These Cards

[ Edited ]
Sup haulingthescoreup
 
I have one car loan that's it.
 
Funny thing you said use them as a Debit cause i was thinking about that today an kind of came up with that thought. So if i don't have the money in the bank to cover the charge don't use them.


Message Edited by mjbfan79 on 07-01-2008 05:32 PM

Starting Score 3-31-08: EQ 582 TU 577 EX 625
Current Score 3-19-10: EQ 703 TU 712 EX No Clue
Goal Score: 800 By January Of 2012


Take the FICO Fitness Challenge
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haulingthescoreup
Posts: 28,098
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Re: How Should I Use These Cards


mjbfan79 wrote:

Sup haulingthescoreup

I have one car loan that's it.

Funny thing you said use them as a Debit cause i was thinking about that today an kind of came up with that thought. So if i don't have the money in the bank to cover the charge don't use them.

(emphasis mine --hauling)


You have just discovered the secret of how to use credit! :smileywink:

I used to drive my kids insane by droning, "Credit (and money) is a great servant, but a terrible master." If you treat your cards like debit cards , credit will be your servant.

With this approach, when you need serious credit one day, like a mortgage, you'll be in a great position for a great rate.
* Credit is a wonderful servant, but a terrible master. * Who's the boss --you or your credit?
FICO's: EQ 781 - TU 793 - EX 779 (from PSECU) - Done credit hunting; having fun with credit gardening. - EQ 590 on 5/14/2007

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