Trying to understand UTILIZATION

[tussking]

If I have $42,100 in credit... Am I supposed to let $3789 (9%) report to the bureaus ? Should this be one card or across a couple ? I have noticed when my cards reported $0 balances and a few $ on one my score didnt move. Once I let just under 9% report it has started to climb. Now that I have 8 cards I just am confused about reporting one card or several ? Also 2 of those cards have a 0% apr till the end of the year...Any opinons would be appreciated ! Trying to learn something new every day and week !

[Anonymous]

If you are trying to squeeze every point out of your FICO scores, yes you will want between 1% and 9% of the limit on only one card to report. All other cards should be reporting a zero balance.

This only matters if you are trying to absolutely max your scores. Generally, as long as you keep utilization on any card below 30% your scores should not go down.

[tussking]

Ok so I will pay off 4 cards all with small balances. My Venture has $2900 cause I am $100 away from my bonus. What would be a smart payment amount on the Venture ?

[Anonymous]

For best results, if you have $42,100 in credit lines........ let $421 report. This is 1%.

[Chris679]

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@tussking wrote:

Ok so I will pay off 4 cards all with small balances. My Venture has $2900 cause I am $100 away from my bonus. What would be a smart payment amount on the Venture ?

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The smart payment amount would be $2900.  Pay it tomorrow and any new charges after that will ensure that you don't have a zero balance.  Anything under 10% is ideal, you can drive yourself crazy trying to report the perfect amount on all cards.  If you have 8 cards, pick 2-3 to use regularly.  PIF all three right before the due date and keep using them as normal.  Any charges that post in the next few days will give you the utilization you're looking for.