@PLI21403 wrote:Hi -- I followed earlier advice and significantly lowered my credit card balance to approximately 9%. The balance fluctuates, so it moved up to 33% before I paid it down again, resulting in a lowered score. Is it better to carry a low balance of is it better to pay it off completely each month --still using it but mainaining a zero balance?
Also, I only have one "good" credit card now. As I rebuild my credit, should I add anothe credit card and maintain it (keeping balances low and payments up)?
I currently have the one credit account and a high-interest auto loan that are being reported favorably. I have no other favorable credit.
My scores have improved significantly since I started clearing my old debt.
Thanks for any advice.
/PI
You need 3 cards at minimum to drive your Fico. What you want is for 1 card to show a balance of no more than 9% of its CL each month at the CRA, this doesnt mean you cant use the full CL, you just make sure to have it paid down on or prior to statement cut day which most banks report to the CRA as a balance,
