Suggestions on % Utilization, 2 Credit Cards

Insoc · ‎10-31-2014

Currently in the process of rebuilding my credit after a year in three months since Chapter 7 BK Discharge. So I recently I have added 2 new CCs, as follows:

Merrick Bank Visa $700 CL

Capital One QS One $2,000 CL

I will be holding off on applying for anymore CCs, maybe in 6 months or longer as I feel the above will help me rebuild. The Merrick will supposedly double the CL in 6 months or so. Capital One, I'm not so sure about?

I plan on to PIF both by each due date, though I beleive the Capital One CC has a 0% APR till next summer, but no disclosures on APRs and terms were in the envelope which was unusal. I have not called them to find out yet.

So my question is, how should I best utilize these the best way? Not a lot of available credit but I'm starting off small and dont' want to get over my head with credit cards again.

Anonymous · ‎10-31-2014

ITs hard to predict what is BEST for you because everyone file are different. However it work best for most people with 1-9%. IF you just RECENTLY have these card I would leave balance around 20% on your QS since that have no interest till next year. Paid the merrimack off. Then next month repeat the same, paid off the Merrimack and carry your UT on your cap1 down to 9% ..so if that increase your score or help you. If you doesnt see any increase in scoring then trying to bring it down to 4%..Again these may not work for you since you just recently added those card in your trade line, it may take up a few months to see score increase.

I have 3 capital one card, I left 20% and paid in down to 9% and then 1%...my score increase 22pt.

Insoc · ‎11-03-2014

@Anonymous wrote:
ITs hard to predict what is BEST for you because everyone file are different. However it work best for most people with 1-9%. IF you just RECENTLY have these card I would leave balance around 20% on your QS since that have no interest till next year. Paid the merrimack off. Then next month repeat the same, paid off the Merrimack and carry your UT on your cap1 down to 9% ..so if that increase your score or help you. If you doesnt see any increase in scoring then trying to bring it down to 4%..Again these may not work for you since you just recently added those card in your trade line, it may take up a few months to see score increase.

I have 3 capital one card, I left 20% and paid in down to 9% and then 1%...my score increase 22pt.

Is the 0% APR a given? Like I said I did not receive any enclosures inside the envelope when the card arrived, stating terms or APR.

Should I pay off the Merrick card weeks before the due date or on the due date? I read that often if you pay it off sooner, it will not report as a carried balance?

My Capital One card has not even reported to the bureas yet, it's been several days.

-NewGuy- · ‎11-03-2014

@Insoc wrote:
@Anonymous wrote:
ITs hard to predict what is BEST for you because everyone file are different. However it work best for most people with 1-9%. IF you just RECENTLY have these card I would leave balance around 20% on your QS since that have no interest till next year. Paid the merrimack off. Then next month repeat the same, paid off the Merrimack and carry your UT on your cap1 down to 9% ..so if that increase your score or help you. If you doesnt see any increase in scoring then trying to bring it down to 4%..Again these may not work for you since you just recently added those card in your trade line, it may take up a few months to see score increase.

I have 3 capital one card, I left 20% and paid in down to 9% and then 1%...my score increase 22pt.
Is the 0% APR a given? Like I said I did not receive any enclosures inside the envelope when the card arrived, stating terms or APR.

Should I pay off the Merrick card weeks before the due date or on the due date? I read that often if you pay it off sooner, it will not report as a carried balance?

My Capital One card has not even reported to the bureas yet, it's been several days.

Definitely not a given at all. If you aren't absolutely certain about a promo APR or your APR in general you should call Cap 1 or online chat with someone to find out.

General thinking based on past evidence is that to optimize scores you should have all cards post a zero alance except one that posts a balance between 1-9%. Once the statement cuts and the balance is reported, you would pay it off to avoid any interest.

Guide to travel cards

Creditwiser · ‎11-03-2014

I received my Cap1 QS1 in mid september. To date they have still not reported the account on any of my CR's. Be patient, it'll be a while