Valued Contributor
Posts: 3,406
Registered: ‎12-19-2012
Re: Can Someone Tell Me.....
No. You should use more credit. You should use 75-80% of the credit limit and then pay it off in full each month and repeat. I encourage your husband to contact Capital One and ask for a credit limit increase and a Product Conversion of one of his cards to the Cash Rewards card. The limits seem too low for the Cash Rewards card. How long has he had his cards with Cap1? If you don't get anything changed by calling and talking to a rep, I suggest you email the Executive Office as many have received tremendous help by going that route. I would visit the credit card forum to find out how to email the Executive Office.

Also, what kind of credit card do you have?, what's the balance and credit limit? Depending on your answers to those questions, it may be beneficial for you to add him as an authorized user to your credit card. This could give him a nice boost if the credit card is used responsibly.

A lot of people here say that they seen the biggest boost in credit score from utilization when they paid all but one card down to zero and left a 7% balance on one card.

Ideally, you want to use credit richly to show lenders you can manage credit. You should put as much of your living expenses on credit as possible without maxing them out. Maxed out is when your balance is 90% of the limit so charge no more than 75-80%. Charging very little on your cards each month shows lenders you are apprehensive about credit and that sends a red flag to lenders that you might not be able to handle more credit. Charge all your bills, groceries, food, etc on your credit cards and pay them in full each month, it is that simple. I charge $1500-$2000 on one card ($2500 limit) and $500 to my other card ($1100 limit) each month and pay in full by the due date. To have the paid in full balance reflected on your credit report, you must pay the balance in full before the statement cuts. This is how you effectively manage credit to show lenders you are worthy of a mortgage loan which is the biggest chunk of credit you will ever have. The low limits on your husband's cards are hurting him too.
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! Smiley Happy Last App: 4/5/13 Gardening until July 2014