topic Re: Credit utilization in Credit Cards

Credit utilization

Cici1957 — Mon, 17 Dec 2018 17:22:19 GMT

If I pay down my credit card each week and still add charges before the reporting date...is my credit utilization on the total charges or just what is reported on statement closing date? Does that make sense? TkS!

Re: Credit utilization

macinjosh — Mon, 17 Dec 2018 17:30:33 GMT

@Cici1957 wrote:
If I pay down my credit card each week and still add charges before the reporting date...is my credit utilization on the total charges or just what is reported on statement closing date? Does that make sense? TkS!

Utilization is based on statement closing date.

Re: Credit utilization

Cici1957 — Mon, 17 Dec 2018 17:34:16 GMT

Thank you very much!

Re: Credit utilization

Kforce — Mon, 17 Dec 2018 17:35:54 GMT

@Cici1957 wrote:
If I pay down my credit card each week and still add charges before the reporting date...is my credit utilization on the total charges or just what is reported on statement closing date? Does that make sense? TkS!

Just what is reported on the statement.

Re: Credit utilization

SouthJamaica — Mon, 17 Dec 2018 21:53:33 GMT

@Cici1957 wrote:
If I pay down my credit card each week and still add charges before the reporting date...is my credit utilization on the total charges or just what is reported on statement closing date? Does that make sense? TkS!

It's usually based on the statement balance. But there are exceptions to that rule. I believe that US Bank is one of the exceptions. It's my understanding that they report the balance from the last day of the month. Also, Digital Credit Union reports the first of the month, Vantage West Credit Union reports the 5th of the month, and Chase sometimes reports mid-cycle if the balance drops to zero.

Re: Credit utilization

K-in-Boston — Mon, 17 Dec 2018 20:24:18 GMT

+1 SJ. Minor correction: U.S. Bank reports on the last day of the month no matter the actual statement closing date, and Chase will always report a $0 balance any time it happens.

If you have a card with a $10,000 limit you can charge $40,000 on it in a month and as long as you've made (in this extreme example, multiple) payments on the card to bring it down to $800 on the date that they report to the credit bureaus, you're only going to show 8% utilization.

Re: Credit utilization

Cici1957 — Mon, 17 Dec 2018 21:29:33 GMT

Thank you!

Re: Credit utilization

Cici1957 — Tue, 18 Dec 2018 02:33:38 GMT

Thank you!

Re: Credit utilization

Cici1957 — Tue, 18 Dec 2018 04:24:05 GMT

Thank you!