topic Should you use your Credit Card each month? in Credit Cards

Should you use your Credit Card each month?

Chaos122 — Tue, 21 Dec 2010 06:18:34 GMT

Hi, ive been looking thought these forums for the last year, i finally signed up and this is my first post.

I was just wondaring, i have a bunch of cards that have been paid off and are sitting on $0 balance, but i heard its bad to leave cards idle. Should i charge something to my cards each month and pay them off just to show activity, or is it ok to leave them idle..

I think i heard Suzy Orman say something about leaving cards idle, and I just want to do what ever will help my credit Score!

Thanks

Re: Should you use your Credit Card each month?

joestay — Tue, 21 Dec 2010 06:56:45 GMT

I say you should use the card. Use it and let it report a 1% balance and then pay it off.

Re: Should you use your Credit Card each month?

Anonymous — Tue, 21 Dec 2010 07:07:15 GMT

Welcome to Forum!

Answer to your question:

You want to make sure all of your ccs are ACTIVE status. To keep your ccs ACTIVE, better to use it once in a while ... may be every three~six months. It does not required to charge large amount of purchase, you can just charge small amount and PIF before the closing date and let it report balance of $0. Then you shows that you are using your ccs. Let small balance get reported every month on one card and others are zero balance.

How many ccs do you have?

Are those are rewards cards?

* Important: Make sure to have 1% ~ 9% util get report. Lower util as possible is the best.

Re: Should you use your Credit Card each month?

Anonymous — Tue, 21 Dec 2010 07:37:50 GMT

You should spend periodically but PIF to keep the account open.

Just buy a piece of gum here and there.

Re: Should you use your Credit Card each month?

HindSight_20_20 — Tue, 21 Dec 2010 13:47:55 GMT

@Anonymous wrote:
You should spend periodically but PIF to keep the account open.

Just buy a piece of gum here and there.

@ TheCreditKid

LOLLL Whew! I 'HAD' to let you know that got me started this morning! LOLLL .... still laughing!!!

Man I love this site!!! LOLLL

Re: Should you use your Credit Card each month?

haulingthescoreup — Tue, 21 Dec 2010 15:29:40 GMT

Generally, a bank card (Visa, MC, etc) should be used once every 3-4 months to keep it open. Store cards can go longer, 6-12 months depending on the card. HSBC/ Orchard were closing cards after 1 month of non-usage for a while; don't know if they've calmed back down.

Someone mentioned letting 1% of the CL report. You don't want to do that for every card, only one or two. In fact, you don't ever have to let them report a balance. The CCC codes the account in such a way to show that there was activity on the account that month, even if it wound up with a $0 balance. That's where that Date of last activity comes from.