topic Re: Utilization question in Credit Cards

Utilization question

clocktick — Fri, 06 Apr 2012 02:02:39 GMT

So I know about the 1-9% letting report on one card, etc. I'm wondering, if in general, there is a "second best" thing to do. I've read under 30% and under 50% but what's the next best, score wise, if you're going to be over 9%? Anyone experiment with this?

Re: Utilization question

LS2982 — Fri, 06 Apr 2012 02:05:14 GMT

@clocktick wrote:
So I know about the 1-9% letting report on one card, etc. I'm wondering, if in general, there is a "second best" thing to do. I've read under 30% and under 50% but what's the next best, score wise, if you're going to be over 9%? Anyone experiment with this?

IMO, I would say keeping it below 20% should keep you from getting dinged FICO points wise. YMMV of course.

Re: Utilization question

Anonymous — Fri, 06 Apr 2012 02:22:15 GMT

From what i saw with me, going over 20% seems to hurt. Of course under 10 is best but..... I did have a second card report a balance the other day ($40) , that i had not planned on, and my scores actually increased. I was still only at 2% utilization, but the score did jump when i had two cards reporting a balance. I might play with that a bit a see what happens.

Re: Utilization question

clocktick — Fri, 06 Apr 2012 02:30:05 GMT

Well basically, I paid in full every card and then charged $4500 on a $9400 limit card today that has 0% until February 2013. I want to keep my FICO somewhat high the best way I can.

Re: Utilization question

Anonymous — Fri, 06 Apr 2012 02:36:37 GMT

Hard to beat the zero percent on big purchases. Unless you are needing credit soon, I would not worry about it. Keep you balances on all the other cards at or near zero, and i dont think you will be hurt much. And the money you save on the zero for me anyway, would more than make up for a few points.

Re: Utilization question

LS2982 — Fri, 06 Apr 2012 02:43:16 GMT

@Anonymous wrote:
Hard to beat the zero percent on big purchases. Unless you are needing credit soon, I would not worry about it. Keep you balances on all the other cards at or near zero, and i dont think you will be hurt much. And the money you save on the zero for me anyway, would more than make up for a few points.

something to think about as well!