@Anonymous wrote:
@Anonymous wrote:Gotcha. So on the capital one app, the balance currently reads $0. Are you suggesting that I pay lets says $50 before the balance shows up and pay the remaining atleast 5 days before the due date?
No, pay the remaining amount after the due date. You want your utilization under <8.99%, but not zero. Right now you have $60/$200 = 30% utlization.
@Anonymous @Anonymous said...
$4/$200 is 2%
$17/$200 is 8.5%
Choose an amount to charge to your card between $4 and $17 and setup autopay to pay in full on the due date. Do not spend more than $17 a month with the credit card.
But since you've already done so, no worries - just pay it down to $15-17 as soon as the charges post, and don't touch it again before the statements cuts.
One of the hardest parts of establishing good credit, if not THE hardest part, is patience. Yes, I speak from twitchy personal experience. Once you've done something, you want to do more. That's normal!
If you want something to do, start working on savings. When Discover asks in a few months how much cash you can put your hands on, you'll have a nice number for them.
If you play World of Warcraft, "Patience. Discipline." If you don't, you won't hear those words in a particular tone of voice, but they still apply 
Welcome! This site can - and I do not exaggerate - change your financial life.
Pretty sure that poster mistyped.
You have two dates to be aware of:
1. Statement Date: the last day of your billing cycle; the day the statement cuts; the balance showing on your statement is what most creditors report to the bureaus.
2. Due date: this is after the statement date (last day of your grace period) and the day by which payment must be received so not to be deemed late.
You want to pay your balance down before your statement date so the card reports low util. Then, pay whatever balance is remaining prior to your due date.
Rinse and Repeat.
You have two dates to be aware of:
1. Statement Date: the last day of your billing cycle; the day the statement cuts; the balance showing on your statement is what most creditors report to the bureaus.
2. Due date: this is after the statement date (last day of your grace period) and the day by which payment must be received so not to be deemed late.
You want to pay your balance down before your statement date so the card reports low util. Then, pay whatever balance is remaining prior to your due date.
Rinse and Repeat.
@Anonymous wrote:Okay, I think I got it. I will pay the enough and leave just about enough utilization within 30% before the statement date and then pay off entire balance before due date.
Did i get it right now?
Almost! Pay it down to 8.99% or less, not 30%. 30% is high. Not "they're gonna close your account" high, but "your score is gonna take a bit of a hit because 30% is higher than optimal" high. Not super critical right now, but you do want to keep an eye on things, and go for the lower number.
Yes, you got it as far as the payment dates go, but, as @BurgeoningHope just said, 30% is high. This is your only card, correct? And the limit is $200?
So, 30% of that is $60. That's too high for overall utilization and will cost you points.
You want your overall util to be less than 8.9%, which means you must report less than $17.80.
So, before your statement cuts, pay whatever your balance is down to between $10 - $15 dollars. That will report between 5% - 7.5% util and offer maximum FICO point gain.
So, 30% of that is $60. That's too high for overall utilization and will cost you points.
You want your overall util to be less than 8.9%, which means you must report less than $17.80.
So, before your statement cuts, pay whatever your balance is down to between $10 - $15 dollars. That will report between 5% - 7.5% util and offer maximum FICO point gain.
@Anonymous wrote:I'm sorry i am a little confused now. When you say to pay the remaining amount after due date, do you mean when the payment day / due date is expired? wouldn't that put me at risk of not paying before the due date? i thought that was bad?
what if I pay the entire amount before the due date?
Sorry, I corrected my post to read "statement date". Brain fart. Don't pay after the due date!! LOL avoid interest 