@lalaredd wrote:I have heard 2 different methods. Can someone please tell me the correct thing? Im trying to raise my score for a home loan in September.
1. Pay off all your credit cards every month to see an increase in your credit score leaving a 0 balance.
and
2. Pay all your credit card off each month except 1 and leave 1-9% balance on that 1 card to see an increase in your score. This is the correct way to increase your scores. 1% should yield you the best scores, however it may vary for you. Pay almost all of what you owe on the one card you're leaving a balance on by the due date, and just leave a small balance of like (5.00) on that card, then pay it after the statement posts. Continue this behavior every month thereafter and you will maximize your scores. Doing it this way will keep you out of debt too (Extra Bonus)
Which one is correct?
