Question about how much I can use my credit cards as long as I keep my utilizations low

[rsl1313]

Hi All,

 I have a question regarding how much I can use my credit cards as long as I keep 2 at zero and 1 at less than 10%? I have seen some say that it's okay to go all the way to the CL and others say 30% max...Also I will be applying for a mot gage most likely within the next 3 month's and wondering if that would make a difference. Typically I rarely charge any of the cards more than around 10% but I am wondering if that will have a negative effect when trying for a CL increase. Thanks for all the great advice you all give here!

[Anonymous]

If you're concerned about utilization, for most banks all that really matters is what is posted on the statement (because that's usually the reported balance to the CRAs).  So you can max them out and pay them down as many times as you want/need to during the month as long as you pay them down before the statement hits. 

Some banks like to see a lot of usage on their cards so using them a lot could assist in getting a CLI (because you're showing them you would actually use a higher limit).  Other banks don't care as much and it's more about what's in your report.

[Anonymous]

I don't know your scores, so I can't tell whether min/maxing will have any effect at all for you. Generally, your scores will take a hit as your utilization rises. However, utilization is a snapshot in time and if you then lower your utilization, your scores will return to where they were. Long term, it makes no difference how much you spend you put on your cards, so long as you're paying it off on time.