So how exactly do creditors like to see CCs being used?

[Sixburgh79]

Like outside of the obvious keeping cards unmaxed, how do creditor's like to see cards being used?

Like do you they want to see big purchases with fast payoffs? Do they like to see low balances and pif each month? Do they like to see low but responsible usage where you always pay above the minimum?

Like I have a Discover It 300/2000, citi double cash around 0/1200, chase freedom unlimited 250/3000, and an amex 0/1000

Basically I rotate their usage and then either do a pif or I'll toss 100 to 150 on it and just get it back to 0 or close to it.

Or do creditors want to see large purchases showing card usage but quick payoffs?

Or is it both? I'm just tryin to learn how to really use my cards wisely. I was at a point many years ago I couldn't get anything but I was able to get those 4 cards I mentioned which was a huge step, I just want to know how creditors like to see cards being used.

[Anonymous]

Depends on the issuer. Generally of course they like a low utilization. Asksebby said he was denied for a card, and when he called recon they told him outright they didn't approve him because he doesn't carry any balances, and they want customers who do carry balances - and they still denied him. I think he said it was Citi. That in mind, I was approved for the Citi AA Platinum on 3.12 and I even got the 60k offer although it seemed to be gone. My next app is the Premier in May then the Sears MC for my third and last Citi card in probably June. What I'm doing is keeping a balance on two or three other cards at the time of inquiry. Good options to carry temporary balances for this purpose are cards with 0% offers, cards where you're hitting a minimum spend (and thus putting hundreds or thousands of spend on it anyway), and since I'm not sure if the hard inquiry gives them acct balances as of the last statement or more current, I may time charges a day or two before the statement so a balance shows and as a plus very little interest should be generated.

[Sixburgh79]

What about like just letting cards ride at 0% util for awhile from time to time? Like for instance my citi double cash and amex every day are at 0 right now. Are these types of lenders fond of seeing someone casually enjoy their cards or are they thinking "what a waste, you don't need anymore credit". I'm not suggesting months on end without use but do creditors like to see someone not just pounding away at their cards?

[Anonymous]

It's a peculiar thing, they like to see you carrying debt because they want you to carry debt on their cards and pay interest, but at the same time they still want low overall utilization. So I figure have maybe 2 or 3 cards reporting easily manageable balances when you apply to give the illusion that you carry realistic balances while keeping your overall utilization low.

[Remedios]

Your spending should not be guided by what a lender wants to see, but by whatever makes the most financial sense for you.
PIF and don't sweat what computer thinks.
If you start thinking about spending in a way that's most pleasing to the banks, you'll dig a very deep hole.

[AverageJoesCredit]

+1 Remedios

Unless you are trying to max your score for a loan or home, id recomend just use your cards normal, use the ones youd like rewards from etc, and really if you want a bank to see what you are spending, use the card let a statement generate and then pay in full ,if possible. You dont have to be paying interest and it isnt always necesary to pay your cards multiple times a month. Remember payments are amongst the most important factor in score alongside debt, which you want to keep low. Great job on getting your current lineup

[NRB525]

OP, you are thinking about it wrong. 

Credit is something you as an individual decide to use or not use. 

If you decide to use it, you have a responsibility to pay it back, within the terms of the agreement you made with the bank. 

Many people decide to use credit cards for every day spend because of the rewards. That sort of spend should be paid in full by the payment due date on the statement. 

Banks make some money from your swipes using the cards, and from fees and interest. But banks lose a lot of money if you default on the debt you have taken on. So banks really just want you to pay back what you have borrowed. 

[UpperNwGuy]

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@Remedioswrote:
Your spending should not be guided by what a lender wants to see, but by whatever makes the most financial sense for you.
PIF and don't sweat what computer thinks.
If you start thinking about spending in a way that's most pleasing to the banks, you'll dig a very deep hole.

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I think this is bad advice.  If people want more cards and higher credit limits, which most folk around here seem to want, then they have to think about what the bank prefers..

[Remedios]

So, you think he/she should be making big purchases he does not need just to show banks he can pay . That's a great advice right there.

Or carry balances to show banks he'll eventually pay. That's even better advice.

How is what bank wants more beneficial than a sound management of one's finances?

[Sixburgh79]

I'll clarify on my end a bit, I totally get it's at my discretion. I wouldn't just spend to spend, but things that I purchase whether large or small might sometimes go on a card instead of cash simply to show you can handle larger balances in a timely fashion.

Like i could have Booked my beach rental with my debit but I threw it on my discover, then paid it off. I assumed maybe that helps for them to see you handle your balances.

But I'm not going to sit and willy nilly rack cards up for no reason because I think a bank likes that, I just want to sometimes use them pending whatever I'm doing, in a way that helps them see you take care of the bill.