Super confused about low Util and CLI

[Gmood1]

Unless you're over 29%. I wouldn't worry about it. What ever the balance is, PIF by due date. If you want to micromanage them. You can do that as well. Keep your overall CL usage below that 9% if you can.
I've never used AZEO. I watched my scores go from where you are to where they are now. And watched my CLs climb from $2600 to nearly $600k. I'm giving you pointers from my experiences. I've learned a lot from those that were willing to share theirs.😀

[Anonymous]

(Gmood1) I really appreciate you and your input. And everyone's input! I'm going to do what you're suggesting because it seems to be what I've read is working for alot of people. I'll probably try to stay under 10% reported but the debit card is now in the back of my wallet and will stay there until I make my pre closing payments then PIF. I want numbers and a file like yours😍

[HeavenOhio]

@Anonymous wrote:
Sweet! Thank you so much🤗 That's what I'm going to start doing. I kinda thought I should be doing that but was confused. I'm definitely going to pay all my monthly bills next month with the amex delta so I can get the 30k opening offer miles lol. And since I'm thinking about that now, do I have to let the whole balance post on that to get the miles?

AMEX likes to see you pay in full by the due date, but they don't care how you get there. You don't need to report non-zero statement balances if you'd rather pay as you go. And you can pay in big chunks or small. The only things to keep in mind are to pay in full and to keep your reported balances reasonable.

There are some payment restrictions during the first 30 days after setting up your payment account, though. So if you haven't set this up, do it ASAP. During the restricted period, you should be able to make one payment before your first statement cuts. After that, you can make as many payments as you want up to the amount of your statement balance and possibly one payment beyond that. Once the 30 days are up, you can pay as much or as often as you like.

[Anonymous]

You can get around the 1 payment in first 30 days restriction by "pushing" your payments from your bank instead of "pulling" payment via the Amex website.

[SouthJamaica]

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@Anonymous wrote:
I am currently working on credit building. Not a rebuild but a late starter. My question is: If I'm keeping a low utilization(9%) and planning on implementing the AZEO method, why would a card issuer or bank give me a CLI? Why would they give me more credit if I'm not even using what I have? I am very new into this build so I'm really confused but I'm sure someone here can explain it. I really appreciate these forums. So much info that has already taken me this far. Here are my stats if that helps.

Started building in Nov 2017- 550 average on all 3 CB

Jan 2018- EX 642 EQ 672 TU 651
Discover it 70/1400
Amex Delta gold 0/1000
Boa scc 5/600
Cap1 scc 2/200
Overstock 50/1750
Target 50/500
Kohls 20/300

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Utilization for FICO scoring is based on reported balance which is usually statement balance.

Utilization for purposes of evaluating an account for CLI or CLD is based on internal figures throughout the month.

[Anonymous]

I think it's important to recognize that while 2 people may have the same limit credit card that reports the same exact balance at the end of a cycle that have the same exact utilization may have massively different spends.  Take the following example:

Cornelius and Rupert each have a single $1000 limit credit card.  Both would love to get CLIs.  Both this past cycle reported a balance of $50, so both reported 5% utilization (which is also their aggregate utilization, as they each only have 1 card).  Cornelius started the cycle with a $0 statement balance.  He made a single $50 purchase a few days before his statement period closed, thus the $50 reported balance.  Conversely, Rupert made 20 purchases over the course of the cycle.  His current balance was $900 two weeks into the cycle and he wanted to make another $500 purchase, so he first paid off the $900 balance.  In addition to the $500 purchase, he made another $300 in purchases, bringing his current balance to $800 just before statement close.  He paid $750 toward his current balance, resulting in $50 left to become his statement balance and to report for the same 5% utilization as Cornelius.

Both of these individuals in terms of FICO scoring are at 5% utilization and both have identical reported balances.  Both are exhibiting top notch PIF/Transactor type behavior.  When it comes to CLIs though, there's quite a difference here between Cornelius' $50 spend and Rupert's $1700 spend.  Cornelius only used 5% of his limit, where Rupert used 170% of his.  From the perspective of the creditor here (assuming the same creditor) it makes far more sense to issue Rupert a CLI over Cornelius.  Of course this isn't always the way the credit world works, but it's clear here who "needs" the greater limit more.