cc utilization and usage questions

[takeshi74]

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@Anonymous wrote:
2. I read cap one likes heavy usage for bigger cli.
Is the utilization the total amount charged during the month or the amount billed when your statement is available? I pay online before I get the your statement is ready message.

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Usage and utilization are really two different things.  Usage is just how much you run through the card.  Utilization is balance(s)/limit(s).

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@Anonymous wrote:
3. Should I keep one card at 0 balance and the other at less than 10%?

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If you're applying and looking to eke out every possible point, yes.  If not, then just don't exceed 30%.

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@Anonymous wrote:
When you say after a year I should get off the secured card entirely; Do you suggest I close the secured card?

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At least 2-3 cards are recommended for scoring purposes.  I'd suggest closing the secured card once you have at least 2-3 cards that are not secured.  You may want to see if the creditor will unsecure the card/PC it to something useful to you with no AF first though.

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@Anonymous wrote:
Mrkite. From what I hear cap one doesn't upgrade from secure to unsecured.

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Never hurts to check and the EO may be able to do so.

[Anonymous]

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@Anonymous wrote:

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What's with the sad face? This is a process. It can be a little overwhelming, but you're asking the right questions in the right place, and we're happy to help with every step. 

As someone mentioned above, my recommendation for the secured card was that you request that CapOne convert it to an unsecure card after you've had a year with them. Some CCC's do that automatically. Worse case, CapOne says no, and you can then close your card with them. I think some CCC's may require two years, but it's worth investigating. 

[txbusted]

I can only speak from my experience. I have a Cap One secured. I got the inital $200 limit and I used it pretty heavy (High balance $150-180)  but I paid most ($150 each time) it off the 1st of every month and it reported on the 12 of each month. Just after the 6 month mark I got my CLI to $500. 

From what I understand others are correct it doesn't graduate to unsecured. 

[Anonymous]

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@Anonymous wrote:
I am new to cc.
Sorry if these questions sound stupid.
I have searched the forum for the answers but I'm still confused.

I only have 2 cc.
Cap one secured - $650 cl
cap one quicksilver mc - $500 cl

1. I was reading about the cli steps.
Does the secured card use this step process too?

2. I read cap one likes heavy usage for bigger cli.
Is the utilization the total amount charged during the month or the amount billed when your statement is available? I pay online before I get the your statement is ready message.

3. Should I keep one card at 0 balance and the other at less than 10%?

I'm asking because I have 2 bills I could put on my QS card using $310 of my $500 limit. I would pif each month. But if it hurts my credit to do so I don't want to do it.

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I recommend using the credit card but by the end of the Billing Cycle don't let is go over 35% of the limit on each card
Bank likes to see you use the credit and make more than minimum payment on it
Also In the Future I recommend you only get one CC from each bank to Maximize your chance to get higher limit
You should apply no more than one card per 6month
I recommend you get CC from top 4 banking institution (Chase, Citi, BoA and Wellsfargo)
I see you already have 1 card and 1 Secure card  from Capital One get next 4 cards from top 4 banks before you get any other cards like AMEX DISCOVER
When I first opened my Chase CC they gave me $400 limit now I have 30k limit on that card
I hope this helps Good Luck!

[Anonymous]

Also If you have a family member with good credit
Ask them to add you as an authorized user on their better cards
But only if the cards that they keep less than 30% Cedit line usage,
Credit Limit higher the better
Older account the better
Soon it will show up on your report and Score will improve very quickly

[Anonymous]

Don't charge so much on the card just for the CLI . I put thousands on a Cap 1 card and only got a 200 dollar incase . My Girlfriend barley ever used it in the 6 months and got a 3000 dollar auto increase . The whole " use it a lot to get a better increase" is a myth IMO .