Had a few questions I hope I can get some help with. I recently obtained a credit card from my bank. My 1st cut off occurs on 2/27.
If this is your only card you want it to report less than 8.9% but more than around 5 dollars. For a 500 card no more than $25 when the statement cuts. you may have to let it go for a month or two to figure out exactly what your statement day will be. This is the only date you have to worry about, just keep your reported balance in this range and you will remove the not using revolving credit ding. If you don't have any cards reporting now, its good for a 40-50 point jump. At least that was my experience.
Once you get more cards, then you can get a little boost by having only one of them report a balance and the rest zero. If you search AZEO then you will find a lot of topics on this strategy.
@Kforce wrote:How much you put on the card and how many times you paid are not shared with the reporting agencies. All they see is the balance at the time the statement cut. ( Some issuers send in updates with mid cycle payments and some also report balance on a certain date but 97+% use statement balance)
Actually, this information is shared… sometimes. It depends on whether or not a bank reports the "Recent Payment Amount." If that field is reported, lenders can tell exactly how you use the card, e.g. paying the statement balance in full, revolving a balance and paying it down quickly, revolving a balance and not paying it down quickly, paying before the statement cuts, etc.
As an example, let's say your January statement is for $1,500, and you pay in full by the due date. In February, your Recent Payment Amount would be $1,500. This information remains on one's report for 24 months (EQ and EX) or 30 months (TU), just like balances and limits. If you pay several times in a month, the sum of these amounts will be your Recent Payment Amount.
But we're not scored on any of this. That won't be possible until all banks report payment information.
AZEO won't directly help one build credit. All it does is control one's balances at a given point in time. This can be a useful tool, of course, if one is about to apply for credit. But utilization is just a snapshot in time, and it can be markedly different from month to month.
The way to build credit is to always pay on time. And give your accounts time to age. You can't accelerate that.