@SouthJamaica wrote:
@Anonymous wrote:
If you only use 1% utilization of any one card, is it not true that you are unlikely to get an auto CLI? Don't the card issuers typically like to see usage?
You're mixing up 2 concepts:
1. capacity utilization for purposes of FICO scoring uses the balance as of the statement date
2. utilization for CLI and CLD purposes is internal, based on your average balance throughout the month, and is unaffected one way or the other by what appears on your statement
I think a good way to think about this is utilization vs. usage.
Utilization is the FICO scoring metric that uses the account balances as reported on the statement closing dates.
Usage is how much you use your card.
With a $500 credit limit card, you could put through $2000 or more in one month, just keep paying it off weekly and make sure that by right before the statement cut date you pay all but say $5.
That is how you win the game. You get high FICO scores and you get credit limit increases if it's not a secured card.
