Dept vs Credit line FICO Score

[Anonymous]

I have three credit cards, with credit lines of 7,000 Chase, and Citibank 2 cards 8,000 & 21,000. I basically use the Chase card exclusively. I charge around 3,000 per month and then pay in full each month. My question is how does my FICO score fluctuate through the billing cycle? Say my statement closes on the 1st with a balance of 3,500 with a date due of the 28th – from the 2nd till the 27th I charge an additional 3,000. If I have a credit report pulled on the 27th it will show utilization of over 95% of the credit line on the one card but only 18% of my total available credit. My pattern is basically the same each month and if it fluctuates at all it is $500 more of less in spending. To help my FICO - should I spread the amount between the cards? (I basically use one card for the rewards.) Close one of the cards an increase the credit line on the other? Or it really doesn’t matter since I pay balance in full each month. I guess never have a report pulled towards the end of the billing cycle. Thanks

[Anonymous]

Overall utilization should be under 10% when the card reports.  Many on this forum use their cards as much as possible for the rewards, but will pay the card down to less than 10% before the card reports to the bureaus/the bill is cut.  After the bill cuts, you still pay the smaller amount in full.  This will increase FICO scores.

[Anonymous]

Don't close anything!

If you are worried about what that $3k to $3.5K does each month reporting to your report you could pay the Credit Card twice by 1) making one large payment right before the statement date and then 2) make the rest of the payment after the statement posts....that way no interest is earned and you can have a small balance (under 9%) post each month.

Your credit reports only get the balance reported one time per month when the Statement is generated.

[Anonymous]

Thanks for your insight. I am signed up to pay the balance "in full" each month on the date due - I don't even think about it, I just put the amount due in the register each month. This is a convenience thing for me. You are saying, if I authorize 50% of the payment in the middle of the cycle and the remaining on the due date that will bring up my credit score?? Should I only worry about this balance when I know a report is going to be pulled?? The only other dept is my main mortgage, rental property mortgage & a car loan. Thanks again

[Anonymous]

I would say yes.  If you know you are applying for credit let a small amount report that month then get the apps in during that time and take advantage of the extra points you should get.

For the rest of the time just do what you are doing and don't worry about it.

[Anonymous]

Thanks - I will continue to do what I am doing. I will leave the other card where they stand with their cl...I was a little worried about the one cc with 21k available, but was approved back in Feb 08 (when mortgage rates dropped 5.375)for a 400k refinance. I asked the broker about the open credit available - came back and said not problem at all. Live your life within you means.