When do credit card companies report to credit bureaus?

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It’s helpful to know when your credit card activity gets reported so you can keep track of how it affects your credit scores.

But it may not be as straight forward as it seems. Read on to learn more about when credit card companies report to credit bureaus — and why it may be useful to know about.

• When do credit card companies report to credit bureaus?
• Credit reporting may vary
• Why knowing when credit card companies report to credit bureaus is important
• What you can do to help your credit scores

When do credit card companies report to credit bureaus?

One reason there’s so much confusion about when credit card companies report to credit bureaus is that there’s no one answer.

Typically, credit card companies report to credit bureaus once a month around the time of your statement date. Once your credit has been reported, your credit scores may not be updated immediately. Different bureaus may update at different speeds and frequencies. Because of this, your credit scores may vary depending on which credit bureau you’re looking at and when each bureau updates.

And while you can generally expect that your credit card activity will be reported to the bureaus at the end of your billing cycle, it’s not a hard-and-fast rule.

Credit reporting may vary

Not all lenders report your activity to credit bureaus. If they do, they might not report to all three of the major credit bureaus, either. Credit reporting is a voluntary practice, and credit card companies don’t always reveal which credit bureaus they report to. Some companies, like Capital One, explicitly state that they report your credit standing to the three major credit bureaus. Others may not reveal that information so openly.

All in all, it’s best to keep your credit in good standing across the board. You can do this by making on-time payments in full and keeping your balances low.

Why knowing when credit card companies report to credit bureaus is important

Knowing when credit card companies report to credit bureaus can clear up some confusion you may have with your credit reports. Have you ever checked your credit reports and seen a balance, but you know you pay off your card every month in full?

This is likely because credit card companies provide a snapshot of your current balance when they report to the credit bureaus.

So, if you’re concerned about how this snapshot of your balance may affect your credit, consider keeping tabs on your spending around your statement closing date. You could also make a payment before your statement closing date, so your balance is lower when it’s reported. Keeping a low balance can help your credit overall because credit utilization is an important factor that goes into calculating your credit scores.

A quick note on credit utilization

Credit utilization refers to how much of your total available credit you use at any given time. Being mindful of your credit utilization rate (your total credit card balances divided by your total credit card limits) and paying down revolving debt can be helpful if you’re trying to improve your credit scores.

You may pay down your debt and not see an improvement right away — it depends on when you paid down your debt and when your credit card company reports to the bureaus. If you pay down your debt right after your credit card company reports to the bureaus, you may not see a change until the next time your lender reports to the credit bureaus — generally the next month. Keep in mind that many factors determine your credit scores, and paying down your revolving debt doesn’t guarantee higher scores.

What you can do to help your credit scores

If you’re concerned about your credit utilization in relation to credit reporting, you might consider asking your credit card issuer for a higher credit limit. Having more credit available — and not using as much — may help boost your credit. Just be sure to do your research first. And keep in mind that having more available credit could actually hurt your scores if it tempts you to rack up more debt.

Additionally, you can make multiple payments throughout the month to lower your overall balance. That way, when the balance is reported to the bureaus, your credit utilization is in good shape. Keep in mind that one of the best ways to help your credit scores is by making payments on time and in full every month.

If you want to get a better handle on your credit, you can always check your credit reports from Equifax and TransUnion on Credit Karma and dispute any errors you see.

Bottom line

If you’re curious about when credit card companies report to credit bureaus, now you have a better idea.

Regardless of the timeline, there are some things you can do to keep your credit scores in good shape — like keeping your credit utilization low and making payments on time each month.

And check your credit reports regularly so that you can see where you stand and ensure there are no errors. Doing so can help you avoid any trouble and ensure you’re on the right financial path.