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AprilButtkiss89

9 Contributions
17 People Helped
Capital One CC utilization help?
Please if any one has any threads or advice they can post here it will be greatly appreciated. I am recieving my credit card in 2 weeks and I want to be prepared with good advice before it comes. I am having a hard time trying to figure out what to keep my utilization at for it to make more of a difference on my report. Is 10%, 20%, or 30% the best way to go? Also, do I carry over a balance or do i pay it in full? How does that help or hurt me in the credit building process? Thank you all for your time :)
Current stats as of 1/17/16 -
TU: 508 EQ: 520 EX: ?

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Smart thinking!

It is so good you want to make sure you're using this new credit card correctly for the best benefit.  First, the ideal usage is 10% of your credit limit or less.  Try to pay all charges off in full when you get the bill, because paying interest on whatever balance may remain is costing you more money and no one wants to pay more than they have to.  If you have to charge more than you can pay in full (like, say, a car repair) pay it off as quickly as possible.  NEVER settle for paying just the minimum payment, always pay more than that.  The lower utilization, a history of on-time payments and having a credit account for a long period of time all work to help your credit score.

You may want to re-read the credit articles on this site so you can get a deeper understanding of how credit works.  That is what this site is for. 

Top Contributor
84 Contributions
47 People Helped

keep utilization below 10%, pay off

I started rebuilding my credit have not having any credit cards for over 6 years and no open accounts (paid car loan off last year).  I got secured Captial One Card 3 months ago with credit limit of $300 to start ($199 security deposit).  I never charge more than 10% of my limit ($30) and pay off completely before Due Date but after statement available.  My credit report says my utilization is 8% and my credit score has gone from 604 to 642 in 3 months.  I added $200 to my deposit account so now have credit limit of $500.  Will see how that changes my score when next update available Jan 30.  

Top Contributor
84 Contributions
47 People Helped

Just approved for Unsecured Card

CreditKarma's simulator said my score would go UP 1 point if I opened a new credit card.   I only have 2 hard inquiries on my report so certainly worth the risk.

After 3 months with a secured Capital One card my credit score is up from 604 to 642.  So I just now went online and applied for QuickSilver card.  I was immediately approved with credit line of $500.   Yippee.  This will double my available credit on 2 cards.  If I continue only charging 10% or less on both and paying both off completely, my credit score will continue to go up.

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