Credit Advice

Have a question? Have advice to share? The combined knowledge and experience of everyone in the Credit Karma community can help you. Enter your question or help others below to get started!

Question

Posted in Credit Cards
Profile Image

Question By
u049588

0 Contributions
0 People Helped
Credit card debt
My credit card score is just a "C"? I have no credit debt! I have $10,000 limit on my Gold AMEX but pay the debt off each month. My MC has a $6000 limit with NO debt! I'm confused by the C rating, it should be an "A"?

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW
All Responses

Result 1-1 of 1Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next
Top Contributor
497 Contributions
1203 People Helped
Most Helpful Response

Helpful to 5 out of 5 people

You would think that having a $0 balance would make it an "A" but lenders actually like to see some sort of balance on the accounts to believe that they are actively in use. Credit Karma lists 1%-20% credit card usage as an "A", though I believe the best credit score is achieved if your credit card utilization is just under 10%.

Top Contributor

Reply by
jwsister

7353 Contributions
3808 People Helped
Helpful to 1 out of 1 people

You don't have to carry over a balance, which would end up costing you interest.  Just make sure you pay ONLY the "total amount due" when the statement comes in.  You may have purchased $500 during a month but only $300 show up as the total due, so you pay just that.  The remaining $200 plus some other purchases you make will show up on the next bill.  That's the way to show a good payment and usage record.  For some crazy reason, credit card companies aren't too pleased if you'd paid the total $500 instead of what the statement says.  Humor them, and play the game your way so that you don't end up paying interest but you do improve your credit score. 

Result 1-1 of 1Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW

Reply to this Question

Write your response:
Enter Your Comments

The Credit Advice pages of the Site may contain messages submitted by users over whom Credit Karma has no control. Credit Karma cannot guarantee the accuracy, integrity or quality of any such messages. Some users may post messages that are misleading, untrue or offensive. You must bear all risk associated with your use of the Credit Advice pages and should not rely on messages in making (or refraining from making) any specific financial or other decisions.