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Question By
Heaper27

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How do you Calculate Credit Card Utlization with Limits?
I was just wondering how you calculate Credit Card Utilization with Limits?

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You take your credit card balance(s) and divide it by your credit card limit(s).  This gives you the percentage of utilization.  You want your utilization below 30% and above zero.  1-3% is optimal.

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nsalemme

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I'm below the 30% for all my credit cards lines of limit, however my credit unions often have good balance transfer rates so I usually keep the balance on one card at any given time and that usually takes up most of the limit available on any one of the cards...I have noticed that Credit Karma flags it as a reason why my score is lower too, so does that mean I need to split the balance among my other credit cards and make sure its below 30% of each credit limit?

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