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NeedAdvice111

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Putting car payments onto credit card?
If i put my car payments onto my credit card so i have just one payment, will that e better than just paying my 3 car payments seperatly?

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Are all of your eggs in one basket?

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I would suggest not putting large monthly balances on one card unless you have enough other cards to keep your overall utilization down below 10%.  While you may be able to afford it on one card, you will also increase that card's credit utilization percentage.  Meaning it would take more extremely low utilization cards to bring your overall utilization average down.  Meaning that if you choose to raise your credit debt to 80% on one card and have 2 other cards at 0%, you are still at 20% utilization.  Not to mention that some creditors will actually close your account if you don’t use them at least some.  While some may argue that utilization only counts as 10 to 20% on most calculation methods; in a 800+ range score 10% can count at 80 points from your score.

I would think, in most cases, that the best strategy would be to spread that debt over many cards instead.  Best practice also suggests that if you just place enough to keep your overall credit swipes less than 10% total of your credit limit utilization per month; your score will benefit faster than most other methods.  If your monthly balance is greater than 10% of your credit limits for each card; I would even suggest placing remaining amounts over 10% on a debit card since it doesn’t report on my credit report.  In that way I can ensure only the information I want reported, is reported.

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