Is it better for your credit score to pay off the entire balance of your credit cards or to maintain a balance and pay the minimum amount every month so it shows your making payments on time?
2006-06-09 04:51:41 · 3 answers · asked by Anonymous in Business & Finance ➔ Credit
I have heard that it is best to keep about 30% balance each month, and be sure to keep paying them off. I went up to about 50% and payed a lot off each month and my credit score skyrocketed
2006-06-09 04:56:09 · answer #1 · answered by Brian 3 · 2⤊ 0⤋
The system only works if you make payments for at least 3 months. After that time you can pay in full if you want, but you will not increase your credit score without some history of being able to pay on time each month, 3 months is the minimum that they require.
2006-06-09 04:56:48 · answer #2 · answered by psycmikev 6 · 0⤊ 1⤋
It is better to keep an active account but, you should pay it all off before the due date and re invest it in more accounts.
2006-06-09 04:56:31 · answer #3 · answered by The Squirrel 6 · 0⤊ 0⤋