What if you have a credit car and don't use it? Will that be good for your credit score? Or will it be no efffect? Should you use your card at least once a month to improve your credit score?
2006-06-09 04:53:12 · 10 answers · asked by Anonymous in Business & Finance ➔ Credit
Only use will improve your credit score. If you don't use it, it still appears on your credit, but doesn't have a negative or positive rating on your score. It just shows as an open line that you have.
2006-06-09 04:57:16 · answer #1 · answered by Enchanted Fairy 3 · 2⤊ 1⤋
If you want to improve upon your credit score then it is beneficial to use your credit card at least once a month ONLY if you plan on paying off the FULL amount monthly. I would suggest using it to buy a tank of gas once a month and then pay it off online a few days later. This way you don't lost credit points or gain interest by not paying it immediately.
If you do not use your credit card it will not hurt your credit score but it will not help it either.
2006-06-09 11:57:42 · answer #2 · answered by Anonymous · 0⤊ 0⤋
Here's the thing... what effects your credit score is having a credit card and paying it... it's proving that you're doing well with your finances... if you just have one and don't use it and it's got a HUGE limit... it actually counts against you. (i found that out the hard way) Apparently its the Potential for debt that they look at. Using it and paying it off is the best way to go... So for awhile now... we've been using our credit cards to pay our other bills and then paying off our credit cards right away... keeps the balance on the credit card low and helps prove that you're able to pay it off. Another thing if your credit card company raises your limit... and you don't NEED that limit raise ask them to change it back. Because the more potential debt you have the worse your credit score gets...
2006-06-09 12:17:23 · answer #3 · answered by Jembee1720 4 · 0⤊ 0⤋
Credit card users are considered assets of credit card companies especially for those who always pay the minimum due. Through the monthly interest, credit card companies can easily recover the amount you purchased and eventually earn substantial income from that. If you dont use your card, it means the company is not earning from you, and because of that, it doesnt have a bearing on your credit scores. They will just continue to renew your card as it expires with the hope that you will use it. If you decide to use it and you have proven to be a good payor, that is the time they will increase your credit limit as it only means that you are a potential asset to the company.
2006-06-09 12:13:52 · answer #4 · answered by z_butter 2 · 0⤊ 0⤋
To improve your credit score, you need ot use it once in a while, BUT, make sure you have the money in the bank to pay the thing in FULL once the bill arrives.
2006-06-09 11:59:13 · answer #5 · answered by Anonymous · 0⤊ 0⤋
no use no credit score, lots of use and good pay lots of score, lots of use and not good pay bad crdeit score, litlle use very good pay good score.
so use you credit card regular but make sure you pay right away that will improve your score
2006-06-09 11:59:43 · answer #6 · answered by Anonymous · 0⤊ 0⤋
Actually, you should use it once, for something small, and then pay it off immeadiately. Your credit will sparkle!
If you don't use it, it will look bad on your credit.
2006-06-09 11:58:15 · answer #7 · answered by foodlover 3 · 0⤊ 0⤋
if u dont use it credit stay same, use it and prove to em that u are building a cresit for ur self.
2006-06-09 11:58:23 · answer #8 · answered by gentileworld 3 · 0⤊ 0⤋
As long as you don't forget to pay your fee it doesn't matter if you use it or not.
2006-06-09 11:57:29 · answer #9 · answered by ffantasy1984 3 · 0⤊ 0⤋
you should use it & pay it off, repeatedly... do not miss payments... do not make late payments...
2006-06-09 12:25:15 · answer #10 · answered by Stacie 3 · 0⤊ 0⤋