I'm new to crediting and am wondering if my question applies to keeping the outstanding balance under 30% or keeping your available credit under 30%? Or is it something else?
2007-01-08 11:48:02 · 6 answers · asked by Anonymous in Business & Finance ➔ Credit
What this is referring to is keeping your balance to under 30% of your limit. For example, if you are given a new card with a $1,000 credit limit, don't ever carry a balance of over $300. Getting close to the limit given to you shows a creditor that you might be riskier and have less self restraint. It also affects your credit score which might increase your interest rates both on that card and any future loans you might take out. Good luck!
2007-01-08 12:20:17 · answer #1 · answered by cillybeen 1 · 0⤊ 0⤋
List all your credit card and line of credit limits. Multiply the total by 30%. If your total balance on all of these accounts is less than that amount, your balances are under 30%.
2007-01-08 12:58:23 · answer #2 · answered by STEVEN F 7 · 0⤊ 0⤋
Basically if you utilize more than 30% of your credit then it negatively affects your credit score. For instance on a card with a 1000 dollar limit you dont want to carry a balance of more than 300 bucks.
2007-01-08 11:51:26 · answer #3 · answered by tchem75 5 · 0⤊ 0⤋
by keeping all balances at or 30%-50% that makes your credit scores go up...
2007-01-08 12:08:19 · answer #4 · answered by smiley20903 2 · 0⤊ 0⤋
If your credit limit is $100, keep your balance (purchaces) under $33.00
2007-01-08 11:51:29 · answer #5 · answered by Katie 4 · 0⤊ 0⤋
Great question! It helped me out..
2007-01-08 12:54:15 · answer #6 · answered by aloneathome 3 · 0⤊ 0⤋