Whats builds credit the quickest... paying the bare minimum or paying off a little bit more than that or...?

Question

I just got my first credit card, and my minimum payment is $15, should I pay that or do likde $30? What builds credit quicker?

Answer 1

Using the card, then paying it down within a few months, is how credit is meant to work. Simply paying the minimums won't benefit your credit scores. And never keep more than 50% of the limit on the card, or your scores drop.

You should pay the card off completely every few months, then don't use it for an entire billing cycle, so it reports a zero balance to the credit bureaus. That should bump you up a good amount.

Answer 2

What builds credit the fastest is responsible use of credit. It takes a minimum of 6 months to establish a credit score. As long as you pay at least the minimum payment on time, you will establish good credit. You can actually pay your balance in full every month, since the odds are, a balance will be reported every month before you pay it off. Paying on time and paying in full will both establish good credit.

Answer 3

Pay more than the minimum and get rid of your debt asap. Credit Card companies won't make as much money off of you, but in the long run, they will be more likely to lend you money (cuz you'll have a higher credit score this way) than people who only pay the minimum. The webpage below show you how to get extra money every month so its easier to pay more than the minimum.

Answer 4

Credit cards build revolving credit.

Loans build installment credit.

2 different types.

Fastest way to build credit? get 2 $1500 credit cards and a $1000 line of credit from the bank - and always pay the credit cards in full.

Answer 5

pay as much as you can, as often as you can, use it responsibly and dont waste time checking your credit score all the time. just pay your bills on time and dont run up too much credit, thats as bad as having too lil credit! good luck