How to build credit score, Just got first credit card do i max it and pay it off slowly or what do you rec.?

Question

any recommendations

Answer 1

Don't just max it, that makes companies nervous. Buy something reasonable, & pay it off, then buy something else & pay it off within a reasonable time. Pay more than the monthly charge. Just keep doing this for a while, till you show a pattern of payment. If you get another, do the same, but always pay more than minimum, & pay it off in a reasonable time. That will help build good credit!

Answer 2

The first poster is right in how to use the credit to build your credit score. As for people who say don't use credit because you don't need it are wrong. If you want good car insurance rates they use your credit report, if you want to get an apartment you need good credit, if you want a job some employers check your credit. Credit is good for alot more then debt. Use it responsibly and it will help you save alot of money in the long run. Never use more then 30% of your available credit and pay on time every time. Paying off in full every month is preferable

Answer 3

I would encourage you not to even use the card at all. You have already opened the account, so don't close it.

The only reason you need a good credit score is to...get more credit. (I called it debt.) What would happen if you used your own money for everything? It would force you to be more frugal with spending. I say save up about $500-$1,000 in a money market account, where your money will earn interest. This can be an emergency fund. Should you ever need a loan (like for a house) you can use a lender that does their own actual underwriting. They look at other things (besides a credit score) to determine your credit worthiness.

Do yourself a favor and cut up the card now. I think you will thank yourself later when you AREN'T in debt.

Answer 4

what ever you do, don't max it out. that will lower your score. the credit bureaus want to see a responsibile use of credit AND a healthy debt to income ratio. That means put a few hundred dollars on the card and either pay off the balance every month or at least pay half the balance. Don't let it get too high and never max it out.

Answer 5

DO NOT MAX IT. You get a credit history by paying on time. Use it monthly for something that you were going to buy anyway. Groceries, gas, prescriptions, etc. and pay IN FULL EVERY MONTH. You want to have good credit. Perfect credit actually.

Answer 6

So you're interested in building your credit score. There are many thing that you can do to establish your credit. In fact there are lots of options online that are available to help you in this endeavor. I found this site to be very useful so I might share this to you as well. Try this site: http://www.buildingcreditforstudents.com they have a broad range of resource relevant to building credit.

Answer 7

The best way to build score is to use it for everyday thing never exceed 30% of your credit limit and pay in full before the due date.

Example: If your credit limit is $500.00, never exceed $150.00 in any given month.

Do this for several months and your score will shoot up and the credit card company will increase your limit.

Answer 8

Kitch ( the previous poster) is absolutly correct!!
There is no rule that says you have to use it, debt is not fun.
Keep it for those rare times that a card is required and just
grin when you hear others talk about how much they owe knowing that it doesn't apply to you. Your score will take care of itself.

Answer 9

Devin,
have u ever played with rattlers coppermouth watermocassins(snakes)?
suggest u learn what banks creditslave cards pray u never ever learn - how to own ur money not be owned by it.
visit daveramsey.com u'll be surprised at what u need to learn b4 u Burn.