Paying off a credit card right away, will that give me good credit?

Question

I am having trouble with applying for things because I have no credit. I want to apply for a credit card that I can afford and just pay it off right away so that I have a zero balance. But according to some people that I talked to you must have a balance to earn good credit.

Answer 1

No, paying your card off right away will not nesc give you good credit. The longer you carry the card, the more positively it will contribute to your score. Secondly, you should carry a small balance on the card, but no more than 30%. I imagine you don't want to pay interest charges, but having an open credit line doesn't show that you are *managing* your credit well. Having a small balance and not using all of your available credit shows good management. I know it doesn't make sense, but knowing how to work the system can only work in your advantage.

Answer 2

Go to the website below. Read all of it and there is a link where you can apply for a credit card under "low apr credit cards" section. I know this site is about credit report repair, but those just starting out with no credit also fall into the same categories!

Paying off the balance every month to 0 will not help your credit score much and does nothing to prove you can handle money and credit responsibly!

You will understand a lot of this from reading this site and learn how to avoid the problems you encounter that require credit repair and that is why this site is so important.

I've yet to find another site like this that explains all this in plain english and in detail. They have an RSS feed I also recommend because new in formation is always being added and you will be on top of it when it is!

My credit score was 480 and I got it up to 709 in one year with the help I got from this site so I do recommend them!!

Answer 3

A good credit record is created by demonstrating that you can handle credit over a long period of time. So when you get a card, make small purchases but pay them off in full every month. This way you are creating a good credit history.

Answer 4

To get good credit, you need to prove that you're able to borrow money and pay it back.

If you don't borrow anything (aka always having a zero balance) then they can't judge you.

Try to use the credit card, get a balance and then pay it full and on time at the end of each statement.

Answer 5

the terrific thank you to advance your score is to pay the balances off as at as quickly as as possilbe, yet do no longer close the account, do in basic terms no longer use the playing cards. in case you preserve the account open it shows you have accessible credit which you're actually not utilising and it makes the score flow up. in case you may not pay the stability in finished reight away, it relatively is okay, you like some fee historic previous, yet continuously attempt to maintain the stability under 50% of the credit line on every person card, or no better than ninety% on a unmarried card in case you have numerous playing cards that have 0 balances. occasion: in case you have 5 playing cards at a $one thousand credit line each or $5000 credit accessible on all playing cards, save no better than $500 on every person card or no better than $900 on a unmarried card in case you in basic terms use one and the different 4 are empty. lower back. do no longer close the debts even whilst they are paid. I closed numerous of mine no longer understanding this and ended up hurting my score.

Answer 6

That is incorrect. Either way you pay the card, you will see reference to proper payment. You get good marks for 'paying as agreed'. Doing so means making AT LEAST the minimum payment required. Making MORE than the minimum also counts.

Answer 7

i know you get good credit by making payments on time each month, not for sure if paying off at once will help though.

Answer 8

yes it will.
I have an 800.... pay all on time all the time.