paying of credit cards>??

Question

I have a student visa $700 .. ive been paying the amount due every month all at once. Am i suppose to just pay a little at a time to build credit?>? or say its 120 that month do i pay the $120? .. and after the $700 limit is up.. do they give me another card with more$$??

Answer 1

Building credit with credit cards is easy, simply use them for every day things, never exceed 30% of your credit limit in any given month and pay in full before the due date.

I raised my score over 150-points by doing this over a 24-month period.

Answer 2

Hi. I started out with a card at 800 limit. I always paid it off in full. I have great credit now. Paying it off little at a time doesn't help build credit. But the thing is, depending on what company gave you that card will determine how often it will be raised. They won't always raise just because you have good credit. Sometimes, they raised if they see you reach your credit limit. If they see this, they think you might need more. Just remember to try to keep under 50% of your limit in total. So, if you have 3 cards at 700. Don't spend more than 1050. If you do they will see this as a negative aspect. Also, try to open only one card once, every 9 months or so.

Answer 3

To build credit you need just a credit card with timely payment. How much you pay doesn't matter. I am paying in full to avoid interest charges. Most credit card companies will raise your limit automatically every half or full year. However, you can always call and request the higher limit. If you are a good customer your request will most likely be satisfied. Higher limit means better credit score. Student VISA may have certain restriction because of income. At the same time, higher balances at certain point may hurt you. Try to keep them at the level of 40% of credit limit. 3 trade lines (credit cards, auto or other installment loans) are optimal to build good credit.

Answer 4

If you are dealing with collection agencies, then pay them by money order. DO NOT give the creditor access to your bank account. How old is the debt? The older the debt, the lower the offer. As a general rule debts that are 1-2 years old offer 75%, 3-4 years offer 50%, over 4 years 25%. Be sure to get the settlement agreement in writing an include making the negative paid on the credit report, or better yet negotiate a "Pay for Deletion" agreement, this is where the creditor agrees to completely remove the account from the credit bureau in exchange for payment.

Answer 5

While credit card companies want you to think you have to carry a balance... the truth is pay them off each month, pay on time or a week ahead of due date. Think of the credit card as a means to not carry cash, but realize that it must be paid so don't over spend. Some kids start out with less of credit limit. One girl started with 350 went to 500 in 90 days and then it jumped to $2500.00. She was using it to pay for school books, airplane ticket. She's just turned 19 and is sitting with $8,000.00 limit. While her other card is still at the $750.00 which is fine. She puts her cash into a student id card which allows her to use it on campus and all around town at resturants and shops like a debt card for free. Just be careful, paying late brings up all kind of fine print charges. One of her cards will charge her a fee to pay online what she owes which is a rip off. So she makes sure to pay with her cking account online to her credit card company and avoids the fee by having her bank make the payment.

Answer 6

I got a student visa when i was 18 for 700 dollars. A little after i was 21 I suddenly got my credit raised to 4,000 dollars. It takes time to build up your credit.

You keep the same card, they just raise the limit. When they raised my limit they never told me they did...i just found out on accident when i got my credit report.

Answer 7

NO! Pay the full amount every time. Just the fact you ARE paying consistantly builds up credit. It is not required that you carry balance. After you have paid consistantly for a year or two, call the company and ask for credit limit increase. Based on your past history, they will either grant or deny your request.

Answer 8

I always pay the whole amount. For one of my credit cards my credit limit was increased from $5000 to $10,000 (I've had that card for about 2 years now). It was one big increase. I wasn't expecting it that big of a jump but I guess it is possible.

Answer 9

Dont obsess with the I love debt score.
The only people that obsess are the ones that plan on borrowing lots of money and paying lots of interest.

Live on less than you make and you will win with money.

Banks spend millions brainwashing people into thinking they need a high I love debt score to make it in todays world. Not True!

A bad fico score from not paying your bills is trouble. If you have a 0 fico score from not borrowing money you can still get an apartment and a job and whatever else.

Debt Free is Definitely the way to be!

Answer 10

the key to building your credit is to at least pay a little bit more than the minimum if you can, and to pay on time every time. Once creditors take notice of this, they'll see you're responsible and then they'll offer you more credit.