How muh % of my credit should I utilize every month for building credit score?

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I want to know what my credit utilization should be to build the best credit score possible, is it 50%, 30%, 25%, 20%?

  1. Reply
    R C
    July 21, 2011 at 1:13 am

    The very best is to have a zero balance at the end of every month. If you carry balances then you should never have more than 30 % of your limit as a balance on any of the accounts. 30% of each account not your total credit limit among all your cards.

  2. Reply
    July 21, 2011 at 1:33 am

    You want to keep your debt to credit ratio as small as possible. One reason it is suggested that you pay off credit cards each month is because of other types of debt like buying a car or house.

    You finance a $ 20,000 car and you immediately have a $ 20,000 usage versus $ 20,000 granted, or 100% on that loan. If you also had $ 20,000 in credit card limits, but zero balances, your overall ratio would be 50%.

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