Mogul of Pineapples wrote:I've heard that it's the amount when the billing cycle closes each month that is reported?
I think that is correct. The point though is that it is on a specific day. If you prepay before the closing date then you can keep the utilization low.
A low utilization is good. But the highest balance is also reported on a credit report and I believe that is teh highest balance on the closing date. Having a high highest balance also shows you have effectively managed credit in teh past so I assume that is good as well.
If you have a card and routinely put $20000 a month on but prepay it before the end of the billing cycle you will show a low utilization but your $20k usage will never show up. You will never get "credit" for being able to manage large balances.