Is 50% credit utilization too high?

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5 posts
th_
 
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Is 50% credit utilization too high?

Postby th_ » Sat Aug 25, 2012 7:10 pm

Hey everyone,

I've been lurking around these forums for quite a bit, reading up.

I recently got the Citi Forward for College Students, with a CL of $1000. Is it bad that I'm using about 50%, even though I pay it off completely every month?


sakhalin
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Postby sakhalin » Tue Aug 28, 2012 4:58 am

If you're trying to apply for credit, then it might look bad. My utilization is normally pretty high (I pay in full though), but I minimize the utilization the month before I apply for a new card.
AMEX BCE ($20,000), Citi Forward ($6,800), Discover IT ($5,250), BoA Travel Rewards ($1,800)

ReadyTuna25209
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Postby ReadyTuna25209 » Wed Aug 29, 2012 4:39 pm

I'd try to keep it down. Never go over 70% and I think the best range to be in is 5-30%, in my opinion. As sakhalin mentioned, I'd keep it down if I were you those months leading up to applying for a new card or a loan. I always PIF and if I go too high sometimes, I pay off a chunk before cycle closes so it looks like I'm utilizing my card but not excessively.
AMEX Blue Sky (November 2012)
Citi Diamond Preferred MC (August 2012)
Discover It (August 2012)
Orchard Bank MC (June 2011)
Bank Americard Cash Rewards (September 2010)

Current scores: 715 TU / 724 EQ / 724 EX

FutureBillionaire
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Postby FutureBillionaire » Wed Aug 29, 2012 6:35 pm

As long as your balance reports to the credit bureaus as 0, it doesn't hurt you. I wouldn't use more than 30% though so you don't alarm your creditor and invite them to lower your limit.
Gas: Discover It, Penfed Platinum Rewards x2, Chase freedom, Citi TYP
Plane tickets: CSP
Groceries: AMEX BCP, Penfed Platinum Rewards,Citi TYP
Clothes: Express, Amex BCP, Discover IT
Amazon: Citi Forward, Cash +
Restaurants: Citi Forward, Chase Freedom, Discover IT, CSP
Hotels and other travel: Discover Escape, CSP
Movies: BofA travel rewards visa signature(fandango), Discover IT, Citi Forward, Freedom
Bars, clubs, tomfoolery: CSP, Citi Forward, Discover IT, Freedom
Balance transfers: Kroger 123 rewards
Bill Pay: Chase Ink Plus, Citi Forward
Everyday spending: Bofa Accelerated cash rewards amex, Discover Escape

DavidNY
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Postby DavidNY » Thu Aug 30, 2012 2:07 pm

If you're looking for credit, I recommend paying off anything above 10-30%. Don't wait for the bill.



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