Best Way to Use a Credit Card

Author: nefertiti66
Posted: Wed Jul 19, 2006 10:46 am
Post subject: My first credit card- Capital One question. How to best use?

Hello all. I got my first credit card yesterday with a $500 limit.
How can I best use the Cap one card to increase my score.
I know cap1 does not report limits so should i use it for purchases up to $100 and pay it off every month or should i max it out at $500 one month and pay off immediately and let it sit at 0 balance??

My score is 751. College loans totalling 24k- in good payment status for 3 years. One paid off credit card 6 years ago.

I want to build my history up so that i can qualify for a cash back card.

Do you think its a good idea to apply for one of the american express cards? Will that help raise my score? If so, which one?

Thanks all, you have been a great help!

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Author: newtoitall
Posted: Wed Jul 19, 2006 12:13 pm
Post subject:

Bump


Is it good to instantly max out a low line ($500) CC and then immediately pay it off and let it sit at 0 ???

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Author: TomfromCT
Posted: Wed Jul 19, 2006 12:49 pm
Post subject: Best Way to Use a Credit Card

Credit scoring wise you wil not get credit for the CL unless you charge it up to 450 or so and let it all hit the statement.


Other than that, PIF or multiple payments within a month or however won;t necessarily make any difference.

What will is being perfect.


PERFECT.


NEVER miss any payments. DO not go over your limit.

In time that simple approach will pay off.

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CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!

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