“Understanding Your Credit Cards”

“Understanding Your Credit Cards”

 

 

 

Hi Joe,

Does my credit usage need to be below 70% or below 30% ideally? I want to do everything humanly possible to get my credit scores higher, so that when I am ready to buy a home this coming spring, I am completely ready and can get the best possible interest rate.  Is it overall credit usage or per credit card/loan?

Thanks to you my parents are teaching me what you taught them.

 

The simple answer is as follows: If you keep your credit card balances below 30% of your high credit limit your credit scores can move upward at the highest possible level. So, if your high credit limit is $1000, your balance should not be above $300.

 

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Joe Petrowsky, NMLS #6869

Right Trac Financial Group, Inc. NMLS #2709

110 Main St.

Manchester, Ct. 06042

Office: 860 647-7701 x116

Fax: 860 647-8940

Cell: 860 836-9294

Email: joe@righttracfg.com

www.righttracfg.com

www.joepetrowsky.com

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Joe Petrowsky does not guarantee nor is in any way responsible for the accuracy of the information provided herein, and provides said information without warranties of any kind, either expressed or implied.

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Comment balloon 6 commentsJoe Petrowsky • November 16 2017 02:57PM

Comments

While its a great suggestion, doing it in real life is alomost impossible!!!

If you keep your credit card balances below 30% of your high credit limit your credit scores can move upward at the highest possible level. So, if your high credit limit is $1000, your balance should not be above $300.

Posted by Sham Reddy, CRS (H E R Realty, Dayton, OH) about 1 month ago

Good information to share. Credit scores are so important, we need to be vigilant and keep a watchful eye on factors that can change your credit score. Monitor regularly and pay before due date. 

Posted by Joyce Marsh, Florida Real Estate, Premier Sotheby's International Realty (Premier Sotheby's International Realty) about 1 month ago

Good morning Joe. Thanks for the information. Enjoy your day!

Posted by Wayne Martin, Real Estate Broker (Wayne M Martin) about 1 month ago

We stay at zero on our cards because we do not like paying interest at the rates they have. Mortgages are fine though.

Posted by Joe Pryor, REALTOR® - Oklahoma Investment Properties (The Virtual Real Estate Team) about 1 month ago

Good afternoon Joe - that is a nice easy explanation that everyone can understand. 

Posted by Grant Schneider, Your Coach Helping You Create Successful Outcomes (Performance Development Strategies) about 1 month ago

I agree with Joe Pryor, pay them off every month and avoid the interest!

Posted by Dusty Rhoton, SFR, SRS, CDPE, RSPS, SRES, ABR, GRI, Flagstaff Real Estate (Century 21 Flagstaff Realty) 16 days ago

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