Credit Building Tips – Decrease Your Credit Utilization

Decrease Your Credit Utilization

Decrease Your Credit Utilization

One of the biggest things you can do to raise your credit score rapidly is to Decrease your credit utilization. Meaning you want to bring your balances down to less than 25%. Though less than 10% is even better.

For example if you have a trio of credit cards all with a thousand dollar limit. You’d want to keep the balances on them at less than $250 each. It is kind of like, if you do not need credit, they are happy to extend it to you. But if you do need it. It is almost impossible to find.

Keep Your Finances In Order

Keep your finances in such an order that it looks like you do not need any credit at all. Which means, low usage, low balances, and timely payments.

You can use your credit card throughout the month. Just be aware of when each cards billing cycle closes and reports to the bureaus. BE sure it pay it down before then and only use it again after it reports to the bureaus.

Increase Your Credit Limits

Another option to lower your credit card utilization is to request that your existing credit limits be raised. This will not be an option if you have only recently established credit or are doing so again in an attempt to rebuild. This option exists for those who have had a relationship with their card issuer for at least 6 months or more. Though the longer good history that you have the better in this case.

Sometimes requesting an increased credit line will result in an inquiry being placed on your report, but not always. You just have to ask and make sure.

Contact Devon

Should you have any questions about rebuilding credit, eliminating debt, stopping collection calls, or what to do about wage garnishments, please feel free to contact us with the form below.

You have questions.

We have answers.

Contact Devon

720-515-9887

Devon Barclay PC

    The information provided on this site is not legal advice. The attorney listings on the site are paid attorney advertising. Each of the attorneys promoted through this website are promoted based upon their willingness to pay for the advertising. This website is not an endorsement of the attorneys’ services. The site is not a lawyer referral service or prepaid legal services plan. In some states the information on this website may be considered a lawyer referral service. No attorney-client or confidential relationship is or will be formed by use of the site. Photos are models and are not actual clients. Prior results do not guarantee a similar outcome. By an Act of Congress and the President of the United States, the attorneys who advertise through this website are Federally designated Debt Relief Agents. They help people file for relief under the U.S. Bankruptcy Code. Disclosures Required Under the U.S. Bankruptcy Code.