No Stupid Questions

4427 readers

31 users here now

There is no such thing as a Stupid Question!

Don't be embarrassed of your curiosity; everyone has questions that they may feel uncomfortable asking certain people, so this place gives you a nice area not to be judged about asking it. Everyone here is willing to help.

ex. How do I change oil
ex. How to tie shoes
ex. Can you cry underwater?

Reminder that the rules for lemmy.ca still apply!

Thanks for reading all of this, even if you didn't read all of this, and your eye started somewhere else, have a watermelon slice 🍉.

founded 4 years ago

MODERATORS

admin@lemmy.ca

How can I use my new credit card to maximally benefit my credit score? (lemmy.world)

submitted 2 weeks ago* (last edited 2 weeks ago) by cheese_greater@lemmy.world to c/nostupidquestions@lemmy.ca

35 comments fedilink hide all child comments

for bills, is having it on autopay with the biller superior to using it manually to pay that biller? I prefer to manually manage all that as I have for years but I figure its beneficial to get that on a credit card and just make sure its paid off. I already basically use a bills bank account to do essentially this manually
only purchase what I already have set aside/budgeted for and can payoff before the grace period
anything else?

you are viewing a single comment's thread
view the rest of the comments

[–] HappyCatLuvs_U@lemmy.world -4 points 2 weeks ago (1 children)

Seems like you've gotten a million different answers already so here's another for the pile:

What I understand is that keeping about 30% is the sweet spot for the best credit improvement, as others have said, in the end they want to milk you so it's good to show you're willing/able.

So when you go above 30%, you always pay back more than minimum. 1.5 or 2 times what minimum would be. Ideally not all to give them more time to milk you(cumulative interest).

When you are at 30% or lower, you pay the minimum and allow them to build the most interest and try to put some purchases on it to get it back above 30%.

If you do that, it'll show continuous use, a decent roi for them, and that you are able to pay consistently and above minimum so they don't have to worry about you.

[–] pishadoot@sh.itjust.works 6 points 2 weeks ago

You shouldn't carry a balance, it doesn't improve your credit score, just costs you money. Common misconception.

https://sh.itjust.works/comment/27832491

Please ask if you have any questions I'm happy to explain better or more thoroughly.