Ask Experts Questions for FREE Help !
Ask
    Just Dahlia's Avatar
    Just Dahlia Posts: 2,155, Reputation: 445
    Ultra Member
    		  
    #1

    Oct 22, 2010, 11:23 AM
    Building credit
    After a bankruptcy is it better to pay a new credit card in full each month or pay partial.
    I'm trying to build my credit back up and I have heard both ways.
    Gregisteredtrademark's Avatar
    Gregisteredtrademark Posts: 226, Reputation: 35
    Full Member
    		  
    #2

    Oct 22, 2010, 11:45 AM

    The most important thing is that you pay it each month on time and for an amount equal to or greater than the minimum due. You want to try an minimize the amount of debit you carry so try not to carry more than 15% of the limit if possible. After going through Bankruptcy myself I find it therapeutic to pay it off each month.
    Just Dahlia's Avatar
    Just Dahlia Posts: 2,155, Reputation: 445
    Ultra Member
    		  
    #3

    Oct 22, 2010, 02:33 PM
    Quote Originally Posted by Gregisteredtrademark View Post
    The most important thing is that you pay it each month on time and for an amount equal to or greater than the minimum due. You want to try an minimize the amount of debit you carry so try not to carry more than 15% of the limit if possible. After going through Bankruptcy myself I find it therapeutic to pay it off each month.
    So it really doesn't matter as long as it's paid on time?

    I do plan on paying the full amount each month.
    Gregisteredtrademark's Avatar
    Gregisteredtrademark Posts: 226, Reputation: 35
    Full Member
    		  
    #4

    Oct 22, 2010, 04:32 PM
    In the end the bank only reports three things every 30 days. Paid on time or late (30days / 60days / etc.), Current balance due, and credit limit. Keep in mind that it does benefit you to use the card each month, if only for a tank of gas. This way you show activity. Good Luck!
    Just Dahlia's Avatar
    Just Dahlia Posts: 2,155, Reputation: 445
    Ultra Member
    		  
    #5

    Oct 25, 2010, 06:08 PM
    Quote Originally Posted by Gregisteredtrademark View Post
    In the end the bank only reports three things every 30 days. Paid on time or late (30days / 60days / etc.), Current balance due, and credit limit. Keep in mind that it does benefit you to use the card each month, if only for a tank of gas. This way you show activity. Good Luck!
    Thanks again:)
    Fr_Chuck's Avatar
    Fr_Chuck Posts: 81,301, Reputation: 7692
    Expert
    		  
    #6

    Oct 25, 2010, 07:16 PM

    Also never have a balance on it more than 1/3 of the credit limit, having a higher balance can actually hurt your credit. Having them maxed out will make a lower credit score.

    Also careful with paying them off in full each month, some cards will raise your interest rate or even lower your credit limit by doing this. ( since by paying them off, you don't pay interest and they don't make as much money)

    Credit card rules have changed greatly over the last few years.
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Building credit [ 2 Answers ]

What are some ways I can build credit? I currently have no credit at all. I am 23 yrs old and I would like to start taking the first steps to own my own home. I think that building credit may be a good place to start. So, what can I do? Thanks!

Building up credit without a credit card [ 4 Answers ]

Hi, What are the other ways to build up credit other than having a credit card? Please help. Thank you!

Building Credit [ 20 Answers ]

HELLO! I have a credit score of 531... not bad credit just not that much. I have 2 credit cards with $300 limits on both and I own $50 on each, and I have a car loan that I owe $8,500 on. I want to get approved to buy a home but I can't get 100% financing due to low credit score. I have paid...

Building Credit Using Credit Card [ 1 Answers ]

I recently signed up for, received, and have already begun using a new credit card in my own name and own account (my previous card was in my name but under my father's account). I have not yet received my first bill. The main reason that I got the card in the first place as opposed to just using...

Building Credit [ 13 Answers ]

I have bad credit, lol,. I have like a small credit card from a few years ago, I have 6 months renters and a 7000 thousand dollar tool credit... Im screwed, I got a score of under 450... Im trying to build my credit back up... I can't even get a credit card, anyone know how... how should I try to...

View more questions Search