- The credit card company reevaluates how much credit they want to give you every 3 to 6 months. So if you have a high balance or they see your tax form and see you made less money last year then you said or anything. They can lower your limit and your credit usage percent will go up or you may have a new limit lower than your balance and need to pay off more so it won’t go into collection.
- You don’t need to carry a balance. Carrying a balance to a credit card company means you didn’t have enough money in your paycheck to pay off your balance in full. You need to pay off your total balance for the credit card company to not consider you a liability.
- You can pay off your cc as soon as a transaction is posted to your account. That means you can pay multiple times a month as soon as the transaction is processed on to your account which is usually a few business days.
- Your calculated percent usage is the total you used that month even if you paid it off multiple times that month. it’s all included in what’s calculated as how much you used that month by many companies.
- Be careful of predatory agreements in your credit card’s contract. You will still owe interest in many companies like capital one even after fully paying off your card for the next 3 months. When you ask why they’ll say it’s in the contract of their card.
