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  • FIRST POST
    • DarrenJInglis
    • By DarrenJInglis 6th Dec 17, 11:55 PM
    • 27Posts
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    DarrenJInglis
    Credit card query
    • #1
    • 6th Dec 17, 11:55 PM
    Credit card query 6th Dec 17 at 11:55 PM
    Hi guys,

    I'm just curious, is it better for your credit history to use your credit card on everyday purchases and pay it off immediately? Because then the CRA's and lenders can see a steady usage of credit usage? Or does it not make any difference if I were just using it sporadically?

    Thanks in advance
Page 1
    • Nebulous2
    • By Nebulous2 7th Dec 17, 2:29 AM
    • 1,655 Posts
    • 1,003 Thanks
    Nebulous2
    • #2
    • 7th Dec 17, 2:29 AM
    • #2
    • 7th Dec 17, 2:29 AM
    The best way is to use it regularly, stay well within your limit, and pay it off after your statement. Make sure you pay on time.

    Remember it is a tool - a payment method which defers the need to use your own money now. Don't get into a situation where you are spending money or paying interest for some dubious benefit.
    • Dobbibill
    • By Dobbibill 7th Dec 17, 6:17 AM
    • 2,553 Posts
    • 3,642 Thanks
    Dobbibill
    • #3
    • 7th Dec 17, 6:17 AM
    • #3
    • 7th Dec 17, 6:17 AM
    As the CC reports monthly to the CRAs paying it off immediately may cause it to appear as though it's never used reporting a zero balance.

    Use regularly and pay off in full by the due date on your statement.
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    • Anthorn
    • By Anthorn 7th Dec 17, 7:22 AM
    • 3,302 Posts
    • 849 Thanks
    Anthorn
    • #4
    • 7th Dec 17, 7:22 AM
    • #4
    • 7th Dec 17, 7:22 AM
    As the CC reports monthly to the CRAs paying it off immediately may cause it to appear as though it's never used reporting a zero balance.

    Use regularly and pay off in full by the due date on your statement.
    Originally posted by Dobbibill
    The same can be true if you clear the balance every month depending on the payment date compared with the date the lender reports to the CRA. It can happen that the history of the account is a history of nil balances and the only way a lender will know that you are clearing the balance every month is by looking at the payment field in the credit history. In my experience lenders are unlikely to look at the history of payments if the account is in good order.
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