Increasing Credit Rating

RheaSilva

I'm planning to spend a bit more than usual on my credit card (which is about 19%) to help boost my credit rating a little. Although I checked my rating with Experian, there seems to be loads of posts that indicate my 999 result isn't particularly useful, so I thought I would do something a little more proactive.

My question is, for this to have any effect, do I have to build up the amount over the month and then pay it off just before the payment is due? Or can I pay it day to day as I go along, which is what I would prefer to do.

izools

If you have a low or NIL balance on your credit card and it is being reported as [0] on your credit file each month you need to do nothing.

Having a low / nil balance and making your contractual obligations each month whilst always paying more than the minimum (when applicable) has a positive effect on your credit worthiness.

The closer to the limit you get, the more your credit worthiness drops.

If PAYG is what you would prefer to do, go for it This will keep the balance that is reported close to NIL whilst keeping the account alive.

Well done for responsible use of your credit card, carry on :beer: