What precentage of the total credit limit should you use?

cogitoergosum

Hello I am still in high school and I just got my first Capital One secured card when I turned 18, they gives me £200 credit limit after I paid £49 deposit.

And now I am wondering how to improve my almost blank credit file, I heard that you shouldn't use more than 30% of your CL to get a good credit score, is that true? And what %should I use on this card to maximise my credit score in the short term?

Thanks a lot.

[Deleted User]

Whatever you use pay it back as soon as its due, do you have a contract mobile? they can help build credit score, which by the way means almost nothing as far as lenders are concerned.

[Deleted User]

On a low limit card, it's not too important. But I'd keep it under £150.

Ignore your credit score. It means nothing.

cogitoergosum

In fact before I got accepted for Capitalone, I've been declined by Aqua, Vanquis, Barclay, AMEX(oh why should I even try lol) etc. And I don't want to stick with low limit and high APR card for too long before I can get hands on the better cards. And this requires a better profile I think, so how can I build it?

[Deleted User]

Use the card regularly, clear in full each month.

HappyMJ

cogitoergosum wrote: »

Hello I am still in high school and I just got my first Capital One secured card when I turned 18, they gives me £200 credit limit after I paid £49 deposit.

And now I am wondering how to improve my almost blank credit file, I heard that you shouldn't use more than 30% of your CL to get a good credit score, is that true? And what %should I use on this card to maximise my credit score in the short term?

Thanks a lot.

Use as much as you like. Just be careful of the low limit you could easily spend £200 before a payment reduces the outstanding credit available. I'd aim to spend no more than 50% of the credit limit each month which should get you very close to 100% of the credit limit by the time the payment is made. Always pay in full.

System

Just using it regularly up to 50% of the limit each month to start with and pay in full each month. After six months you will be for sure available for better deals hopefully. I came in the uk on September 2015. My first credit card was Barclaycard on December 2015 with 400£ limit. Today after six months I have the following cards: 1) Barclaycard: 800£ (34,9%apr---0% on purchases for 12months), 2) First direct: 500£ (18,9% Apr---0% BT for 27months), 3) Vanquis: 500£ (39,9% Apr), 4) Capital one: 200£ (34,9% Apr)

Dobbibill

There is no quick process.

Do as advised, it is time (a consistent payment history over a length of time, the longer the better) that improves how you look to potential lenders. Just make sure that when you are checked in the future, they find sensible use, with full payments each month.

PeacefulWaters

Deleted_User wrote: »

Use the card regularly, clear in full each month.

Here's the clear and concise answer.

Just use the card, don't get close to credit limit, always repay in full.

Dandytf

cogitoergosum wrote: »

Hello I am still in high school and I just got my first Capital One secured card when I turned 18, they gives me £200 credit limit after I paid £49 deposit.

And now I am wondering how to improve my almost blank credit file, I heard that you shouldn't use more than 30% of your CL to get a good credit score, is that true? And what %should I use on this card to maximise my credit score in the short term?

Thanks a lot.

Clearscore suggests do not exceed 30%, though most of us have prob been there at some point.

wideboy09

Deleted_User wrote: »

Use the card regularly, clear in full each month.

Just curious, say I had a card with a £250limit, would spending say £100 on fuel in one go look any better or worse than spending a tenner in shopping 10 times throughout the month? Paying in full is a given for this question