Using a credit card to build score. Correct method.

skyboy88

Hi all.

Basically after some advice. I have been building my credit score steadily now for 3 years. I have 2 credit cards, a AMEX Platinum cashback & an Ulster Bank (RBS) MasterCard.

I had been using my UB card sometimes but not regularly. I have since started using the AMEX to take advantage of the £100 max cashback to which I have achieved. I am wondering what is most attractive to lenders? Using both a lot, both a little, one a lot... you get the picture.

Currently the credit club have my usage of the AMEX @ 23% and the UB card @ 1%. any help greatly appreciated.

Ebe_Scrooge

There is no point in trying to increase your score - it's meaningless.


But to improve your credit history, it's probably best to use both cards a bit. Not using them at all does nothing to improve your rating; equally, regularly running a card up to its limit is not a good idea. Use them both little and often, making sure you always repay in full and on time.


Obviously, if you get any kind of rewards with one card and not the other, then it makes sense to favour the one with rewards. But it's still worth putting a small amount through the other card every few months, just to keep it active.


But purely in terms of improving your credit history, use them both, but try to avoid going over, say about 70% or so, of your credit limit.

Fireflyaway

I'd say use both a little. Always pay off in full, never withdraw cash and don't use the whole available balance. It might be that not both show on all credit files. I've had loans / cards in the past that show up with experian but not Equifax and vice versa.

skyboy88

thanks guys, sound advice. I will use both!