Credit Card Utilisation and Credit Limits

justastudent

Hey all,
I have a credit card and I want to understand how utilisation works and how it is reported to the CRA's, alongside how does this affect credit limit increases
Let me give an example to illustrate my questions:
Say there is a card with a £1000 limit on it and that I use this card for ALL of my spending per month as it pays Cashback
So say at the end of June my statement balance is £750 (750/1000 = 75% utilisation)
Now, I have a direct debit set up and repay in full each month to avoid interest and to not offset the rewards
My question is: if I am repaying in full each month and a 75% utilisation is being reported to Experian for instance, this is dragging my score down - will this impact me in getting limit increases in the future and is there a way to prevent this (i.e. repaying £500 a few days before the statement is generated so only 25% usage is reported and then pay that (£250) in full each month?) or should I ignore utilisation and use the card as normal, repay each month, until the company gives me an increase so that my spending would be utilising less (if that makes sense)? 
Or would this high utilisation actually impact me negatively and it would prevent me getting limit increases even though I am paying in full each month?
I know I could just ask for a higher limit but I've just got the card last month and don't want to seem like a reckless spender

Thanks:)

[Deleted User]

If you're clearing in full ,then utilisation isn't an issue.  

It also doesn't matter what score Experian give you because of it. No one will ever see it or care about it.

justastudent

Deleted_User said:

If you're clearing in full ,then utilisation isn't an issue.  

It also doesn't matter what score Experian give you because of it. No one will ever see it or care about it.

okay awesome thanks! and do you know anything about AmEx and credit limit increases?? like how often they give them or how generous they are?  (assuming you pay in full each month and use the card a lot but always within the limit)

adamp87

Your credits judged over time, so a month isn’t enough to judge on.

If you are consistently using close to your limits and not paying it off potentially that’s looking you are struggling with money. But if it’s cleared every month you should have any issue

D3xt3r5L4b

justastudent said:

Deleted_User said:

If you're clearing in full ,then utilisation isn't an issue.  

It also doesn't matter what score Experian give you because of it. No one will ever see it or care about it.

okay awesome thanks! and do you know anything about AmEx and credit limit increases?? like how often they give them or how generous they are?  (assuming you pay in full each month and use the card a lot but always within the limit)

Depends.
My Amex seems to increase every 3 months and I’m in the 5 figure limit with them now. 

funkycredit

Do Amex send an email or write a letter when they increase your limit & is it instant or in XX days? 

Thanks

dr_adidas01

funkycredit said:

Do Amex send an email or write a letter when they increase your limit & is it instant or in XX days? 

Thanks

They usually send a letter saying we are increasing your limit on xx day. It’s usually 30 days in total as since the law changed they are required to give 30 days notice. 

funkycredit

Thank you - answered perfectly. Cheers.