No. of Recommendations: 2
Is it bad for your credit score to maintain large balances on your credit cards, even though paid on time, rather than paying smaller, more frequent amounts?

As long as you pay on time, and your lender allows you to make payments as often as you want to make them, from a credit score perspective, it doesn't matter how many payments you make throughout the month. What is more important to your credit score is: What is the balance on your card, compared to the amount of credit you have available? If you are aiming to get the best credit score, you should never use more than 10% of your available credit. So if your available credit on one card is $4,000, you should never let the balance on that card get above $400.

AJ
Print the post  

Announcements

UGC Disclosure Notice Regarding Credit Card Posts
Community board discussions about credit cards are not provided or commissioned by banks who may have advertising relationships with The Motley Fool. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser's responsibility to ensure all posts and/or questions are answered.
TMF Credit Center
The Motley Fool Credit Center arms you with real tools and simple messages, that will help you in every credit situation.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement