This goes hand in hand with maxing out your credit card. Although having a high credit balance is obviously less detrimental to your credit score than maxing out a card completely, keeping a high credit utilization percentage can still damage your credit. The situation can get exponentially more confusing if you have several credit cards with high balances.
¬†How to avoid: Pay off your credit balances before they get too high. You shouldn’t be spending more than you can afford with your credit card unless you’re sure that you can pay it off in a timely fashion using your checking or savings accounts. Credit debt can get out of control quickly, leading to financial struggle and negative marks on your credit report that will last for years.
For more tips on how to help increase or maintain your credit score, call Vitesse Financial toll free at 866.407.9110. Vitesse Financial¬†¬†
has over 15 years of spot-free experience and will handle your case with compassion and care.