Credit score and maxing up credit limit (within £100)

[Z064life]

Hi,

Does maxing out your credit limit (within £100 in my case) but being able to pay it off in full at once, harm your credit score?

I would say this looks good, but I do hear mixed opinions on this. Can anyone clarify?

[Rick101]

Being at your max credit limit = Bad

[QBee]

Part of your credit score is the ratio of the amount of credit used compared to the total of all your credit limits. A high ratio is bad for your credit score.

To improve your score, apply for and obtain more credit cards, and then use each one only to say 35% of the credit limit. Note that it will take three months for this to percolate through to your credit score.

[Z064life]

Yeah good idea.

But this is just a one-off, so would it really matter? I do have an experian account so I can check it too.

[QBee]

In the long run no. If you are applying for a mortgage before 30 June, maybe.

[Sarnie]

Z064life said:

Yeah good idea.

But this is just a one-off, so would it really matter? I do have an experian account so I can check it too.

If you are not intending to apply for credit whilst holding this balance then its completely irrelevant.......if you are then it will impact your score. You may have the cash to clear it but lenders can't see that on your credit file.