I have a question about one of the "FICO Adverse Action" codes that may be used with denied credit. I have relatively small limits on my 2 cards ($700 on each card) and typically charge 75-90% of the cards each month, but they're always paid in full even before I get the paper statments in the mail (I use online payment). Is this just the nature of the beast? Is there any way that creditors know you pay in full, so that you're not seen as such a high risk because the balance reported on the credit report is, in fact, the balance due on the past statement?
RE: balance to limit on credit It has been my experience that paying in full is not the preferred method for building credit. You will get different spins on this, but my startegy has yielded lower rates and higher limits for many years. Borrow close to the limit, your 75-90% rule works, but make payments for 3-6 months. Let the account sit idle for a couple of months and repeat. Profit from the experience. http://www.creditsense.com
