Does purchasing, and then paying off debt increase credit score?

I am wondering if it is smart to do this - instead of using cash, only use credit card to make purchases, and then at the end of the month pay the bill in its entirety. Under the credit limit, of course.

I just got a card. And yes I read all the fine print, highlighter in hand.

Does purchasing, and then paying off debt increase credit score?

I did exactly what you described for 12-months and raised my score over 150-points.

Just be sure never to exceed 30% of your credit limit in any given month.

Does purchasing, and then paying off debt increase credit score?

That is what I usually do. It increases your credit score as long as you make the minimum payment each month. Creditors just want to see that you can make your payments on time. Also, on the flipside, it is great for getting award points/and or miles depending on your credit card.

Does purchasing, and then paying off debt increase credit score?

as long as you pay it off and don%26#039;t incur any finance charges that is an excellent way to boost your credit score

Does purchasing, and then paying off debt increase credit score?

I find that your credit limit increases when you finally pay off large debt that you%26#039;ve only been making minimum payments on for a while. If you pay regularly at the end of the month, they don%26#039;t seem to increase your limit that much. Just what I%26#039;ve noticed...

Does purchasing, and then paying off debt increase credit score?

as long as you keep your balance 30% under your credit limit and pay twice the minimum payment each month.

Does purchasing, and then paying off debt increase credit score?

That most definitely will increase your credit score. But why not just eliminate the middle man? If you have the cash to pay for something, why not just use cash? That way you don%26#039;t need to worry about paying someone else back. If something happens where a payment is missed, even one, then all that work you would have done will be for naught. Even one missed payment using the current FICO score can cause havoc on your credit score. I know the new FICO 08 formula will be more forgiving, but it is too much hassle for me to remember to pay someone else back.

I have used credit cards before and I prefer using my own money. A high credit score mainly comes in to play when one needs to borrow money, something I don%26#039;t want to do any more. I use my own money for everything, including emergencies. It really helps me determine what really is an emergency (car repairs, medical bills) as opposed to false emergencies (Christmas, vacations).

Does purchasing, and then paying off debt increase credit score?

Bad idea.

If you play the credit card game sooner or later you will get behind and start losing. Once you get behind at the credit card game its hard to get out of the game. High interest rates that they can raise for any reason. Outrageous late and over the limit fees.

Look through these forums for a few days and you will see all the people that have played the credit card game and lost.

don%26#039;t obsess with the fico score. It%26#039;s based soley on debt.

How much debt you have.

How often you make payments on debt.

What kinda debt you have.

How long you have had debt.

It%26#039;s an I love debt score.

Pay as you go. Live on less than you make and you will have money.

Does purchasing, and then paying off debt increase credit score?

Credit cards allow us to pay for things the cashless way and do it by an easy credit. They bring a lot of simplicity to our lives but credit cards have their own drawbacks. Here are a few of them.

High interest rates

By far the biggest drawback of credit cards is the high cost of loan. The APR%26#039;s for purchase, balance transfer, cash advance etc. are very high and skyrocket if you miss on few payments. These interest rates make the actual cost of any purchase higher because of the high interest rate component. So, the money with credit card is easy money but at a very high interest rate.

Easy to spend

Money is awfully easy to squander with credit cards. Just a swipe and its done. This ease and the fact that credit card companies encourage spending with lucrative discounts, cashback etc. can drive a credit card holder into buying frenzy, which can drastically increase the credit card debt.

Read more from: http://www.credit-card-gallery.com/artic...