"Does High Credit Utilization Affect Your Score Even with Timely Payments?"

[bkan]

If I spend Rs 16,000 and make the full payment within two days, will my credit score still be affected due to the credit utilization ratio? My credit limit is Rs 25,000.

 

[hitirfan]

If I spend Rs 16,000 and make the full payment within two days, will my credit score still be affected due to the credit utilization ratio? My credit limit is Rs 25,000.

If u pay before bill generation/ reporting day to CIBIL etc, your Credit Score will not have any negative impact of Credit Utilization. The remaining credit matters

 

[krishna1718]

billed amount after statement generation is treated as utilization if you paid before bill generation then bill amount decreases to pay and it also lower the utilization

 

[Narinder Kumar]

No effect

 

[ironreaper]

billed amount after statement generation is treated as utilization if you paid before bill generation then bill amount decreases to pay and it also lower the utilization

I have idfc first wow credit card and it's statement generation date is 17th of every month that means if I pay all amount before 17 no matter the credit limit I have used it will still no affect my credit score?

 

[Narinder Kumar]

No

 

[knagar0078]

I have idfc first wow credit card and it's statement generation date is 17th of every month that means if I pay all amount before 17 no matter the credit limit I have used it will still no affect my credit score?

Yes, it is like this only.
If you'll pay your Credit Card bill amount before 17th the final generated bill will be the amount you haven't paid.
For example:
If you paid your complete bill on 15th of each month, then the generated bill on 17th will be 0.
And ultimately you will get the rewards in your card but still bank will consider you haven't used your Card and your Credit Score will improve.
But if in case you can't pay the complete amount then try to reduce your bill amount below 30% and pay the rest amount after bill is generated.
Hope this might help you...

Radhe Radhe

 

[ironreaper]

Yes, it is like this only.
If you'll pay your Credit Card bill amount before 17th the final generated bill will be the amount you haven't paid.
For example:
If you paid your complete bill on 15th of each month, then the generated bill on 17th will be 0.
And ultimately you will get the rewards in your card but still bank will consider you haven't used your Card and your Credit Score will improve.
But if in case you can't pay the complete amount then try to reduce your bill amount below 30% and pay the rest amount after bill is generated.
Hope this might help you...

Radhe Radhe

Yes this was really helpful, I had just one short doubt from one of the bikifayti youtube videos there was a chart mentioning different dates where banks send data to Cibil and there IDFC had date of 30/31st but in my case, I only know the bill generation date is 17, so will this have any difference?

 

[hitirfan]

Yes this was really helpful, I had just one short doubt from one of the bikifayti youtube videos there was a chart mentioning different dates where banks send data to Cibil and there IDFC had date of 30/31st but in my case, I only know the bill generation date is 17, so will this have any difference?

Check your Credit Score. There the date of reporting Credit Utilization is mentioned. Pay bill before that date, which will make your Credit Card Utilization low, which will improve your Credit Score.
As per recent RBI rule, the reporting dates have changed. My HDFC card used to report on month end but now they report on 22nd of month

 

[ironreaper]

Check your Credit Score. There the date of reporting Credit Utilization is mentioned. Pay bill before that date, which will make your Credit Card Utilization low, which will improve your Credit Score.
As per recent RBI rule, the reporting dates have changed. My HDFC card used to report on month end but now they report on 22nd of month

Okok got it, thank you very much

 

[hitirfan]

Okok got it, thank you very much

Correction. Now banks report twice a month. In case of HDFC Bank it is 7th and 22nd of month.

 

[ironreaper]

Correction. Now banks report twice a month. In case of HDFC Bank it is 7th and 22nd of month.

Oh man , is there any way I can check when the the report is sent like any app where I can see the report date sent ? I can't see credit score in IDFC mobile banking app

 

[hitirfan]

Oh man , is there any way I can check when the the report is sent like any app where I can see the report date sent ? I can't see credit score in IDFC mobile banking app

Onescore app ami once a month CIBIL amd Experian Score dikega. GPay mai once a month CIBIL. Paisabazaar mai b hote hain kch.

 

[ironreaper]

Onescore app ami once a month CIBIL amd Experian Score dikega. GPay mai once a month CIBIL. Paisabazaar mai b hote hain kch.

OK will keep a track then Thank you

 

[snehad]

See to be precise you can use the complete limit of your credit card as well but u need to make sure to pay timely before the due then there won't be any impact on your credit cards

 

[harsh_ujjwal]

See to be precise you can use the complete limit of your credit card as well but u need to make sure to pay timely before the due then there won't be any impact on your credit cards

Never ever do that until n unless it's do or die situation. One should not max his/her credit limit. This is detrimental to credit score.

 

[hitirfan]

It is to be paid before reporting day, so it won't adversely effect credit score.