Utilisation: The Fastest Lever You Have

Utilisation is your reported balance divided by your limit. It is measured two ways at once: on each individual card, and across every revolving account you hold.

Why it moves so fast

Unlike payment history, utilisation carries no memory. The bureaus see whatever your issuer reported on your last statement date. Change that number and the score follows within a cycle.

The statement-date trick

Most people pay their bill on the due date. But issuers report to the bureaus on the statement closing date, which is usually two to three weeks earlier. Pay the balance down before the statement closes and a lower number gets reported — even though you have not changed a thing about how you spend.

• Find your statement closing date on the card app.
• Pay the balance down two or three days before it.
• Leave a small balance — a few dollars — rather than zero.

What number to aim for

Under 30% is the common advice, and it is fine. Under 10% is where the strongest files sit. Reporting 0% across every card can actually cost a few points, because the model wants to see you using credit responsibly, not avoiding it entirely.

One more thing: closing a card removes its limit from the denominator. Your balances stay the same, your available credit drops, and utilisation jumps. Think twice before closing an old card you are not paying for.