Post by
HashiriyaS14 »
https://forums.nicoclub.com/hashiriyas14-u11745.html
Sun Oct 31, 2004 12:56 pm
Paying things off immediately does NOT build your credit, it does not positively impact your credit whatsoever.
What helps your credit is carrying a balance, there has to be a RECORD of your borrowing money and paying it back ON TIME, which is what credit is. If you pay it off immediately and do not carry a balance, there is no record of your having borrowed money at all.
So if you want to create good credit, do the following (IF have RESTRAINT):
-Get a couple of cars with the highest limits possible, your total credit limit (combined limits of cards) minus what you've charged (combined balances) is your AVAILABLE credit. This is a big deal for your credit report. High limits + small balance is VERY good.
-Do not switch cards often, when you cancel a card, that part of your credit history disappears. Get like two, and stick with them.
-Carry a balance on each, a SMALL balance, and make the payments every month on time or early. This will build your credit score.
I would advise never using the credit cards for ANYTHING having to do with your car, it's a black hole. Maybe gas/oil changes or something, but certainly not parts.