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Limit vs. High Credit


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OK, so we know that some folks dont report the credit limit to the CRAs, thus your utilization is hurt. Those that I can remember are Kay's Jewlers and Crap 1, I remember these two becasue I have both. Now since they do not report the CL but do report the High Credit, can you raise your HC value for one cycle, pay that off and then when you credit score is calculated your HC takes the place of your non-reported CL?

This is how I read it, I just want to make sure before I go in and blow a wad in Kay Jewlers...

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I did that with my cap1 card and gained around 30 points right up front just for getting the utilization down. Instead of my credit limit hovering around my balance all the time, the balance is much lower than the high limit. Can't wait to be able to pay even more on it to help the utilization further.

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Target Guest card does the same thing. I have a Guest card with a $20 high balance, but a $300 limit. I paid it in full last week and sure enough, it is reflected today in my scores. Since Exp and TU report the limit as $300, it had only a very minor effect, like +2 points. But Equifax score jumped +8 points, proving that they are using high balance to calculate limit. Equifax had my card at 100% util, now it is 0%.

To Jethro- I think what he is saying is to use the card, but make sure the statement closes before you pay the balance. You don't want to buy a bunch of sh*t then find out that the high balance never even changed since you paid it too quickly. You still won't pay a dime in interest. OR you could buy items equal to your limit on the card, wait for the statement date to pass, then take it back.

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Hmm, my understanding is that high balance is just that, high balance. Not high balance as of the billing date but overall. You can just peg the card to the max and pay it off immediately and still have it report as high balance.

yes overall, but since Cap1 does not report your CL, best to let them report your balance first so it's recorded before paying it down or off. This way, it will be the high balance until such time you go over that amount if you ever do.

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