Credit Utilization
The percentage of your available credit you are using. It is 30% of your credit score — the fastest-moving factor you control.
By Findley's Finance · Last reviewed: September 2026
Why it matters
Utilization is the rare score factor you can fix in a single billing cycle: pay balances down before the statement closes and the ratio drops next month. Lenders read high utilization as distress, even if you pay in full — the score sees the reported balance, not your intentions. Keep it well under 30% of each card's limit, lower if you are about to apply for a mortgage.
Concrete example
A $3,000 balance on a $10,000 limit is 30% utilization. Paying it to $1,000 drops you to 10%.