Quote:
|
Originally Posted by Key
so now when you say it's good to carry little "outstanding unsecured credit "debt".. by "debt" do you mean any balance at all, or a balance that was unpaid and interest is now being collected on it?
if you mean ANY balance, then does that mean i should keep them as low as possible, for example a pack of gum on each credit card (just so there's SOME balance to pay off), and nothing else (thus only using 50 cents out of a $5k card)? i think that's what trips me up. it's bad to have zero use, and it's bad to have more than 50%, so i'm trying to find that happy medium point i should stay at.
i also have a student loan i'm paying off at the moment (which i'll be consolidating this month) if that means anything
|
Basically, some people take credit cards to the extreme. I would imagine that it would be best for you to keep your total unsecured debt low, but it doesn't mean you can't carry any balances at all. If you have a grand or two in unsecured debt, it isn't really anything to worry about, but when you have 5k+ it will put a serious dent in your score...