Free tool

Credit Utilization Calculator

Add your cards. We'll calculate per-card and aggregate utilization, flag the cards dragging your score, and tell you exactly how much to pay down to cross the 30% and 10% thresholds.

Card name
Balance
Credit limit
Aggregate utilization
0.0%
$0 / $0
0% — sub-optimal
0% reads to FICO as 'not using credit'. Aim for 1-9% for max score.
0%10%30%50%100%

How utilization affects your FICO score

Credit utilization is 30% of your FICO score — second only to payment history (35%). FICO weighs both per-card and aggregate utilization. The penalty curve is non-linear: each 10-point band has a different score impact, with the steepest losses above 50% and fast recoveries between 30% and 10%.

Two key thresholds:

  • 30%: the standard "keep utilization below" threshold cited everywhere. Below this, the FICO penalty drops dramatically.
  • 10%: the optimization target. Sub-10% is where 800+ scorers cluster. Below 10% you're capturing virtually all available utilization-driven score.

Utilization is the fastest-moving FICO factor — payment history takes years to fix, length-of-credit takes years, but utilization can move at the next reporting cycle (~30 days). Pay down a balance before the statement closes and the new lower number is what gets reported.

Common questions

What's a good credit utilization ratio?

Below 30% is the standard threshold; below 10% is the optimization target. 0% is slightly worse than 1-9% — FICO wants to see active credit usage.

How often does utilization update?

Roughly every 30 days, at your statement-close date. Pay before the statement closes to ensure the lower balance is what the bureaus see.

Should I close a credit card to lower utilization?

No — closing reduces total available credit and increases utilization. Keep cards open with $1/year auto-pay if you don't use them.

Will requesting a credit-limit increase hurt my score?

Most major issuers (Chase, Discover, Citi, Capital One) offer soft-pull limit increases via in-app request. Higher limits = lower utilization at the same balance = higher score.

Utilization is one of three FICO levers.

CreditCougar pulls all three: utilization (this calculator), payment history (FCRA disputes against incorrect late marks), and length-of-credit (don't close old cards). Run the full Cougar Method on your credit file.

Start the hunt — $1 trial

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