Ideal Amount to Spend With Every Credit Card

Ideal Amount to Spend With Every Credit Card

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Aug 11, 2023

Rajeev Kumar

Credit Card users should never let their expenses go out of control. Failure to do so negatively impacts their credit scores.

Ideally, you should spend in a way that your Credit Utilisation Ratio (CUR) doesn’t go above 30%.

Credit utilisation ratio is a significant factor that shows your credit card expenses going out of control is the CUR.

CUR is the percentage of credit limit one uses on their credit card. Maintaining a healthy CUR is crucial for a good credit score.

Experts say a CUR of less than 30% is recommended for consumers looking to maintain a good credit score.

A high CUR indicates that the consumer is using too much of their available credit, which can negatively impact their credit score.

Having less than 30% CUR can help you in maintaining a healthy credit score. It also enhances chances of credit limit increase.

Also, keeping a low CUR can help you avoid high interest charges on credit card balances, especially if you carry a balance from month to month.

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