Credit Utilization Calculator

How credit utilization is calculated

Utilization = total balances ÷ total credit limits × 100

Scoring models look at both your overall utilization and the ratio on each card. Balances are usually taken from your statement, so paying before the statement date can lower the reported figure.

Worked example

Balances of $1,200, $800 and $0 on limits of $5,000, $3,000 and $2,000 total $2,000 of $10,000, an overall utilization of 20%. To reach 10% you would pay down $1,000.

What is a good utilization ratio?

Utilization	General view
Under 10%	Excellent
10–29%	Good
30–49%	Fair
50% or more	High; likely to hurt scores

Utilization is one of several credit score factors. Exact effects depend on the scoring model and your full credit history.

Frequently asked questions

Is 0% utilization best?

Very low is good, but reporting a small balance on at least one card can score slightly better than 0% on every card in some models.

Does closing a card raise utilization?

Yes. Closing a card removes its limit, which raises your overall ratio if you carry balances elsewhere.

How fast does utilization affect my score?

It reflects your most recently reported balances, so changes can show up within a month or two.

Do installment loans count toward utilization?

No. Utilization applies to revolving credit such as credit cards and lines of credit.