Your credit utilization percentage is a measurement of the amount of credit you’re using compared to the amount of credit you have available. In other words, if you have a $10,000 combined limit on your credit cards and you carry a balance of $5,000, then your credit utilization percentage is 50%.
To find out more about the significance of this figure, watch this featured video presented by a certified financial planner. He explains that the lower the percentage is, the better your credit score will be.
If you have more credit card debt than you can reasonably expect to pay off, consider talking to a bankruptcy lawyer in Schaumburg. You can call Cutler & Associates, Ltd. at (847) 961-4572 to request a confidential consultation.