What this calculator does
Credit utilization is the share of your available credit card credit that you are using. It is one of the things credit scoring formulas look at. Enter each card's balance and credit limit, and the calculator shows your utilization for each card and for all cards together, and how much you would need to pay down to bring it to 30% or 10%.
How it is worked out
Utilization = balance ÷ credit limit × 100. Overall utilization = all balances ÷ all limits. Example: $1,500 on a $5,000 card, $2,500 on a $3,000 card and $0 on a $4,000 card is $4,000 of $12,000, or 33%. Paying down $400 brings it to 30%; paying down $2,800 brings it to 10%. The second card alone is at 83%, which some scoring models may also notice.
What the CFPB says
The Consumer Financial Protection Bureau says many experts recommend using less than 30% of your total credit limit, and that people with the highest credit scores often use less than 10%. You do not need to carry a balance to build credit: paying in full each month avoids interest (CFPB). Paying on time matters most.
Ways to lower utilization
- Pay before the statement closing date, so a lower balance is reported.
- Make more than one payment a month.
- Keep old cards with no annual fee open if you can manage them; closing a card lowers your total limit.
Frequently asked questions
What is a good credit utilization ratio?
The CFPB says many experts recommend less than 30% of your total credit limit, and that people with the highest scores often use less than 10%.
Does utilization count per card or in total?
Scoring models can look at both: your overall rate and the rate on each card.
Which balance is reported?
Usually the balance on your statement, which is why paying before the statement date can lower the utilization that is reported.
Is my information saved?
No. The numbers stay on this page.