What Is Credit Utilization?
From the SB Advisors Academy money glossary · Free, no signup
The percentage of your available credit limit that you are currently using. Keeping it below 30% positively impacts your credit score.
A worked example
You have a $5,000 credit limit and carry a $1,200 balance. Your utilization is 24%, within the healthy range.
Category
Part of the "Credit and Debt" group in the money glossary.