Adam McCann, Financial Writer
@adam_mcan
If your credit limit is $2,000, you should ideally spend around $20 to $200 each month, then pay off your full statement balance by the due date. This will help your credit score increase as fast as possible and allow you to avoid paying interest.
If you can’t manage to spend this little on your card, just strive to keep your spending below 30% of your credit limit. Once your credit utilization exceeds 30% of your credit limit, it starts being detrimental to your credit score.
How Much You Should Spend With a $2,000 Credit Limit
- Spending between $20 and $200 per month is best for your credit score.
- You should avoid having a balance above $600 when your monthly statement gets generated.
- Even if you spend $0, your credit score will still improve just by having the account open.
In case you need to spend more than 30% of your credit limit in a given month, you should pay off some or all of your balance early. The balance listed on your monthly credit card statement is used to calculate credit utilization.
People also ask
Is $2,000 a high credit card limit?
No, $2,000 is not an especially high credit card limit. Generally, a high credit card limit is considered to be $5,000 or more, and you will likely need at least good credit and a solid income to get a limit that high. A credit limit of $2,000 is also lower than the average credit card limit.
Keep in mind that even if you start off with a $2,000 credit limit, that’s not necessarily the limit you’ll have forever. After...
read full answer by Adam McCann, Financial WriterHow much of a $2,000 credit card should you use?
You should use less than 30% of a $2,000 credit card limit each month in order to avoid damage to your credit score. Having a balance of $600 or less when your monthly statement closes will show that you are responsible about keeping your credit utilization low.
If you want to go beyond just avoiding credit score damage and instead improve your credit score as quickly as possible, the best way to do that is...
read full answer by Chip Lupo, Credit Card WriterDid we answer your question?
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