It is better to keep a small balance instead of having the cards paid off.

If you keep your balance low and pay it consistently and promptly your credit rating will go up. This builds credit credit worthiness in the eyes of creditors.

If you keep paying off the balance, it does not create credit worthiness. It shows creditors that you already have the funds to complete your transactions so why should they raise your credit? So if you purchase an item for $50 then pay off the $50 the next month and keep repeating the cycle every mont, it does not build credit. It is actually looked at as a revolving credit and that’s a bad thing.

Good luck.

You don’t need to carry a balance. It is the payment history that matters most. Make a small purchase every month and then pay it off when the bill comes.

First of all, pay all the cards off. Carry no debt.

Then, use one card to buy a regular expense, like fuel or groceries, and then repay it immediately using phone or internet banking. Repay extra. As in, if you owe $15 on the card, repay $16 immediately. That will tell lenders that you are a really good repayer, and gradually your credit history will improve.

Don’t carry any debt over on the cards. Pay them off immediately, and just use one to prove that you know how to handle a credit card. That debt is the banks way of robbing you blind with interest.

Always pay more than the minimum. If you have multiple cards, pay the highest interest rate card down first, while making minimum repayments on the others. Then move your extra repayments to the second highest interest rate card, when the first is cleared. When you’re debt free, use the card to prove to the lender you know how to handle borrowed money.

Best wishes