Credit utilization is the share of your available credit currently in use. Scores tend to improve as utilization falls. Under 30% is generally healthy; under 10% is excellent when preparing for a major loan. The trick is that utilization is measured at the statement date, not the day you pay. Action plan: make a mid-cycle payment a few days before the statement closes. That lower balance is what gets reported to bureaus. Consider spreading recurring charges across multiple cards so no single card spikes above 30%. And remember: closing a card can raise utilization by reducing your total limit. Do the math before you cancel. Use our utilization helper to simulate how a payment this week will change next month's ratio.