Your utilization is sensitive because you’ve only got $700 in available credit.
In a few years, between limit increases, perhaps picking up a few more cards, you’ll have a much larger amount of credit available to you and your utilization will stay relatively low.
My monthly credit card bill is between $5k and $7k, but between the seven cards I have open, I’ve got about $80k of available credit. My utilization is much lower than yours, so my credit score is pretty stable.
AdChemical1663 t1_jebar0f wrote
Reply to Why are we encouraged to charge everything to a credit card but get penalized for high credit utilization? by New-Row7111
Your utilization is sensitive because you’ve only got $700 in available credit.
In a few years, between limit increases, perhaps picking up a few more cards, you’ll have a much larger amount of credit available to you and your utilization will stay relatively low.
My monthly credit card bill is between $5k and $7k, but between the seven cards I have open, I’ve got about $80k of available credit. My utilization is much lower than yours, so my credit score is pretty stable.