Originally Posted by
vu0219
I have to disagree. The CRA simply do not know what is your cc avg monthly balance is because the credit card issuer only report the actual balance owe at the end of the billing cycle to the CRA.
So, Utilization is outstanding balance(s) devided by credit limit(s). The calculations are use both individual account utilization and overall utilization from all revolving accounts (although installment accounts does contribute but very small %)
I agree with you about utilization being what's reported on or around the statement date. However,
I think installments count nothing into utilization. My credit.karma utilization (i know some will discount this, despite it acurately reflecting my balances of all cards on or around the cycle dates), has finally dropped from an average of 2-3% to 0% this month with $8000 car loan still outstanding. My total lines reported are double that.