I generally try and keep my credit utilization on my credit cards as low as possible, by having a high limit, and making payments frequently to keep the balance low.

I was looking on my Equifax account, and noticed that for my mobile phone plan, it showed as using 48% of available credit (since the account allows roughly 2 months of service as credit).

I pay the bill automatically at the end of each month, but I was still wondering if having that high utilization rate, despite being a small amount of money, could still be holding my credit score back? I'm wondering if it would be smart to pay an extra month in advance, to keep the utilization negative or at 0.

  • Do you have a device payment plan with the provider? Typically for postpaid contracts, they'll pull your credit when opening an account, but not report further details to credit bureaus. Credit bureaus have been considering adding additional recurring bill payments to reports (more data for them to sell), but I'm not aware of this practice occurring with any of the major carriers in the U.S.
    – arcyqwerty
    Commented Nov 21, 2020 at 6:42
  • Why would a mobile phone account be treated as credit, rather than a monthly bill like rent or utilities?
    – jamesqf
    Commented Nov 21, 2020 at 16:30


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