"Card utilization" refers to how much of your available credit you are using on a credit card. It is often expressed as a percentage. For example, if you have a credit limit of $1,000 and you have used $500, your
card utilization is 50%. It helps lenders assess how responsible you are when it comes to using credit and managing your debts. A lower
card utilization percentage is generally considered better because it shows that you are not heavily relying on credit and may be more likely to repay borrowed money.
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