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Credit Utilization Calculator

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Calculate your credit utilization ratio across all your cards, see how it's affecting your score, and get tips to improve it.

Free Tool  ·  For Canadian Credit Cards  ·  Updated 2026

Enter Your Credit Cards

Card 1
Card 2
0%
Overall Credit Utilization Rate
0%10%30%50%70%+

Per-Card Breakdown

CardBalanceLimitUtilization
To reach 30% utilization (recommended target), your total balance should be: $0
To reach 10% utilization (excellent), your total balance should be: $0

How Utilization Affects Your Credit Score

Utilization RateScore ImpactRatingWhat It Means
1 to 10%+++ Very PositiveExcellentIdeal for highest possible score
11 to 30%++ PositiveGoodWithin recommended range
31 to 50%0 Neutral/Slight NegativeFairStarting to affect score
51 to 75%NegativePoorNoticeably reducing score
76%+Very NegativeBadSignificantly hurting your score
0% (no balance)+ PositiveGreatBut less than 1 to 10% utilization

How to Lower Your Credit Utilization

Pay Down High-Balance Cards First

Pay down the card closest to its limit first. Even reducing one card from 90% to 30% utilization can boost your score significantly within one billing cycle.

Request a Credit Limit Increase

Call your credit card issuer and request a limit increase without increasing your spending. Higher limit = lower utilization ratio. This works if you've been on time with payments.

Pay Before Statement Date

Credit card issuers report your balance to bureaus on your statement date, not your due date. Pay before your statement closes to report a lower balance, even if you pay in full monthly.

Spread Balance Across Cards

$3,000 on a $4,000 limit card = 75% utilization (bad). But $1,500 on two $4,000 limit cards = 37.5% per card. Spreading debt can improve per-card utilization ratios.

Keep Old Cards Open

Don't close old credit cards even if unused. Keeping them open increases your total available credit, which lowers overall utilization. Just use them occasionally to keep active.

Build Credit Without a Credit Card

KOHO Credit Builder reports to Equifax and TransUnion, with no credit check. KOHO lists it at $10 a month, and its paid plans carry a discount on that price. Worth a look for newcomers or anyone building credit from scratch.

Build Credit Without Affecting Utilization

KOHO Credit Builder adds a credit account to your file without adding debt, so it will not affect your utilization ratio. You pay the monthly fee, KOHO lists it at $10 a month, and the account gets reported to both bureaus.

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Credit Utilization FAQ

What is the ideal credit utilization ratio in Canada?

Keep your credit utilization below 30% for a good score, and ideally below 10% for the highest possible score. This applies to each individual card AND your overall total across all cards.

Does credit utilization affect your score in Canada?

Yes. Credit utilization accounts for approximately 30% of your credit score with Equifax and TransUnion in Canada, making it the second most important factor after payment history (35%). High utilization is one of the fastest ways to lower your score.

How quickly does lowering utilization improve your score?

Very quickly, usually within one billing cycle (30 days). Once your card issuer reports a lower balance to the credit bureaus, your score can improve within 30 days. This is one of the fastest legitimate ways to boost your credit score.

Does paying off a credit card improve credit utilization immediately?

Your utilization improves once the payment is reported to the credit bureau, which typically happens on your statement date. The actual payment posts faster, but the bureau update usually takes 1 to 2 business days after your statement closes.

Does KOHO affect credit utilization?

No. KOHO is a prepaid card, not a credit card, so it does not have a credit limit and doesn't contribute to your utilization ratio. KOHO Credit Builder adds a separate credit account that helps your score without adding to utilization.

This calculator is for informational purposes only. Credit scoring models vary by bureau and lender.