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Credit card debt levels usually reported once a month
By Oscar Monfort on May 16th, 2010
One of the results of having too much credit card debt is that it can negatively affect a consumer's credit score.
For example, FICO has noted that a person with a credit score of 680 can expect it to decline between 10 to 30 points if they reach the limit on a credit card. Consumers with higher scores can expect them to fall even more.
When a balance can affect a credit score, however, may not be known to card holders. In a recent piece for Bankrate.com, Leslie McFadden said companies report credit balances once a month.
"The next calculation of your credit score would reflect the new level of debt," McFadden said.
Although some consumers may find they can pay off their balances every month and maintain a high credit score, other people may have trouble organizing their finances in a way that allows them to do so.
Those account holders do have an option in the form of consumer credit counseling, which can help by creating a budget that balances how much a person makes against their monthly expenses.
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