When it comes to your credit score, you probably know that your payment history plays a huge role. But did you know that the second most significant factor is your credit utilization ratio? This ratio measures how much of your available credit you’re using and can heavily influence your creditworthiness. It’s easy to overlook this aspect, especially if you’re more focused on paying off existing debts or even considering options like debt settlement. However, maintaining a low credit utilization ratio is crucial for keeping your credit score healthy. Let’s dive into what credit utilization is, why it matters, and how you can keep it low.