Not necessarily. The balance of an account does not affect the speed at which you will build or re-build your credit scores. A credit card with a $5,000 balance ages just as quickly as a credit card with a $0 balance. Further, even if you pay your balance in full each month there’s no guarantee that the account will show up on your credit reports with a $0 balance. Credit card issuers report your statement balance to the credit reporting agencies. That means even if you pay your balance in full any subsequent use of the card is going to result in a statement balance greater than $0.

One of the most effective ways to build or rebuild your credit is by responsibly managing your accounts. Maintaining low balances on credit cards and never missing a payment will lead to better credit scores.