Paying my credit card minimum keeps hurting my score, and credit limits. What Are my options to fix?

A Reddit user, facing job loss, has resorted to paying only the minimum due on his credit cards, resulting in a significant credit score drop of over 120 points. Credit card companies are reducing his credit limits due to this minimum payment strategy, signaling to them a higher default risk. Other Redditors suggest that to fix this financial issue, he needs to either pay more on his balances or become an authorized user on a card with a higher available credit limit to stabilize his credit score.

The Reddit user's credit score dropped by over 120 points after losing his job and only making minimum payments on his credit cards.

Banks are engaged in "balance chasing," reducing credit limits when borrowers only pay the minimum due, as a sign of potential default risk.

Read at 24/7 Wall St.