@Anonymous wrote:
@AverageJoesCredit wrote:
I know Amex likes PIF but for the life of me if thats all you want should just stay with charge cards( Amex that is). Not everyone can or will pay back after a purchase. Thats why its called a revolver you should be able to carry a balance if you want to. I know this is frowned upon here and it probably does help to get better clis with them making multiple payments, its just i feel a person shouldnt be penalized for revolving. And if you are doubling your min payment its still better than only paying the minimum. Imho.
I can understand your perspective here, and I think for small periods of time (a few months) this can make sense. However, anyone that carries a balance (a significant one) for more than a couple of months is doing so more than likely because they HAVE to... not because they want to. No one wants to pay unnecessary interest. That said, if someone is carrying a significant balance, and we can infer from them doing it for a length of time (and paying interest on it) that they are carrying it because they have to, it simply doesn't make sense from the creditor point of view to extend further credit to them. That's how I see it, and I assume how they see it as well.
That's exactly right - they think you can't afford to pay off what you've already spent so giving a credit limit increase is a risk.
Carrying a high balance for a long time also runs you the risk of CLD and closure with many lenders. You just hit their risk algorithms the wrong way when you slow pay.
