In the lender's eyes... PIF or carry a balance?

[Revelate]

On phone, but letting a maxed out card report a balance was the old school method as a lot of cards didn't report limits.

I don't think it matters much anymore though I still do it personally if I can. Lenders get lazy either in reviews or in their application programming, high balance set near limit, current balance near $0 at application time to my small mind shows easy use and justification for more credit, but this is completely coloring at the margins and hardly required.

[froggyzsn]

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@blk8 wrote:
If you don't have the 0% intro interest promo, then yes.

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ahh, i do have the 0% promo so i might as well pif my statement balances and request a pif myself after 6 months.

[froggyzsn]

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@Lambo23 wrote:
Dang!!! I just paid my balance to 0$ before my first statement cut. ugh

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I would suggest using Blk8's method starting your second statement. I dont see why you wouldnt get the same results by month 7, ya know?

[parakleet]

@blk8 wow. Thanks for this advice! I just got my new chase cards so I will definitely be trying out this method!

[RockinRay]

Always PIF if you can.

As others have stated, they make swipe fees from the transaction. No card issuer will go hungry! 

[Lambo23]

The thing with blk8's method is that it takes away from being able to use the card for everyday purchases. Or am I totally misunderstanding what he means?
I take it like this:
Month 1: I use my card for $400 in total charges. Statement: $400
Month 2: I pay half of my statement balance and can't use the card. Statement: $200
Month 3: pay the rest to 0$ balance and don't use the card. Statement: $0
Month 4: can finally use my card and charge another $400.
Month 5: pay half. No card use. Statement: $200
Month 6: pay the rest to $0. Don't use card again. Statement: $0
Month 7: auto CLI.

Correct? Or am I way off?

[froggyzsn]

I think he meant pay half of the total balance, not the statement balance but I'm not sure

[blk8]

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@Lambo23 wrote:
The thing with blk8's method is that it takes away from being able to use the card for everyday purchases. Or am I totally misunderstanding what he means?
I take it like this:
Month 1: I use my card for $400 in total charges. Statement: $400 - ok
Month 2: I pay half of my statement balance and can't use the card. Statement: $200 - pay half but you can still use
Month 3: pay the rest to 0$ balance and don't use the card. Statement: $0 - PIF balance including what you may have used month 2
Month 4: can finally use my card and charge another $400. - ok
Month 5: pay half. No card use. Statement: $200 - pay half but you can still use
Month 6: pay the rest to $0. Don't use card again. Statement: $0 - PIF balance.
Month 7: auto CLI.

Correct? Or am I way off?

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OR

Month 1-3 use your card as you would like

Month 4 - use 90% of your CL and PIF

Month 5 - use 90% of your CL and PIF

Month 6 - use 90% of your CL and PIF

Call and ask for a substantial CLI .... let them the rep know you are finding yourself having to use other cards cause the CL on your Chase card is insufficient. :-)

[Lambo23]

^ thank you for clearing it up! Lol

[bribro]

Ideal usage according to several Chase credit card execs I've spoken to is heavy usage (30-40%) but never more than 50% utilization. Pay down the balance every month, but leave 3-10% revolving. Never make minimum payments. I would still advise people to PIF because paying interest just to get that little edge isn't worth it IMO.