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Maxing out Credit Card then Paying in Full?

New Visitor

Maxing out Credit Card then Paying in Full?

Hello,

 

I'm new to this forum, and I hope this is in the right place for this question.

 

I was wondering if it is bad to pay for something in your credit card that will almost max it out, but pay the credit card in full right after? I'm doing this to so I can rack up points on my credit card. I know that its only good idea to use 1/3 of your credit limit. But in this case, if I decide to pay my credit card back in full say the next day or even right after the purchase, is it bad?

 

Thanks

59 REPLIES
Frequent Contributor

Re: Maxing out Credit Card then Paying in Full?

Its fine as long as your statement doesnt cut with the balance on it.

 



12/28/13 (Garden Start Date)



Super Contributor

Re: Maxing out Credit Card then Paying in Full?


andiruleu wrote:

Hello,

 

I'm new to this forum, and I hope this is in the right place for this question.

 

I was wondering if it is bad to pay for something in your credit card that will almost max it out, but pay the credit card in full right after? I'm doing this to so I can rack up points on my credit card. I know that its only good idea to use 1/3 of your credit limit. But in this case, if I decide to pay my credit card back in full say the next day or even right after the purchase, is it bad?

 

Thanks


Welcome to the forum

Not bad at all as long as your not letting a maxed out card report which would lower scores in that case other than that RACK UP THE POINTS 

Before you app think...
Have you done your research of the CC?
Does it fit your spending?
Do you have a plan for the bonus w/o going into debt?
Can you afford the AF?
Do you know the cards benefits? Is it worth the HP?

Re: Maxing out Credit Card then Paying in Full?

I wouldn't hesitate to. It's a rewards card...that's the point. Now if you were to use that and hold off paying until the next day but the statement cut before you did and showed you with a high limit, that would lower your score. But as far as using it and paying it off right after, you should be good.
FICO: 772 (11/2013) TU:760 (11/2013)

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New Visitor

Re: Maxing out Credit Card then Paying in Full?

Awesome! Thanks guys!

 

Also, @myjourney, I have that quote "Intelligence plus character--that is the goal of true education" in my email signature hehe 

Established Contributor

Re: Maxing out Credit Card then Paying in Full?


andiruleu wrote:

Hello,

 

I'm new to this forum, and I hope this is in the right place for this question.

 

I was wondering if it is bad to pay for something in your credit card that will almost max it out, but pay the credit card in full right after? I'm doing this to so I can rack up points on my credit card. I know that its only good idea to use 1/3 of your credit limit. But in this case, if I decide to pay my credit card back in full say the next day or even right after the purchase, is it bad?

 

Thanks


Either way it is bad to max out a card, even close to it even if you pay in full. Never do that.  To a creditor it looks like you can max out a card with the possibility of not paying it back. I wouldn't recommend doing it even if someone disagrees.

New Visitor

Re: Maxing out Credit Card then Paying in Full?

Even if I pay it off right after? The other people are saying its fine?

Established Contributor

Re: Maxing out Credit Card then Paying in Full?

People give different answers and it's really whatever you feel comfortable with. I personally wouldn't max out a card.. it doesn't look good even if you pay it off in full when you get the bill. You don't pay the bill before you get it. 

Super Contributor

Re: Maxing out Credit Card then Paying in Full?


andiruleu wrote:

Awesome! Thanks guys!

 

Also, @myjourney, I have that quote "Intelligence plus character--that is the goal of true education" in my email signature hehe 


Words to live by BravoSmiley Wink

Before you app think...
Have you done your research of the CC?
Does it fit your spending?
Do you have a plan for the bonus w/o going into debt?
Can you afford the AF?
Do you know the cards benefits? Is it worth the HP?
Regular Contributor

Re: Maxing out Credit Card then Paying in Full?


killer_queen229 wrote:

People give different answers and it's really whatever you feel comfortable with. I personally wouldn't max out a card.. it doesn't look good even if you pay it off in full when you get the bill. You don't pay the bill before you get it. 


I think many people pay on their account before the bills cut.  I tend to make multiple payments during the month before the bill cuts.


FICO EQ: 733 TU: 727 CS FAKO EX: 737                                                                                               In the garden since 5/9/13