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Paying AMEX Charge Card Before Statement Cuts?

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shane82388
Established Contributor

Paying AMEX Charge Card Before Statement Cuts?

Does it even matter if you let the statment cut before you pay off the balance? Im asking because i know its supposed to not really count in your utilization, but does it hurt you or effect you in any other way?

 

or is that a card i can just worry about paying by the due date?

Message 1 of 15
14 REPLIES 14
LS2982
Mega Contributor

Re: Paying AMEX Charge Card Before Statement Cuts?


@shane82388 wrote:

Does it even matter if you let the statment cut before you pay off the balance? Im asking because i know its supposed to not really count in your utilization, but does it hurt you or effect you in any other way?

 

or is that a card i can just worry about paying by the due date?


Even though it does not factor it's util. in your overall util., It still will report your highest balance and your current balance. Not sure if it effects your FICO, i'm sure a myFICO cardholder will chime in on that!




EQ FICO 548 3/3/16
Message 2 of 15
boomhower
Valued Contributor

Re: Paying AMEX Charge Card Before Statement Cuts?

Other than TU98(the score you can buy here) it isn't counted in your UT.  Since most lenders have moved on to TU04 or TU08 it doesn't matter if you pay before or not.

Message 3 of 15
shane82388
Established Contributor

Re: Paying AMEX Charge Card Before Statement Cuts?


@boomhower wrote:

Other than TU98(the score you can buy here) it isn't counted in your UT.  Since most lenders have moved on to TU04 or TU08 it doesn't matter if you pay before or not.


ok thats what i figured but just wanted to check...

Message 4 of 15
pakman92
Established Contributor

Re: Paying AMEX Charge Card Before Statement Cuts?

i believe it may have an effect.  part of the scoring is based on how many accounts have a balance.


My Starting Score: EQ: 691 (11/30/11) TU98: 726 (11/30/11)
My Current Score: EQ: 779 (04/22/13) TU08: 835 (06/03/13)
DW Starting Score: EQ: 742 (03/02/12) TU98: 748 (03/02/12)
DW Current Score: EQ: 784 (03/11/13) TU08: 775 (06/03/13)
Message 5 of 15
konabill
Regular Contributor

Re: Paying AMEX Charge Card Before Statement Cuts?

 I use my Amex green regularly and in December I had $1200 balance reported by Amex.  My other card  balances were zero. I pull daily from USAAs credit monitoring and my Fico did not change.  If my overall utilization was higher it may have some effect but from my personal experience it isnt an issue.




TU 802 EQ 806
*USAA*PENFED*NFCU*AMEX*DISCOVER*CiTi*WALMART*BESTBUY*
Message 6 of 15
Anonymous
Not applicable

Re: Paying AMEX Charge Card Before Statement Cuts?


@konabill wrote:

 I use my Amex green regularly and in December I had $1200 balance reported by Amex.  My other card  balances were zero. I pull daily from USAAs credit monitoring and my Fico did not change.  If my overall utilization was higher it may have some effect but from my personal experience it isnt an issue.


USAA credit monitoring uses EX FAKOs, not actual FICOs.
Message 7 of 15
haulingthescoreup
Moderator Emerita

Re: Paying AMEX Charge Card Before Statement Cuts?


@pakman92 wrote:

i believe it may have an effect.  part of the scoring is based on how many accounts have a balance.


+1

 

It will be scored as an additional account with a balance, which may (or may not) affect your scores.

* Credit is a wonderful servant, but a terrible master. * Who's the boss --you or your credit?
FICO's: EQ 781 - TU 793 - EX 779 (from PSECU) - Done credit hunting; having fun with credit gardening. - EQ 590 on 5/14/2007
Message 8 of 15
teenastie
Established Contributor

Re: Paying AMEX Charge Card Before Statement Cuts?


@LS2982 wrote:

@shane82388 wrote:

Does it even matter if you let the statment cut before you pay off the balance? Im asking because i know its supposed to not really count in your utilization, but does it hurt you or effect you in any other way?

 

or is that a card i can just worry about paying by the due date?


Even though it does not factor it's util. in your overall util., It still will report your highest balance and your current balance. Not sure if it effects your FICO, i'm sure a myFICO cardholder will chime in on that!


IME only the *reported* high balance is shown on my CRs. For instance I have a charge account that list a high balance of $1400. However, I had a high balance of over $3k in Demeber but paid it off prior to the statement closing date. I would recommend letting a high balance report to the CR.  Then pay off prior to the statement closing date in subsequent months just in case you run into a creditor that pulls a TU98 FICO.



Message 9 of 15
dmbtay
Regular Contributor

Re: Paying AMEX Charge Card Before Statement Cuts?

it would only count against you if say you were buying a house.  They would look at all outstanding liabilities.  It makes no difference on a month to month basis on your credit report or for applying for new credit.  we typically carry $10 - $20k on AMEX per month, and its never penalized us.

Message 10 of 15
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