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03-12-2013 01:16 PM - edited 03-12-2013 01:25 PM
Will that $600 show up on my credit report as being paid or will it not even show up at all if i pay it long before the due date and statement cut? Also does the due date come before the statement cut or the other way around?
By the way i'm trying to pay my balance off in full every month and now transfer it to avoid interest charges. I'm getting the vibe that the utilization % comes from transfering a balance and that you're trying to only transfer 10% your credit limit. I'm confused.
03-12-2013 01:25 PM
03-12-2013 01:40 PM
The statement cuts before the due date as its purpose is to remind you to make a payment.
The "High Balance" amount will probably change if the most you've spent is $600 but it is pretty meaningless to lenders or they don't even see it...can't remember but bottom line, don't worry about that.
If you pay before the statement cuts, the lower balance will be reported. The "statement balance" is what is reported, not the current balance and it usually reports 5-7 business days after your due date; however, some companies report at the end or middle of the month. Not sure how Chase reporting works yet as I haven't made my first payment yet as it is still fairly new.
Thanks. So once I receive the first statement, it'll arrive around the same day every month? Once I figure out what day that is i'll just have to pay my balance down to 10% my credit limit ahead of time. Then the statement will come and i'll pay the rest of the balance off (which is what's reported on my statement). I think I get it now. I'll just have to figure out what dates all of these things happen and get a hang of it. For now i'll play it safe though. Thanks for the help!
03-12-2013 03:54 PM
You can check your online account for Chase and it will tell you when your statement date is, it'll be right there on the first page you see once logged in.
03-13-2013 12:00 AM
03-13-2013 12:56 AM
don't be afraid to use the card, it doesn't matter how much you've used in the past, as long as it's paid off.
Nice fun fact I've noticed. Everytime I've nearly maxed out my card, and paid it off in full it reports "highest balance amount" and my score always went up. In the past many credit cards didn't report their limit so people were forced to max out each card one month and pay it off to represent a higher credit limit. When Visa signitures were first released they were NPSL so they didn't report. So if you charged only $100 and it reported, even if you had a hidden limit of $20,000 it appeared as your 100% at your limit.
03-13-2013 03:02 AM - edited 03-13-2013 03:04 AM
I can't speak for other banks, but I can tell you safely that go ahead and use the card.
I have a chase card myself, and I can't tell you how many times I maxed out that card.
When I initially got the card, I was still in college. I would max it out, and pay 200-300 each month with my initial CL at 2000. That kept my utilization at >80%.
Chase NEVER did AA me. I might have been lucky, so YMMV.
Then, my finance situation got a lot better, but I still continued to max out the card, but I was paying 1000-1500 each month, and swiping 1000-1500 that same month. Because of that, my balance is always posted between 1800-2100 on 2000 CL (Went overlimit 1 time); Chase didn't charge overlimit fees).
Then, I started swiping 3500-6000 each month while still being on 2000CL. I manage to do this by paying in full multiple times each month, but I didn't know about the significance of reporting a low balance, so my balance that got reported was usually around 1400-2000 out of 2000 CL.
Never got into any sort of issue. I even requested for a CLI (got a HP), and got up'ed to 8500 now.
Whenever you use any kind of credit card, just practice common sense. Banks need you to make money for them.
At the end of the day, the #1 priority for them is to make sure that you are capable of paying back whatever you are using. Your income is a huge factor, and so is your spending/paying patterns. Don't just pay the minimum amount, and don't drag a high balance for a long period of time, and certainly don't try to juggle debt around different accounts. Banks get paranoid and all worked up when people do this.
So in summary:
Chase is a good bank to work with! use your card whenever you can. just dont buy stuff that for the sake of buying and don't buy whatever you can't afford to pay off in 1-3 months. I know it's tempting, but those finance charges just ain't worth it.