cancel
Showing results for 
Search instead for 
Did you mean: 

credit utilization

tag
GTT
Regular Contributor

credit utilization

Now I have my new capital one with 300 CL.

I'm trying to keep a low utilization, e.g. 10% however one grocery shopping takes more than 100.

So I tried to transfer some money to the account to low the balance before the billing date,

however when I try to pay the bill on cap1 website, it said I have zero balance so I can't pay in advance.

 

Any idea about it? Thank you ~~~

Message 1 of 12
11 REPLIES 11
Anonymous
Not applicable

Re: credit utilization

Uti is only reported when your statement cuts. You can use all 300 and just pay before it cuts.  You can also make several payments a month.

Message 2 of 12
GTT
Regular Contributor

Re: credit utilization


@Anonymous wrote:

Uti is only reported when your statement cuts. You can use all 300 and just pay before it cuts.  You can also make several payments a month.


Yes, that's what I was trying to do however on Cap1 website, when I click on 'pay bill' and setup my bank account, it said the balance is zero and I can't pay it ..

Message 3 of 12
dharalex
Established Contributor

Re: credit utilization

You can also schedule a payment to go through from your personal banking account.


Starting Score: TU:676;EQ:648 8/2011
Current Score: TU:738; EQ: 739 ;EX: 729 6/2012
Goal Score: 760


Take the FICO Fitness Challenge







Current Score: 800
Goal Score: 850

Take the FICO Fitness Challenge
Message 4 of 12
GTT
Regular Contributor

Re: credit utilization

This is the error message what I got from the website:

 

This account has a credit/zero balance or you have pending payments that exceed 110% of your balance. You cannot schedule a payment for this account.

 


Message 5 of 12
Anonymous
Not applicable

Re: credit utilization

Thats because you dont have a clear balance. If you have charged something, it will pend for a few days. When it shows up under charges you can pay them. Sending money to most banks before charging is considered money laundering and they red flag your account. I almost made this mistake with BoA when attempting to prepay for a mac. Amex doesnt seem to mind it though so it must depend on the bank. Cap One wont let you though.

Message 6 of 12
GTT
Regular Contributor

Re: credit utilization


@Anonymous wrote:

Thats because you dont have a clear balance. If you have charged something, it will pend for a few days. When it shows up under charges you can pay them. Sending money to most banks before charging is considered money laundering and they red flag your account. I almost made this mistake with BoA when attempting to prepay for a mac. Amex doesnt seem to mind it though so it must depend on the bank. Cap One wont let you though.


 

Many thanks ~~~then I just wait for a couple of days and then check it again. 

Message 7 of 12
Anonymous
Not applicable

Re: credit utilization

Yes. Payment can take up to 3 days to clear. Just repeat the process and you should be fine.

Message 8 of 12
dharalex
Established Contributor

Re: credit utilization

Interesting. I was not aware of that. I keep track of statement cut/due dates so I don't use the card a few days before to make sure I don't run into this prob. But I do make a purchase, I know it's pending. When I authorize my bank to pay, it takes at least 48 hrs to reach the cc company. By that time, it has reported online, but still may be too late to actually pay online. I have never preemptively paid a bill, nor would I suggest someone else do it. Please let me know if you think I'm doing something illegal...I've been doing this for years, so I certainly hope not!

@Anonymous wrote:

Thats because you dont have a clear balance. If you have charged something, it will pend for a few days. When it shows up under charges you can pay them. Sending money to most banks before charging is considered money laundering and they red flag your account. I almost made this mistake with BoA when attempting to prepay for a mac. Amex doesnt seem to mind it though so it must depend on the bank. Cap One wont let you though.




Starting Score: TU:676;EQ:648 8/2011
Current Score: TU:738; EQ: 739 ;EX: 729 6/2012
Goal Score: 760


Take the FICO Fitness Challenge







Current Score: 800
Goal Score: 850

Take the FICO Fitness Challenge
Message 9 of 12
Anonymous
Not applicable

Re: credit utilization


@dharalex wrote:
Interesting. I was not aware of that. I keep track of statement cut/due dates so I don't use the card a few days before to make sure I don't run into this prob. But I do make a purchase, I know it's pending. When I authorize my bank to pay, it takes at least 48 hrs to reach the cc company. By that time, it has reported online, but still may be too late to actually pay online. I have never preemptively paid a bill, nor would I suggest someone else do it. Please let me know if you think I'm doing something illegal...I've been doing this for years, so I certainly hope not!

@Anonymous wrote:

Thats because you dont have a clear balance. If you have charged something, it will pend for a few days. When it shows up under charges you can pay them. Sending money to most banks before charging is considered money laundering and they red flag your account. I almost made this mistake with BoA when attempting to prepay for a mac. Amex doesnt seem to mind it though so it must depend on the bank. Cap One wont let you though.



No no your fine. What I mean is it may take 3 days to show up on the statement. It will still post on they day you made the payment but may not show up for awhile.I dont think its illegal to prepay, I just think some banks dont like it. BoA told me they consider it money laundering. I no longer deal with that problem as the cards I now have support my spending. 

Message 10 of 12
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.