Better to PIF before or after statement cuts?

[skorpyo3]

What's better for Fico? Does it matter? I don't want a balance to show on my cards as I PIF each month before statement cuts. Looks look my high balances are still posting, so that's good. Thanks for any input.

[revjamesl]

Following.

[Anonymous]

i've read its good to let balance cut on 1-2 of your cards (<9%) and PIF before on the remaining accounts.. but i would like to +1 for additional insight.

supposedly this tweaking only matters if you plan on applying for any substantial credit in the following few months in order to maximize fico

[Anonymous]

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@Anonymous wrote:

i've read its good to let balance cut on 1-2 of your cards (<9%) and PIF before on the remaining accounts.. but i would like to +1 for additional insight.

supposedly this tweaking only matters if you plan on applying for any substantial credit in the following few months in order to maximize fico

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The ideal is all but one at zero, and the last card at between 1% and 9% utilization when the statement cuts. This is only helpful until the next cut, because it is a bump to your score from optimizing utiliization, which has no memory. Utilization is just a snapshot of use at a moment in time, so if you go back to reporting 90% utils on all of your cards, your score will immediatley drop. 

I typically argue that it isn't worth the effort to get the ideal unless you're apping because utilization has no memory. You might want to do it a few month in advance, to confirm that something weird doesn't happen with your scores, but, otherwise, you're putting a lot of effort into a temporary score bump that you aren't going to use. 

[Anonymous]

After, if not applying for anything.

Shows true usage.

[takeshi74]

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@Anonymous wrote:
Shows true usage.

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How is this of benefit?

[Anonymous]

Ability to repay obligations.

I understand the concept but if you are not applying for anything then it is useless as utilization has no memory. You're giving up the biggest benefit of CCs which is the grace period.

[Anonymous]

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@takeshi74 wrote:

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@Anonymous wrote:
Shows true usage.

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How is this of benefit?

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Not beneficial to FICO score but to asking for larger CL extended to you. After all, it's not very joyous to be approved for a $200 CL card.

[too-much-time]

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@Anonymous wrote:
Ability to repay obligations.

I understand the concept but if you are not applying for anything then it is useless as utilization has no memory. You're giving up the biggest benefit of CCs which is the grace period.

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You are not serious. How can the grace period be the biggest benefit? After the first month, the lengthening benefit is gone and you are constantly behind, living your life up against a wall. No, the benefits are protection perks and airline/cash rewards!

[rlx01]

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@too-much-time wrote:

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@Anonymous wrote:
Ability to repay obligations.

I understand the concept but if you are not applying for anything then it is useless as utilization has no memory. You're giving up the biggest benefit of CCs which is the grace period.

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You are not serious. How can the grace period be the biggest benefit? After the first month, the lengthening benefit is gone and you are constantly behind, living your life up against a wall. No, the benefits are protection perks and airline/cash rewards!

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Interest free float is a major benefit... That money can be earning interest somewhere else.