Need Advice: Payoff AMEX revolver or Citi?

[Owl2000]

Hey folks, need some advice:

I am about to get a bonus at work and need to decide whether to pay off a balance on my AMEX Sign and Travel (revolver balance I have been carrying from a trip last year) or should I payoff a balance on my Citi card. My gut tells me to payoff the Citi since the AMEX revolver balance seems to have not affected my score. Am I way off base?

(BTW, the Citi and AMEX revolver have the same APR, so the decision really comes down to which will help my score)

Thanks!

[09Lexie]

Welcome to the forum

Need more information to offer advice. Balances, CL's, util?

[Owl2000]

Thanks for the quick reply!

The Citi has a balance of $5200 and CL of $9k. I don't use it regularly.

As for the AMEX, I use it all the time and pay in full new monthly charges (about $1500/mo) and have been chipping away at the revolver all year. Balance on it is about $4100. (no CL since it is AMEX)

 I noticed when I made the charges on my Citi last year I got a CW alert for balance increase and my score went down a point or two. On the other hand, all of the charges on my AMEX revolver never once caused a SW alert...

thoughts?

[09Lexie]

If your Amex is a revolver, it should have a CL.

[Owl2000]

My AMEX (Platinum) statement each month lists my PIF portion that must be paid that month and then lists what they call "Pay Over Time" portion. (I think they used to call this "sign and travel")

NOTE: If you are not careful, the POT portion can add up since any single charge over $100 automatically rolls into the POT category. As such, you gotta pay attention and stay on top of that.

My statement lists no "CL" or "available credit" for either the PIF or POT portions. I recall getting a notice last year stating that the POT maximum for anyone is $30k, but that is not based on credit worthiness, it is just their policy.

It's the most curious thing.

[09Lexie]

Your Amex is a charge card with a POT not a revolver. Revolvers have CL and would not have a POT/Sign and Travel. The reason why you are not experiencing a CS ding while carrying a balance on your Amex is because the charge cards do not count against your util for FICO scoring.

Pay the Citi, your balance is hurting your util which is 30% of your CS

[Owl2000]

Makes sense. Thanks for your guidance!

[09Lexie]

You are welcome!