topic Received American Express Optima Card today in Credit Cards

Update Card Received Amex Optima Usage

Red1Blue — Tue, 14 Jul 2020 15:50:42 GMT

Question for those who have Amex Optima card. How often do you use the card and how heavily do you use it. My card limit is $900. Any suggestions how to use it ? I pay in full for all my accounts and will not carry balance. Should I use it lightly once or twice a month and keep it alive or should I use more often and pay it in full before statement cuts ? I appreciate your input.

How soon Amex reports new accounts to CRA's ?

Red1Blue — Wed, 08 Jul 2020 20:56:25 GMT

I just got the Optima approved. Does any one know how soon Amex will report the new accounts to CRAs ? I am done with all the new apps. I want to see what kind score hit I'll for the inquiries and new accounts take before the scores will raise again ?

Re: How soon Amex reports new accounts to CRA's ?

Jnbmom — Wed, 08 Jul 2020 20:57:44 GMT

Usually 2 months (statements)

Re: How soon Amex reports new accounts to CRA's ?

dragontears — Wed, 08 Jul 2020 20:57:47 GMT

@Red1Blue wrote:
I just got the Optima approved. Does any one know how soon Amex will report the new accounts to CRAs ? I am done with all the new apps. I want to see what kind score hit I'll for the inquiries and new accounts take before the scores will raise again ?

About 2 months some times as long as 3 months

Re: How soon Amex reports new accounts to CRA's ?

Red1Blue — Wed, 08 Jul 2020 20:59:14 GMT

Thanks. I guess, I can ignore Amex new account affect on my scores. It will happen what ever it happens.

Re: How soon Amex reports new accounts to CRA's ?

AllZero — Wed, 08 Jul 2020 21:06:47 GMT

IIRC, if on a derogatory score card, you do not get penalized for new accounts.

Re: How soon Amex reports new accounts to CRA's ?

M_Smart007 — Wed, 08 Jul 2020 21:15:36 GMT

@AllZero wrote:
IIRC, if on a derogatory score card, you do not get penalized for new accounts.

@AllZero So your recommending that, I should degrade my scorecard?

#IamProbablyWayPastAnyPenalties

Re: How soon Amex reports new accounts to CRA's ?

M_Smart007 — Wed, 08 Jul 2020 21:17:39 GMT

@Red1Blue wrote:
I just got the Optima approved. Does any one know how soon Amex will report the new accounts to CRAs ? I am done with all the new apps. I want to see what kind score hit I'll for the inquiries and new accounts take before the scores will raise again ?

@Red1Blue, Usually 2 months, but had a couple Amex cards take 3 months. YMMV

Re: How soon Amex reports new accounts to CRA's ?

AllZero — Wed, 08 Jul 2020 21:19:01 GMT

@M_Smart007 wrote:
@AllZero wrote:
IIRC, if on a derogatory score card, you do not get penalized for new accounts.
@AllZero So your recommending that, I should degrade my scorecard?

#IamProbablyWayPastAnyPenalties

@M_Smart007 . Not if you're trying for $1B TCL. 😉

Re: How soon Amex reports new accounts to CRA's ?

Red1Blue — Wed, 08 Jul 2020 21:20:14 GMT

@AllZero wrote:
IIRC, if on a derogatory score card, you do not get penalized for new accounts.

Thanks. I still have 9 COs that I am clearning now. It should be end of this year by the time all the COs are posting $0 balance. I guess it will take some time after that for the scores to start creeping up slowly. For now I am all done with Apping. I am not looking for new credit. Hopefully some of my secured cards would graduate in the next 6 months. Also I might receive some CLI on my Blaze / FSCC and other cards in October. Looks like I am going to have a great start in 2021. I am not looking for new credit. If secured cards graduate then it is good. Otherwise may be one good unsecured credit card either Visa or MC. That is it. I am a happy camper.

Re: Amex Optima Usage

RadioRob — Wed, 08 Jul 2020 22:44:45 GMT

Use it and pay it. Amex has not cared if I pay before or after a statement as long as I pay before it's due.

Amex makes more money the more times it's swiped. Even if you're not paying interest, the merchant accepting the card is paying a couple of percent of the transaction to process it. So they appreciate it being used!

Re: Amex Optima Usage

Remedios — Wed, 08 Jul 2020 22:52:52 GMT

@Red1Blue I've merged your two threads from today dealing with same card into one thread.

Please use this thread for your questions, as starting a new thread for each question gets counterproductive.

Thank you.

Re: Amex Optima Usage

Anonymous — Wed, 08 Jul 2020 23:00:15 GMT

There's nothing to show off for, since there's no CLI's on an Optima. Use it to keep it alive, at minimum, if you want to keep it. The rest is up to you. If you pay before statement cuts, your CR will show $0/0% util for that month. If you let your statement cut before you pay it, even though you're PIF, the balance will still show up on that month as % utilized.

I've never heard of an Optima CLD, either, so you shouldn't have to worry about what AmEx "thinks" of you for paying mid-cycle.

Re: Amex Optima Usage

Red1Blue — Wed, 08 Jul 2020 23:13:41 GMT

@Anonymous wrote:
There's nothing to show off for, since there's no CLI's on an Optima. Use it to keep it alive, at minimum, if you want to keep it. The rest is up to you. If you pay before statement cuts, your CR will show $0/0% util for that month. If you let your statement cut before you pay it, even though you're PIF, the balance will still show up on that month as % utilized.

I've never heard of an Optima CLD, either, so you shouldn't have to worry about what AmEx "thinks" of you for paying mid-cycle.

Thanks for input. I agree with you. I do not have to worried about CLD on Optima for overuse. I have been an Amex member since 1981. Amex has been with me both in good times and bad times as a trusted friend. I am trying to make a habit of living debt free. I feel better paying it off before the statement cuts. Also live with in my means and spend only what I have. Almost use credit card like a debit card and just pay it off. I do not want to pay interest and spend the money I do not have. My mind is more into savings, put money away for retirement and live a comfortable debt free life.

Re: Amex Optima Usage

wasCB14 — Wed, 08 Jul 2020 23:19:20 GMT

I wouldn't try to exceed the limit, but otherwise just be sure you pay the bill on time and be patient. Amex doesn't intend the purgatory period to be brief.

Re: Amex Optima Usage

RadioRob — Wed, 08 Jul 2020 23:39:46 GMT

Amex has one of the best purgatories in the business however. Especially when many other companies blacklist you for a decade or so from having ANY sort of relationship with them.

Re: Amex Optima Usage

wasCB14 — Wed, 08 Jul 2020 23:53:08 GMT

@RadioRob wrote:
Amex has one of the best purgatories in the business however. Especially when many other companies blacklist you for a decade or so from having ANY sort of relationship with them.

But we're also talking about a default of (educated guess here) $2700 or so?

Re: Amex Optima Usage

Anonymous — Thu, 09 Jul 2020 03:06:24 GMT

@RadioRob wrote:
Amex has one of the best purgatories in the business however. Especially when many other companies blacklist you for a decade or so from having ANY sort of relationship with them.

Let me attest to ^^^ THIS ^^^

Previously, I was under the (outdated) impression that with an active AmEx Optima, I could not be approved for any regular AmEx product. This year, with a string of baddies (50+) behind me by only 22 months, and dozens of inquiries, I pulled the trigger on not one, but THREE AmEx cards (Bonvoy Brilliant, ABP, and Platinum) and was approved for all three with a 670 FICO.

I still hold the active Optima, as well as the three products for which I applied.

Life isn't 7 years down the road, it's less than 2 years away from your last baddie so long as you keep your util low (mine was 0%) and payments solid. AmEx is not particularly sensitive to INQ, or even my LOL/24.

Re: Amex Optima Usage

coldfusion — Thu, 09 Jul 2020 10:25:04 GMT

@Anonymous wrote:
AmEx is not particularly sensitive to INQ, or even my LOL/24.

YUP.

Re: Amex Optima Usage

sjt — Thu, 09 Jul 2020 20:19:44 GMT

@Red1Blue wrote:
Question for those who have Amex Optima card. How often do you use the card and how heavily do you use it. My card limit is $900. Any suggestions how to use it ? I pay in full for all my accounts and will not carry balance. Should I use it lightly once or twice a month and keep it alive or should I use more often and pay it in full before statement cuts ? I appreciate your input.

Its important to keep it active, whether its a few charges or using it as your main card. The problem is that there are no rewards.